Slowing economy affecting MRI, CT, and nuclear medicine systems, according to Millennium Research Group
WALTHAM, Mass., Nov. 10 /PRNewswire/ -- According to Millennium Research Group's (MRG's) US Markets for Diagnostic Imaging Systems 2009 report and its US Imaging Marketrack(TM) service, a combination of factors involving the current state of the US economy, excess installed capacity, and regulatory initiatives aimed at managing health care costs will have a negative effect on sales of computed tomography (CT) systems, magnetic resonance imaging (MRI) systems, and nuclear medicine scanners over the next five years.
The effect of the US economic downturn in the diagnostic imaging market was evident in MRG's US Imaging Marketrack(TM) findings. Compared to Q2 2008, respondents in Q3 reported lower facility financial health and a notable decrease in diagnostic imaging purchase intentions.
"In addition to the current credit crunch, which has made raising capital for new purchases more difficult and expensive for many facilities," says David Plow, Manager of MRG's Diagnostic Imaging division, "there are already over 8,000 MRI scanners installed in the US, meaning the market has reached saturation. Compounding these restrictions, most MRI facilities are operating below capacity and, as a result, do not intend to purchase additional scanners."
Government cost-cutting initiatives are further dampening revenues. The implementation of the Deficit Reduction Act (DRA) has constrained the market for diagnostic imaging systems. Reduced reimbursements enforced by the DRA have made investment in additional scanners more difficult for nonhospital facilities. Furthermore, proposed initiatives from Centers for Medicare and Medicaid Services (CMS) designed to regulate contrast-enhanced procedures performed in physician offices to restrict self-referral will also hinder scanner sales.
MRG's global coverage of the diagnostic imaging systems marke
|SOURCE Millennium Research Group|
Copyright©2008 PR Newswire.
All rights reserved