Philips Homes In on Respironics: Fills Gaps in Care Continuum
No company has done more to wrap its arms around the whole area of patient monitoring--both in and out of the hospital--than Philips Medical Systems. Since early 2006, Philips has made at least seven acquisitions that have helped it create the infrastructure for a telehealth approach to disease management, including monitoring equipment, IT, and emergency response services. To close out 2007, Philips announced an additional acquisition: a $5.1 billion all-cash offer for respiratory therapy provider Respironics, to buy the leading company in a universe of only three independent companies focused on obstructive sleep apnea, the fastest growing market in home health monitoring.
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Manufacturers of patient monitoring equipment are responding to a challenging hospital environment. They're providing advanced portable and telemetry monitoring systems that enable the continuous monitoring of critically ill patients, regardless of their location within the hospital, and often at a lower cost than could be achieved using traditional bedside systems. Portable and telemetry systems are two of the highest growth segments in the US patient monitoring market, according to Windhover Information/Medtech Insight's recently published report, US Markets for Patient Monitoring Products, which forecasts compound annual growth rates (CAGR) of 8.5% and 13.0%, respectively, in these segments through 2012.