Regulatory uncertainty paralyzes both medical device companies and their investors.
Southborough, MA (PRWEB) November 1, 2010
According to many financial analysts and other industry experts in past years the medical device industry was considered recession proof. An aging population combined with rapid advances in medical device software technology largely explained why the industry thrived through multiple recessions. Today the economic landscape of the medical device industry is littered with failed and failing start-ups, huge decreases in the stock prices of small to mid-sized medical device companies and with a few shining exceptions the very large medical device companies holding steady or slowing.
Medical device software development expert Andrew Dallas has said in interviews with many financial and general business publications that the Patient Protection and Affordable Care Act is an extremely complex new set of regulations. Some of those regulations have yet to be written and many that have been written are not scheduled to take effect for several years. From a business perspective, it creates enormous uncertainty in the marketplace, both for investors and for medical device companies. "Regulatory uncertainty paralyzes both medical device companies and their investors."
Recently Andrew Dallas was interviewed by the Boston Business Journal (click to see article, paid subscribers only) for an article called Three Massachusett's Medical Device Companies Hit by Setbacks written by Julie Donnelly. In that article Andrew Dallas explained that medical devices require a long strategic planning and hardware and software development process and they are facing a decrease in reimbursement for their medical devices. More information on Full Spectrum Software and Andrew Dallas' latest medical device software article can be found by clicking here.