The Rock Health accelerator for digital health did some tracking of its own–2012 investment action in the wide, wild world of digital health. Good news: investments were up 45% vs. 2011 to $1.4 billion. Not so great news: more than 20% of that was due to five large deals; out of 179 companies, only eight had invested in three or more companies. Many of the eight are familiar: Qualcomm Ventures, Aberdare Ventures, Merck Global Health Innovation Fund, NEA, West Health Investment Fund, BlueCross BlueShield Venture Partners, Council Capital and the ubiquitous Khosla Ventures. Most of these investments funded technologies relating to consumer engagement and personal health tracking. According to the bar chart in the article, most deals exceeded $5 million. Rock Health’s presentation (Slideshare). MedCityNews article.
The US Defense Advanced Research Projects Agency (DARPA) is looking for a small business developer to provide a Portable Brain Recording Device and App–not just any EEG + app but one that is low-cost ($30), highly portable, easily usable in the field, easy to use sensors, and downloads high-fidelity data directly to a phone or tablet without an interface. Beyond the battlefield, it’s envisioned in civilian hospitals and commercial research adaptations. Specifications are contained in SB131-002 Portable Brain Recording Device & App, 13.1 Small Business Innovation Research (SBIR) here–read carefully all supporting material. On DARPA’s 2013 Wish List: Extreme Diving, Portable Brain Reading, And Gravity Vision (PopSci) Hat tip to TANN Ireland’s Toni Bunting.
Kaiser Permanente may–or may not–have fully dodged a near-atomic data breach of over 300,000 patient records and more. A now-public dispute between Kaiser and a vendor which stored records for some of their Southern California hospitals has put Kaiser in the hot seat for its practices with both the California Department of Public Health and US Health and Human Services (HHS). This long-time vendor was sued by Kaiser initially for not returning all records after the contract ended, and for storing records in questionable circumstances including a shared warehouse storing party rental items and a Ford Mustang, plus other records on home computers and hard drives stored in open garages. The vendor countered by accusing Kaiser of not encrypting transfers of electronic files and sending patient data requests and other sensitive information via unencrypted email. By the end of the Los Angeles Times article, you’ll be holding your aching head in disbelief at both sides, while reaching for the Tylenol (or Panadol). Vast cache of Kaiser patient details was kept in private home.
The Leap Motion gesture controller, widely tagged as the must-have gizmo of 2013 [TA 27 Dec] took one step forward from gizmo-dom by being bundled in selected ASUS PCs and notebooks by end of year. In the GizMag article are some stats on the controller–it can track the movement of the user’s hands at a ‘blistering’ 290 frames per second, tracking movements to 1/100th millimeter, far greater than Microsoft Kinect. A pointer to the nearby future for surgery, rehabilitation, personal connectedness.
A surprisingly dim view, at the level of The Gimlet Eye’s, of the Quantified Self, by Deanna Pogorelc in MedCityNews. She leads off with a tweet with Eric Topol reporting his first patient with ‘cyberchondria’. What to do with the data other than worrying about it? Well, it seems that developers and car makers like Ford and BMW are insisting that we have it (yes, heart rate DOES go up in NYC rush hour traffic), but does the average, non-chronic-condition person know what to do with TMI (too much information) other than worry? “The heart of the quantified self movement is empowering patients with their own data, but some of the startups and research projects I’ve seen lately make me think that we are overestimating the total number of people who want it and know what to do with it.” Well said. Are we headed toward the over-quantified self?
…you’ll be interested in attending Silvers Summit on Tuesday 8 January (agenda), Fitness Tech also on Tuesday (agenda), the two-day Digital Health Summit on Wednesday and Thursday 9-10 January (agenda) or TechZones such as Eureka Park and Robotics.
Update 8 Jan: Prepare yourself for the onslaught by reading this preview of health and fitness tech at CES — wearable tech as a short-term trend and smaller, cheaper devices longer term, but where does all that data go–and who’s looking at it. Health-and-Fitness Tech Grows at CES, but Challenges Lie Ahead (AllThingsD)
Brian Dolan of Mobihealthnews did some panning among Alere‘s SEC filings and found this nugget in their 8 November 10-Q (not cited in the article, but readily available on the Alere corporate website). Under ‘Acquisition-related Contingent Consideration Obligations’ (page 26), this refers to the undisclosed July acquisition price of MedApps, now Alere Connect:
With respect to MedApps, the terms of the acquisition agreement require us to make earn-out payments upon achievement of certain technological and product development milestones through January 15, 2015. The maximum amount of the earn-out payments is $22.0 million.
