10. General Electric

General Electric
(Getty Images/josefkubes)

General Electric
Headquarters: Boston, Massachusetts
2024 projected sales: $12.9 billion
2024 projected R&D spend: $1.1 billion
2017 sales: $10.2 billion
2017 R&D spend: $1 billion

General Electric announced plans this past summer to spin off its healthcare business into a stand-alone medtech giant, with products spanning diagnostic imaging, biomanufacturing, data analytics and patient monitoring.

While Bloomberg estimated the independent company could carry an eye-watering enterprise value of up to $70 billion, GE executives still described the move as part of a plan to create a leaner, more nimble operation that could respond faster to changes in the industry and advances in technology.

“We will build on strong customer demand for integrated precision health solutions and great technology with digital and analytics capabilities as we enter our next chapter,” said GE Healthcare CEO Kieran Murphy. Murphy will continue to lead the new company, which will also hold on to its GE branding while its parent moves to focus on aviation, power and renewable energy.

The split was announced just three months after GE Healthcare signed a $1.05 billion deal to offload its health IT assets to the private equity firm Veritas Capital, including its products for managing healthcare finances, workforces and ambulatory care.

RELATED: Roche, GE ally to develop clinical decision support software

“GE Healthcare will continue to significantly invest in core digital solutions, such as smart diagnostics, connected devices, AI and enterprise imaging, that will drive precision health for our customers,” Murphy said at the time.

While the larger GE Healthcare collected $19 billion in revenue in 2017, including from its biomanufacturing and cell therapy divisions, its medtech segments brought in $10.2 billion—mostly from the diagnostic imaging sector, where it has captured about a fifth of the market.

RELATED: GE Healthcare to build AI-based command center at NHS teaching hospital

Evaluate rates the nearly $40 billion diagnostic imaging market as the third-largest medtech segment, behind in vitro diagnostics and cardiology devices, and forecasts it to grow to $51 billion by 2024. There, GE places a close second, nestled in between industry leader Siemens Healthineers and Philips, all three of which are expected to take home 20% pieces of the market.

However, GE is expected to see the slowest gains of the three, growing 3.3% annually from 2017’s diagnostic imaging sales of $8.8 billion to 2024’s prediction of just over $11 billion.

Over the same time period, Evaluate expects GE to be bounced out of the top 10 companies by R&D spending. With its investments totaling just over $1 billion expected to only grow by 1.0% annually, GE may get leapfrogged by bigger outlays from Boston Scientific, BD, Danaher and Stryker, dropping from seventh to 11th place.

10. General Electric

Suggested Articles

Invitae aims to expand its genetic counseling reach through the $50 million acquisition of Clear Genetics, developers of digital chatbot software.

Gilead presented studies at AASLD showing how noninvasive testing and machine learning could improve diagnostics and drug development for NASH.

HDL unveiled data showing its treatment reduced reduced coronary artery damage in patients with a genetic disorder that causes high cholesterol.