2015 med tech R&D budget: $1.600 billion
Change from 2014 budget ($1.652 billion): -3%
Percent of 2015 segment sales ($25.1 billion): 6%
Johnson & Johnson ($JNJ) is known for its R&D dominance, but it isn’t resting on its laurels. The company said earlier this year that it would build on its history of partnerships and strike more deals to acquire high-growth platforms. J&J also pledged to focus on fast-growing market segments to revive its lagging medical devices business.
The company has already made forays into electrophysiology, robotics and neurovascular, but it will also try to enter the structural heart market, Gary Pruden, J&J worldwide chairman of medical devices and EVP, said in May. Those markets are growing at a rate of 10% or more, Pruden said, so cashing in on them will be critical to achieving scale.
Surgical robotics in particular will be an area to watch, Pruden said, with an “important milestone at the end of the year” after J&J transitions “from concept development to full product development.” Verb Surgical, the company’s JV with former Google Life Sciences, is planning to reveal details about its surgical robotics system, which has largely been kept under wraps.
J&J is also looking to other areas to chart growth, including 3-D printing. In May, the company said it would partner with an HP subsidiary to use 3-D printing to develop personalized healthcare devices for patients.
Earlier this year, J&J launched a consumer health and wellness tech accelerator, which it created with Sunnyvale, CA-based tech accelerator Plug and Play Tech Center. The accelerator was meant to complement its medical device and pharma-centered innovation center, Johnson & Johnson Innovation JLABS, while giving startups the resources they need to succeed in the field.
J&J rolls out wearable insulin patch data in advance of 2016 launch
J&J to enter structural heart devices, details Verb strategy in robotic surgery
J&J and HP partner on 3-D printing for medical, consumer products
J&J dials up diagnostic R&D with new projects for COPD, gestational diabetes mellitus
J&J highlights consumer devices, most investable 6 device segments in quest for growth
J&J hints at 'bold steps' in device deals in 2016, details 5 device collaborations
J&J launches consumer health and wellness tech accelerator