GlobalData, a leading global business intelligence provider offering advanced analytic to help clients make better and more informed decisions every day, reports that the neurostimulation devices that use electricity to stimulate neurons in the nervous system and are used to treat conditions such as Parkinson’s disease and chronic back pain are becoming more common as the world’s elderly population is increasing.
The report states that the value of the global neurostimulation devices market was $2.3 billion in 2011, but this will almost double by 2018 to reach $4.4 billion in 2018, climbing at a Compound Annual Growth Rate (CAGR) of 10 per cent.
GlobalData largely attributes this growth to expanding patient pools for ailments typically associated with older people: Parkinson’s disease, overactive bladder, chronic pain, essential tremor and dystonia. These conditions cost national healthcare authorities around the world billions of dollars annually, making clinically proven and cost-effective neurostimulation therapy an attractive solution.
Successful treatment outcomes for people with these disorders have led to extensive further research. As a result, the market pipeline consists of traditional applications for neurostimulation therapy, as well as new and innovative ones.
In the US, the Food and Drug Administration’s (FDA) fast-track programme, intended to facilitate progress and a quick review process, is encouraging companies to invest in the development of advanced neurostimulation devices designed to address serious conditions.
Furthermore, the Centres for Medicare and Medicaid Services (CMS) initiated a New Technology Add-on Payment (NTAP) programme that provides payment incentives under Medicare’s inpatient prospective payment system. Beginning in 2001, the programme reimburses up to 50 per cent of the cost of the implementation of new technologies, further promoting innovation.
Included among the approved technologies under the NTAP programme is bilateral Deep Brain Stimulators (DBS) for the treatment of Parkinson’s disease, and rechargeable implantable spinal cord neurostimulators, which are used for the treatment of chronic pain.
According to 2011 figures, Medtronic dominates the global neurostimulation devices market, with a huge 62 per cent share and revenue of $1.4 billion. The firm holds such a strong position due to a number of factors, including 37 manufacturing sites around the world and a presence in the market for over 30 years. St. Jude Medical held the second largest portion with 15 per cent of the market, with Boston Scientific not far behind with a 13 per cent share.