The headline and article, Alere to pay as much as $22M for MedApps, created an interesting debate on the Digital Health LinkedIn group (member access only) on what seemed to be a dismayingly low price for a company considered to be a development pioneer and quality leader in wireless telehealth, replete with FDA Class II, CE and Health Canada clearances, plus plenty of sweat and tears. Editor Donna pointed out that the SEC filing did not disclose the closing payment at time of sale–the earn-out structure, so typical of early-stage technology acquisitions, is in addition to the closing (which could be substantial, or little, in cash and stock) because outside investors generally want to exit at that time. What is also apparent is that the earn-out is based on ‘milestones’, which look fine in the rosy light of purchase but can prove to be very difficult to achieve, potentially reducing the $22 million earn-out. But what this bit of legwork gives us is a chalk mark on the board for mobile telehealth devices, and it’s a little lower than we thought.
The first business day of the New Year started off positively for telehealth, with the announcement of the $5 million Series A financing of Independa, developer of the Angela social engagement system for older adults and the Artemis telehealth system. Investors are healthcare investment firm City Hill Ventures, a previous investor, and strategic partner LG Electronics USA, with participation by additional investors. LG became a partner with Independa last year with the Angela system piloting on LG’s Pro:Centric Healthcare TVs. Independa release
MediSafe Project, based in Haifa, Israel, has developed an Android and iPhone medication reminder app that both advises the user and alerts family members when medications are not taken. The HealthWorks Collective article claims MediSafe is the first cloud-based mobile med reminder app (which Editor Donna questions, thinking of Merck’s Vree and Janssen’s Care4Today here in the US), but what is interesting here is the potential for big data analytics; according to the CEO, “which demographics have higher non-compliance for a drug compared to the general population, the doctors or areas that have the lowest prescription rates with a city, competitive drugs patients are switching to, and so on.” This big data is clearly the revenue model, as the app is free on Google Play and the iTunes App store worldwide in multiple languages for Android (iTunes English only). Interestingly, the reminder system is being translated shortly to an automated phone system for those with simple or feature phones.
A trend to mark for 2013 is how monitors and testing devices are shrinking in size–and getting cheaper. Misfit’s Shine [TA 22 Dec], the Smart Steth [TA 18 Dec], the GE Vscan, the iTube food tester [TA 13 Dec] and in fact the entire area of simple mobile-enabled devices for testing in developing countries point the way. Here are three more fresh from the university labs, just waiting for commercialization:
- Wearable wireless, button-sized computers (well, a large button). Dr. Roozbeh Jafari, assistant professor of electrical engineering at University of Texas-Dallas, is designing highly power-efficient sensors and microcontrollers which can be used in gait detection (the Holy Grail of fall prediction). UTD release
- Flexible, organic, fully sterilizable transistors will facilitate wearable, patch-like health monitors or implantable devices. Developed by a team from University of Tokyo, Japan Science and Technology Agency and Princeton University with key work done at the Brookhaven National Laboratory in Long Island, NY. Brookhaven Lab release. Both Dr. Jafari’s sensors and the transistor are featured in the Risk Factor blog on IEEE Spectrum.
- Run blood tests on a credit card-sized chip. The V-Chip (volumetric bar-chart chip) can instantly check a single drop of blood for up to 50 different substances. It also costs an amazing $10. Developed at Houston’s Methodist Hospital Research Institute and MD Anderson Cancer Center. Gizmag. Full paper in Nature Communications.
InMedica, the health tech research analytics arm of UK-based IMS Research, released in December this startling growth number for telehealth–55% vs. 2012–applying to both device and service revenue for 2013. Startling because 2012/2011 growth in revenue was only 18% and 2011/2010 growth was a paltry 5%, even as patients grew by 22%. InMedica cites the uncertain economic situation in Europe and ‘ambiguity on the impact of healthcare reform’ in the US as dampening growth. In 2013, InMedica sees growth drivers in the US as the implementation of CMS 30-day re-admissions penalties and the influence of new care models for hospital systems and large practices such as ACOs (accountable care organizations). The release is mysteriously silent on changes driving European telehealth, and remarkably ambiguous on exactly how remote patient monitoring and telehealth will integrate into care models. More in FierceMobileHealthcare.
A reader contacted me (Ed. Steve) today to say he was having problems contacting anyone from Honeywell about support for Genesis DM units – he is new to his post and has not been left contact details. The Honeywell contact for whom I have details is on leave until next Monday – and the website (http://www.hommed.co.uk/) is down. If anyone has a current contact who is available, please email me.
The Telecare Services Association’s (TSA) Board of Directors is seeking an ‘inspirational managing director’ to direct and deliver the Association’s 3 year business plan and to support the chief executive. Key challenges will be to build and maintain influential relationships with members and key external stakeholders, continue to raise the profile of the Association and to develop the business to take on the significant challenges ahead. The person appointed is expected to have skills in management and implementing change, be able to engage and influence with government departments and external stakeholders at a senior level, and be an effective public speaker. Salary £55,000 plus benefits. Closing date 11 January. Application details here.
