Spiraling healthcare expenditures paralleled by increasing healthcare costs and premium rates of medical care are creating a real and urgent need for reform in the medical technology sector worldwide, according to a new analysis from business research and consulting firm, Frost & Sullivan.
Frost & Sullivan’s report “Impact of Healthcare Reforms on the Medical Technology Industry,” finds that in order to improve healthcare, it is important to understand the interrelationship between medical outcomes, accessibility to services and quality information for patients.
[See also: Bipartisan task force to tackle healthcare reform, technology]
"From recent reforms it is clear that the intent of most countries on a global level is to curb healthcare expenditure," said Frost & Sullivan Research Analyst Simone Carron-Peters in a statement. "For manufacturers in Europe and the U.S., an emerging challenge is to introduce technologies that can do more for the same price or less, rather than to develop new capabilities that add cost to the delivery of healthcare," said Carron-Peters.
Healthcare reforms will alter the conditions under which the medical technology industry operates in Europe and the United States. However, with most provisions of the law being phased over a period of time, such changes will come gradually rather than abruptly, allowing medical technology vendors time to adapt, the report stated.
"The changes included in health reform include both positives and negatives for the medical technology industry, but, on balance, the industry is likely to thrive in the future," said Carron-Peters. "However, the protection and development of innovative technology is a crucial issue for both the industry and patients, who rely on medical progress for longer and healthier lives."