Wireless Patient Monitoring Technologies - Evaluation of Funding Prospects

Wireless Patient Monitoring Technologies–

Evaluation of Funding Prospects

(Technical Insights)

Mobile Medical Technologies Delivered at Home Environment

D4AF–TI

D4AF-TI 2

Contents

Section Slide Numbers

Executive Summary 4

Research Scope 5

Technical Insights–Research Process and Methodology 6

Key Findings 8

Sectoral Analysis 9

Current Technology Trends and Roadmap 12

Governmental Grants and Stimulus Funding 15

GAP Analysis 19

Assessment of Investor Ecosystems 20

Investor Networks and Recent Investment Climate 21

Funding Patterns and Investor Inclination 29

Future Plans and Expectations of Investors 30

Analyst Insights and Recommendations 31

D4AF-TI 3

Contents (Contd…)

Section Slide Numbers

Assessment of Funding Sources 32

Smart Scouting and Procurement Strategies for Developers 33

Patents 35

Key Contacts 43

Decision Support Database 48

About Frost & Sullivan 54

Scope of Research

Source: Frost & Sullivan.

This research service will cover the following key sections in the orthotics and prosthetics industry:

• Technology trends evidenced in the industry

• Governmental grants and stimulus funding

• Investor networks and recent investment climate

• Funding patterns

• Key investors, investments, and technology partners

• Future plans and expectations.

This research service (RS) is a study on the funding prospects in the wireless patient monitoring

(WPM) arena. The RS delivers content on the prevalent investor climate in this industry, and attempts

to shed light on different channels available for obtaining funds. The WPM industry has received

positive press for quite sometime, however its growth has still not reached the expected threshold.

Though major players (Intel, GE, Philips) have invested heavily in this sector, the market is still

fragmented with many small players making a bold entry banking on their technology prowess. There

are a lot of investors interested in making their debut in this sector.

D4AF-TI4

Key Findings


The wireless patient monitoring industry is set to reach double the revenues evidenced in previous years

primarily due to shifting age pyramid, rising elderly population, and the advancements of innovative

technologies. The miniaturization of wireless connectivity has provided a major impetus to the development of

wearable devices without affecting the mobility of the user. Additionally, wearable devices are also well

adapted for monitoring patients with chronic disease. However, a major hurdle being seen, and which needs

to be addressed as soon as possible, is the lack of initiatives for bringing out a common communication

standard.

There are a lot of entities interested in providing investment money to players in the WPM market. Venture

capital (VCs) firms and technology incubators are the best portals to obtain funds for venturing into this field.

Additionally, VC arms of major corporates are also diversifying into investing with other players as opposed to

investing in firms aligned to their strategic objectives and goals. The US government is encouraging players to

involve patient skillset (acquire key communication skills to correctly identify the patient’s problems) when

designing their technologies and products. VCs should ideally narrow down on players who have products or

technologies that ensure mobility for the patient without loss of control over his/her environment, resulting in

better self management skills.

During good and bad times, it is noticed that VC backed companies tend to outperform non-VC ones. VCs

focus on highly innovative, emerging growth companies. VCs are a good source of funding as opposed to

traditional banking support, as they require a longer time to set in motion. Initial pilot studies have already

proved that WPM is beneficial in both financial and health aspects. However, it is still a fact that many of the

players have not achieved scale. As compatibility, privacy, and security issues are being ironed out, better

regulatory action and collaborative ecosystem can also aid in bringing the necessary scale.

D4AF-TI5

Governmental Grants and Stimulus Funding–USA


Funding

AgencyBeneficiary Description

Grant

Amount

National

Institutes of

Health

University of Massachusetts Medical

School

To develop the “iMStrong”, an innovative RMS for

detecting cocaine use$428,352

Mayo ClinicTo develop technologies for maintenance of

independent living in heart failure patients$620,181

Biosensics LLC

To develop an accurate wearable sensor

technology that more accurately characterizes

physical activity, risk of falling and early indicators

of frailty

$736,661

University of California Los Angeles

To develop a system of wearable activity and

exercise monitoring technologies that measure the

type, quantity and quality of walking and exercise;

the target audience are stroke survivors

$414,265

Great Lakes Neurotechnologies

To build and clinically assess PDremote, a system

for automated telehealth diagnostics for remote

Parkinson’s disease (PD) monitoring

$390,249

Koronis Biomedical Technologies

Corp.

To develop a low-power wireless system for

connecting miniature wearable sensors to provide

long-term multichannel recordings in participants

home and transfer data to the Clinic/Research

Center

$565,303

D4AF-TI6


Investor Networks and Recent Investment Climate

Beneficiary Investors Description

CardioMEMS

Inc.