One last 2012 take on this eternally buzzy subject. Despite the illogical Fast Company Co.Exist headline (What’s the future of doctors when sensors in your electronics diagnose disease? Even Vinod Khosla would say the sensors do not and the algorithms aren’t there yet), this is a reasonably nuanced article on the downside of The Quantified Self–that even the Ph.D gearheads will have to use automation to sort out everyday changes from those which are leading indicators of something significant; that big data analysis and data mining at the heart of personal automated diagnostics can be kind of creepy, but with the capacity for devastation and inaccuracy. The positive conclusion: doctors will work with people to sort out not only the physical but also the emotional state of well-being. It is cheerful enough, but then the picture of your average PCP (GP) waist-deep in patient data, alerts and forms, tablet and smartphone beeping, materializes as the Ghost of Christmas Present to Near-Future. Marley shows up dragging the last three FBQs* piled in a sack–and we begin to realize that the only Charles Dickens who’ll be writing The Ghost of Christmas Future, is us.
*Who’s looking at the data, who’s actioning it, how data is integrated into patient records
Editors Donna and Steve wish all our readers the best for the remaining holiday season, and for the New Year!
Where did it go? Some short cuts and loose ends tied up from a very fast year…
LifeNexus scores $2.2 million for credit card-type PHR from 16 investors. The proprietary software/card reader/provider terminal system can handle up to six persons per card and also can double as a prepaid card. According to reports, 4,000 cards are already in use in Washington state. Pluses: convenience, privacy and security. Minuses: potential loss, closed system and EHR interoperability. MedCityNews
We haven’t heard from the LifeBot emergency telemedicine system in a long time–early 2011. Their news is that they have finally untethered their units from the original ‘super ambulance’ concept to a fully portable 15 lb. unit which connects an EMT anywhere to a hospital with patient data and live video feeds. The LifeBot 5 Interceptor has voice and video transmission, ECG leads, monitors heart rate and blood pressure, blood oxygen levels and body temperature and also connects to EHRs. Cost is estimated at $20,000. The LifeBot DREAMS communications system was developed by the Department of Defense’s TATRC and the US Army Medical Research and Material Command. SingularityHub Hat tip to reader Toni Bunting.
Telehealth innovating the clinical trial in 2013. Expanding upon Editor Steve’s recent noting of startup Transparency Life Sciences gaining the first FDA approval of a clinical trial using telehealth monitoring (on the use of the blood pressure drug lisiniprol on MS patients) is Mobihealthnews. Other companies are slicing off digital pieces, such as Janssen R&D’s Clinical Trial Innovation Unit (of Johnson & Johnson) developing a shared online databank of non-proprietary clinical information plus a standard online portal for investigators to communicate with pharmaceutical companies. Omniscience Mobile is currently using mobile communication between participants and investigators for companies like Pfizer and Merck. The pointer to the future is that mobile data collection can make trials more efficient, more accurate and decrease cost. Clinical trials still ripe for mobile-enabled innovations
A digitalized tuning fork for detecting diabetic neuropathy. Podiatrists and physicians use the 128-Hz tuning fork to detect early signs of diabetic loss of sensation in the feet. Serial inventor and device entrepreneur Todd O’Brien, DPM has now invented, with design at the Advanced Manufacturing Center at the University of Maine, a tubular digital device which reproduces the vibrations and duration in a quantifiable manner. A small clinical trial has already won recognition by the American Podiatric Medical Association. He is seeking to commercialize its use in both podiatry and for the home with a mobile platform. MedCityNews
Following on from our 1 November article Is Australian telehealth alive, dead or just comatose?, it is now officially ‘beleaguered’. As of 1 January, more than eight million people formerly considered distant enough to qualify for telehealth and telemedicine services are now considered ‘urban’ and will no longer qualify due for a (AU) Medicare rebate for internet video consultations with medical specialists started in 2011. According to the article, it seems to affect psychiatric services and other specialist services; also GPs who’ve installed now un-utilized telehealth equipment in clinics. The savings will be (AU) $128.5 million on the $620 million scheme, although it spurred broadband development across Australia. According to a comment on LinkedIn by reader/commenter Dr. George Margelis, “The net effect is that telemedicine in Australia will flounder, because uncertainty is the greatest deterrent in medicine.” Millions across Australia to lose Telehealth rebates from New Year (News.com.au) Hat tip to reader Ellen Fink-Samnick of LinkedIn’s ‘Ellen’s Ethical Lens’.