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Competition Alive in the Global Spine Market
Date:6/24/2008

Acquisitions, innovation, and diversification intensifies competition

between spine companies, according to Millennium Research Group

WALTHAM, Mass., June 24 /PRNewswire/ -- According to Millennium Research Group's (MRG's) Global Competitor Insights for Spinal Fusion Technologies 2008 report, the spinal fusion market is rife with competitive movements -- including acquisitions, innovation, and diversification -- driving the market to over $5.2 billion by 2012.

In 2007 alone, numerous acquisitions shook up the global spine market. For instance, in February, Zimmer announced its takeover of Endius, a minimally invasive-focused spine technology company. Later that year, Medtronic announced its acquisition of Kyphon, and Synthes' acquisition of N Spine followed in November of the same year. These are just a selection of the strategic initiatives that companies are investigating in order to expand their customer base and market shares in the dynamic spine market.

"Competition is also intensifying through new product designs and enhancements," says Kevin Flewwelling, Manager of MRG's Orthopedics division. "The development of minimally invasive and nonfusion technologies is particularly noteworthy here, with almost every market leader now offering minimally invasive access instrumentation and developing a selection of motion preservation devices, if they haven't already launched such devices on the market."

Diversification outside of the core spinal fusion business will further fuel competition, with such companies as NuVasive and DePuy diving into new segments of the spine market. In May 2008, NuVasive agreed to acquire Osteocel, giving the former company a stronger presence in the bone graft substitute market. DePuy moved into the minimally invasive vertebral compression fracture treatment market in November 2007 with the purchase of the Confidence vertebroplasty system from Kyphon, which the company had to divest post its Disc-O
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SOURCE Millennium Research Group
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