R&D Partnerships – Medtech – Q1 2023

by Jun 8, 2023Analysis, Partnership Deals

Medtech R&D partnerships play a significant role in driving innovation and advancements in healthcare. Medtech’s various focus areas, such as medical devices, digital health solutions, and wearable technologies, saw active collaboration and investment, but deal flow in the sector is declining from 2022. Several transformative collaborations have emerged in the healthcare industry, aiming to revolutionize patient care and outcomes. Caris Life Sciences and ConcertAI joined forces to create a reference platform that combines real-world patient information with comprehensive tumor mutation data, empowering cancer researchers. Ascensia Diabetes Care and Snaq introduced a feature allowing individuals with diabetes to scan food and instantly access nutritional information, enabling informed dietary choices. Additionally, Philips and Masimo integrated a smartwatch into patient monitoring software, enabling the continuous collection of vital signs data for analysis, and sharing with healthcare providers. These partnerships harness the power of cutting-edge technologies, including digital health platforms, smart devices, advanced diagnostics, and A.I. As we delve into the details of these transformative collaborations, it becomes evident that the future of healthcare and Medtech lies in the seamless integration of expertise and resources. Though R&D partnerships in Medtech facilitated sharing of expertise, resources, and knowledge across different entities, as we enter Q2 of 2023, progress is far from previous years.

R&D Partnerships - Medtech, Device, Digital etc

During Q1 of 2023, 17 deals were signed amounting to $51 million in total announced deal value. This represents a significant improvement in the pace of R&D partnerships compared to the data from 2022, which only saw 40 deals throughout the year.

R&D Partnerships - Medtech, Device, Digital etc. Total upfront cash & equity - Medtech, device digital

The total announced upfront cash and equity through R&D partnerships amounted to only $10 million in Q1 2023, compared to $91 million in the fiscal year 2022.

R&D Partnerships - medtech vs other healthcare & life sciences. Total announce deal values - R&D partnershiops by subsector ($B)
Medtech vs. Other Healthcare & Life Sciences

The therapeutic platforms and biopharma subsector demonstrated a robust start in Q1 2022, recording a total announced deal value of $36.6 billion. However, there was a decline in Q2 to $22.7 billion, followed by a recovery in Q3 with $35.1 billion. The highest value was observed in Q4 at $50.9 billion. Nonetheless, Q1 2023 experienced a decrease to $34.3 billion. In contrast, the diagnostics, sequencing, omics, and tools subsector showcased significant deal flow in Q1 2022, reaching $10.3 billion. This was followed by a decline in Q2 and Q3, with a slight increase in Q4. Unfortunately, Q1 2023 showed a decline to $1.1 billion. The medtech, device, digital treatment, and wearables subsector consistently displayed low deal values throughout the quarters, lacking significant fluctuations. Similarly, the manufacturing tech, others subsector had relatively low values, except for a peak in Q4 2022 at $0.2 billion. The therapeutic platforms and biopharma subsector exhibited the highest variability, while the medtech, device, digital treatment, and wearables subsector lacked significant fluctuations.

R&D Partnerships - medtech vs other healthcare & life sciences. Number of R&D Partnerships by Sector

Throughout 2022, the therapeutic platforms and biopharma subsector maintained a consistent lead in the number of partnerships. In Q1, there were 147 partnerships, followed by 130 in Q2, 118 in Q3, and 136 in Q4. Similarly, the diagnostics, sequencing, omics, and tools subsector displayed many partnerships in Q1 (59), gradually decreasing to 38 in Q3 and Q4, with 36 in Q2. The medtech, device, digital treatment, and wearables subsector demonstrated a relatively stable number of partnerships across the quarters, ranging from 16 in Q1 to 17 in Q1 2023. On the other hand, the manufacturing tech and other subsectors experienced fluctuations, reaching a peak of 10 partnerships in Q2 and the lowest number of partnerships in Q4 (6). Overall, the therapeutic platforms and biopharma subsector had the highest total number of partnerships (675), followed by the diagnostics, sequencing, omics, and tools subsector (203), the medtech, device, digital Treatment, and wearables subsector (57), and the manufacturing tech and others subsector (40). These findings indicate a consistent interest in partnerships focused on therapeutic platforms, biopharma, diagnostics, and tools development. At the same time, the medtech, device, digital treatment, and wearables subsector showed moderate partnership activity, and the manufacturing tech and others subsector had relatively fewer partnerships.

 

Collaborations Revolutionizing Medtech
    • In January 2023, Caris Life Sciences partnered with ConcertAI to offer a reference platform for cancer researchers and clinicians, combining real-world patient information with comprehensive tumor mutation data.
    • In February 2023, Ascensia Diabetes Care and the Snaq, an App-based platform, introduced a feature allowing users to scan food and obtain instant nutritional information. The collaboration aims to assist individuals with diabetes in making informed dietary choices.
    • In February 2023, Philips and Masimo integrated the W1 smartwatch into Philips’ patient monitoring software, enabling the continuous collection of vital signs data for analysis and sharing with healthcare providers.
    • In February 2023, Bayer and Huma expanded their partnership to introduce a heart disease screening tool, facilitating user risk evaluation on the Bayer Aspirin website.
    • In March 2023, Bigfoot acquired an algorithm from McGill University, potentially integrating it into their Unity system for diabetes management. The FDA-cleared technology involves smart caps for insulin pens that connect wirelessly to glucose monitors.
    • In March 2023, Barrow expressed readiness to partner with Neuralink on brain-computer interface trials, leveraging their experience in brain implants.
    • In March 2023, Abbott and Ancora Heart developed implanted devices to enhance outcomes for heart failure patients.
    • In March 2023, Eli Lilly collaborated with Roche’s diagnostics division to assist in developing the Elecsys Amyloid Plasma Panel (EAPP) blood test for Alzheimer’s disease diagnosis
Conclusion

R&D partnerships in Medtech in Q1 2023 were instrumental in driving innovation, fostering collaboration, and shaping the future of healthcare. The outlook for this sector in 2023 is promising and holds significant potential despite its current low. As we move forward, we can expect continued collaboration between Medtech companies, research institutions, and other stakeholders to drive innovation and address critical healthcare challenges. Overall, the prospect for R&D partnerships in Medtech in 2023 is characterized by a drive for innovation, interdisciplinary collaboration, and the development of transformative healthcare technologies. These partnerships will play a crucial role in shaping the future of healthcare delivery, improving patient care, and advancing the overall quality of healthcare systems worldwide.

21,598

Licensing Deals

22,217

Funding Rounds

4,216

M&A

35,278

Company Profiles

5,897

Other Deals

27,588

Drug Sales Figures

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