Medical Device Industry

In its basic form, medical technology development has been reported since the early days of recorded history. However, most technologies and devices that markedly improved human health and increased life expectancy have been developed in the last half century. Although in the last two decades economic cycles and uncertainties have affected several industries, the medical device sector reaped the benefits of earlier investments and delivered unmatched improvements in life quality. The U.S. medical technology industry is the largest producer of medical devices and diagnostics, with production evaluated at $77 billion in 2002. Medical device firms invested about 11% of their revenues in research and development, more than any other industrial sector with the exception of pharmaceuticals manufacturers. As a result, between 1980 and 2000, the heart attack mortality decreased by about 40%, the stroke deaths declined by 37%, diabetes complications were 25% fewer, and breast cancer mortality was 20% lower. Americans now have a life expectancy at birth of 76.5 years. This article reviews the progress made in the medical device industry in the last 25 years. Keywords: medical devices; patient care; government regulations