Value Creation: Wireless Health Companies at the Fore
During the annual Wireless-Life Science Alliance’s (WLSA) Investor’s Meeting held in La Jolla, California last week, I had the good fortune to hear a keynote presentation by Terrance Gregg, CEO at San Diego-based DexCom, which produces wearable continuous glucose monitoring devices. Mr Gregg alluded to challenges the company has faced over the course of its history in terms of maintaining its independence while other, more established companies eyed its technology for acquisition.
After hearing this part of the DexCom story, it occurred to me that independence and durability are the eternal challenges faced by most successful technology companies and entrepreneurs…. Moreover, it’s particularly poignant in the wireless health space, where the primary goals of improving the health and well-being of everyone on the planet (from industrialized to developing nations alike) and effecting drastic cost reductions in healthcare systems (some with unsustainable business models), mostly overshadow the important economic value (i.e. job creation) being created by new businesses formed to address these unmet needs.
To be clear, there is a continuum of social good being done, but with modern business realities including investor ROI requirements and exit strategies plus revenue generation needs, the idea of a sustainable company can quite easily be pushed outside the spectrum of priorities. This is why companies like DexCom, CardioNet (the first FDA-cleared wireless health company), Corventis (wireless cardiovascular solutions), and others, many working in obscurity, are laudable in that their leaders have the fortitude to build something without compromising any of these major values.
And while large companies and multinational corporations deserve credit, too, since they are essential stakeholders and drivers in the wireless health ecosystem, I’d like to tip my hat to these smaller companies and entrepreneurs, relentlessly working to achieve their multi-faceted visions of value creation.
Posted on TelecareAware Tuesday, May 25, 2010