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US Medtech Under Trump: Below The Radar Or In The Line Of Fire?

Executive Summary

The return of a Republican president to power in last month's US elections showed – for the second time in 2016 – that punditry can be misleading and opinion polls do not always equate with reality. With just a few weeks to President Trump's inauguration, ZS Associates' Brian Chapman gives an early appraisal of how the new administration might view the health care brief in general and the medtech industry in particular.

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Value is a concept that is increasingly embraced by providers and payers, as well as medtech manufacturers. Leading providers are organizing around value, changing their models and thereby inviting medtech manufacturers to adapt to the post fee-for-service era. Some, like Medtronic, are at the head of the game.

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It's been a big month for plans intended to shape the future of health care in the US, with the Trump Administration showcasing its ACA replacement bill and issuing budget proposals. At this stage, it's hard to peg winners and losers and although the focus is squarely on insurance, the medtech sector should guard against complacency, says ZS Associates' Brian Chapman.

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