Arcapita Ventures, Boston

Millennia Partners, Foundation

Medical Partners, Aperture

Capital, Arboretum Ventures,

Deerfield Partners, Easton

Capital, Saints Capital

CardioMEMS Inc., headquartered in Atlanta, Georgia, USA, is a

medical device company that develops implantable wireless sensors,

which gather and transmit pressure information from inside the

human body. VC funding of over $37.9 million was provided as

additional funding to complete its ongoing CHAMPION clinical trial.

The 550 patient trial, conducted in 64 prominent US heart centers,

evaluated the safety and effectiveness of the CardioMEMS heart

failure pressure measurement system.

Teladoc Inc.

Kleiner Perkins Caufield & Byers,

Cardinal Partners, HLM Venture

Partners, Trident Capital, New

Capital Partners

Teladoc Inc., based out of Dallas, Texas is one of the major telehealth

providers in the US. Teladoc complements the non-emergency

primary care needs of health plans, employers, unions, associations,

and consumers by providing accessible, high-quality care at an

affordable cost. Teladoc secured $18.6 million in investments which

signals confidence in Teladoc’s market-leading position and confirms

telehealth as an industry-changing solution.

Healthrageous

Inc.

North Bridge Venture Partners,

Egan-Managed Capital, Long

River

Healthrageous Inc. headquartered in Boston, MA, USA, is a

personalized health technology company that supports individuals to

prevent and self-manage chronic health conditions via the Web and a

mobile app. Healthrageous secure $6.5 million series B funding,

which will be used to further enhance its consumer facing user

interfaces, analytics engines, and machine learning platform.

D4AF-TI7


Investor Networks and Recent Investment Climate

(Contd…)

VC Divisions of Corporates

Qualcomm Life Fund

Qualcomm Ventures (QCV) was started in 2000 with a $500 million fund commitment to make strategic investments in early-

stage high-technology ventures, and it made its first set of investments in the wireless health space in 2007. The Qualcomm

Life Fund within the QCV umbrella was formed with the mission of accelerating global wireless health services and

technology adoption. Areas of specific interest range from personal wellness to disease management such as, body

worn/implantable biosensors/devices. The applications for which these technologies are deployed range from chronic

disease care, medication compliance and integrated system providers that perform remote diagnosis, monitoring, and

specialize in independent living among others.

Kaiser Permanente Ventures

Kaiser Permanente Ventures, the corporate VC arm of Kaiser Permanente, makes investments in medical devices,

healthcare services, and information technology companies. Since its inception in 1997, Kaiser Permanente Ventures has

invested in more than 25 venture capital backed companies at all stages of development, and contributed organizational

expertise, time and resources to the success of these companies.

GE Healthymagination Fund

GE Healthymagination Fund, the VC arm of General Electric (GE) is focused on identifying, partnering with, and developing

highly promising healthcare technology companies. The fund invests in companies globally that have innovative technologies

aligned with the strategic objectives of GE Healthcare and GE’s global Healthymagination initiative. GE’s Healthymagination

initiative is a $6 billion global commitment by GE to help deliver better healthcare to more people at lower costs.

Robert Bosch Venture Capital GmbH

Robert Bosch Venture Capital GmbH (RBVC), the VC arm of Robert Bosch GmbH, invests in start-up companies either

directly or via VC funds on a worldwide basis. RBVC focuses on start up technology companies aligned with Bosch’s current

and future business. They also provide capital for minority stakes in start-ups from early stage to expansion stage.

D4AF-TI8

Assignee-Wise Patent Distribution

Total Number of Patents/applications–1975 (161 unique patent families).

D4AF-TI9

Patents

Publication NumberPublication

DateAssignee Name Title

US 7945451 May 17, 2011Cardiocom, LLC

(Chanhassen, MN, USA)Remote monitoring system for ambulatory patients

Monitoring device which includes a memory device that is programmed with a set of question hierarchies. The question

hierarchy contains a logical structure so that certain questions will not be asked, depending upon the patient’s answer to a

preceding question. The question hierarchy is invoked by a symptom identifier transmitted to the monitoring device by a remote

computer. The remote computer transmits the collected data (symptom identifier) to the monitoring device to in turn proceed

with the next set of questions related to the data received.

US 8223013 July 17, 2012Intel-GE Care Innovations

LLC (Roseville, CA, USA)

Method and mechanism for assisted diagnosis and

maintenance of health monitoring systems

A system and method of a health monitoring network which automates detection of faulty or failed sensors using real-time fault

checking on a dynamically registered sensor data stream. The monitoring system and sensor network can provide a one-touch

system to notify users when a sensor requires attention, without prior knowledge of the operational characteristics, installation

method or configuration of sensors in the network. The network uses a decision engine to assist in maintenance according to a

profile based on individual preferences and capabilities.


D4AF-TI10

Contact


D4AF-TI11

Britni MyersFrost & Sullivan

210.477.8481

[email protected]

mailto:[email protected]

Health & Medicine

Wireless Patient Monitoring Technologies - Evaluation of Funding Prospects