What, you have never heard about generic medical devices? Welcome to a new, hitherto unknown territory that is now being bravely explored by a company, appropriately called Generic Medical Devices Inc.
Medgadget editors got a chance to interview Richard Kuntz, the company’s President and CEO.
1. How long has the company been around?
I founded Generic Medical Devices (GMD) in April 2006 along with co-founders Dr. Raymond Rackley, Al Aladwani and Ron Bromfield and we officially launched the company on December 11, 2006. GMD received ISO 13485:2003 certification in November 2006 and 510(k) market notification from the FDA for our first product in January 2007.
2. What were the motivations to found the firm?
I have spent over 25 years in the device industry with industry-leading companies including Johnson & Johnson, Spacelabs Medical, Cyberonics and Northstar Neuroscience. Throughout my industry tenure, I have witnessed prices of branded medical devices consistently rise despite a financial crisis in the healthcare industry and impending bankruptcy of Medicare.
About two years ago, I was at a pharmacy picking up a prescription for my mother when I was told that I could get either a name-brand drug that would cost $160 with insurance or a generic version that cost $10. When I asked what the difference was, I was told “there is no difference.” You might call it my “ah ha” moment because I started thinking about my own industry and wondered whether any companies were manufacturing generic medical devices. I did some initial research, and to my surprise, found none.
It also became clear that the model used by the generic pharmaceutical industry could be replicated for medical devices. In the past, introducing generic surgical devices had been stalled by patents protecting brand-name products, some lasting for as long as 17 years. However, many of these standard-of-care products are now seeing their patents expire, providing a significant opportunity for high quality, lower cost alternatives.
3. What devices are you going to focus at first, and why?
For each device we plan to bring to market, GMD uses strict evaluation criteria to determine if a device has existing 510(k) product classification, existing reimbursement by Medicare and third-party payors, established product safety, efficacy and outcomes, a trained physician and surgeon base, and available supply chain opportunities.
Our initial focus will be on Class II implantable and surgical implementation devices in the area of pelvic health where there is a wealth of standard-of-care, off-patent devices that have continued to go up in price despite little innovation. GMD’s first three products include: a Universal Circumcision clamp, which received 510(k) clearance in January 2007 and CE Mark approval in February; general surgical mesh for a variety of surgical uses, including hernia repair and dural, cardiac and orthopedic procedures; and a universal mid-urethral sling system to treat stress urinary incontinence.

Circumcision clamps, for example, have a proven record of efficacy and utility, with a large market cap that will be positively impacted by a reduction in costs with the availability of a generic substitute. We will begin to market and sell the Universal Circumcision Clamp in the second quarter of 2007.
4. What about in the long run?





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The population of Japan is aging quickly and soon there may not be enough young folk left to care to their needs. This sounds like a job for some good old fashioned Japanese ingenuity.
Neurobiologist Katerina Akassoglou, at the University of California, has made a breakthrough in understanding the regenerative properties of the human liver. Cirrhotic livers everywhere raise their glasses to her in appreciation.
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LidoPen® auto-injector to self-administer lidocaine while the ambulance is en route. The LidoPen® can be crucial for saving a subscriber’s life in cases where a severe arrhythmia is diagnosed by Monitor Center staff. LidoPen® is an automatic, patient-administered syringe containing a single 300-mg. dose of Lidocaine. Lidocaine provides immediate, reliable treatment to patients suffering from ventricular tachycardia until professional help arrives.
NovoTTF-100A is an experimental portable, battery operated device by an Israeli company NovoCure. It is currently in Phase III of US clinical trial for chronic treatment of patients with recurrent or progressive glioblastoma multiforme (GBM). The device is thought to function by producing alternating electric fields (i.e. TTFields) that are thought to disrupt cancer replication. GBM is one of the most aggressive cancers with (probably) no known survivors.
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