Continuous Glucose Monitoring: Future Challenges and Opportunities

Technological Advancements in CGM Devices

Technological advancements in CGM devices are being driven by innovations such as Dexcom's Omnipod 5 Automated Insulin Delivery System with Dexcom G7, Abbott's tailored solutions for diverse users, and the application of predictive modeling and machine learning for interactive insights. These developments are enhancing market growth and user engagement.

"DexCom, Inc. (NASDAQ:DXCM), the global leader in real-time continuous glucose monitoring (CGM) for people with diabetes, will showcase its expanding focus on Dexcom CGM use among people with Type 2 diabetes, the launch of the Omnipod 5 Automated Insulin Delivery System with Dexcom G7 and its relentless commitment to innovation at the 84th Scientific Sessions of the American Diabetes Association conference held June 21–24, 2024, in Orlando." --- (DXCM, press release, 2024/06/20)

"Given our clear leadership position in these markets, we have demonstrated our ability to tailor solutions, approach and communication for the various types of users who compose the CGM customer base." --- (ABT, earning call, 2024/Q2)

"So the technology itself is driving market growth, and our CGM partners are doing it, and we're leading the way in AID." --- (PODD, earning call, 2024/Q1)

"New US users doubled year-over-year again this quarter. And since launch, we've seen a significant increase in CGM attachment rates, resulting in high-teens growth in US CGM revenue in Q4." --- (MDT, earning call, 2024/Q4)

"We also intend to expand our efforts to accumulate CGM patient data and metrics and apply predictive modeling and machine learning to generate interactive CGM insights that can inform patient behavior." --- (DXCM, sec filing, 2024/Q2)

Regulatory Challenges in the CGM Market

Regulatory challenges in the CGM market include reshaping policies to support American manufacturers (DXCM), obtaining regulatory approval for new products (MDT), and navigating the evolving landscape of data and insurance coverage (ABT).

"National Protectionists believe in reshaping & redirecting the regulatory state to advance policies that improve the plight of American workers and manufacturers." --- (DXCM, twitter, 2024/07/11)

"• Our ability to meet growing demand for our existing products and to successfully develop, obtain regulatory approval of and commercialize the products within our pipeline. Neuroscience" --- (MDT, sec filing, 2024/Q4)

"I think back five years ago, and where we are today was probably not in most people’s forecasts, and with the amount of data we have showing in non-diabetics how beneficial CGM is, how are you thinking about data versus not data, insurance coverage versus not insurance coverage, and how do the markets look one way or the other?" --- (ABT, earning call, 2024/Q2)

Market Competition and Strategic Positioning

PODD emphasizes its strong competitive positioning in the MDI market, while ABT highlights its robust international market presence. MDT focuses on strategic investments for future growth, and DXCM underscores the importance of R&D for maintaining competitive advantage. Collectively, these strategies illustrate diverse approaches to market competition and strategic positioning in the CGM sector.

"And so that's why we always say MDI is our target market. And from a competitive positioning point of view, we win that battle very, very handily." --- (PODD, earning call, 2024/Q1)

"And I think we're well positioned there. Internationally, I think we got some pretty large markets already." --- (ABT, earning call, 2024/Q1)

"And we've purposely driven investments in our strategic growth drivers as we work to commercialize many of the exciting innovations that we've got heading into '25." --- (MDT, earning call, 2024/Q4)

"We continue to believe that focused investments in research and development are critical to our future growth and competitive position in the marketplace, and to the development of new and updated products and services that are central to our core business strategy." --- (DXCM, sec filing, 2024/Q1)

"We've got a very strong market leadership position, the right product portfolio to address the needs of both the type 1 and the type 2 global markets and a clear and focused strategy to drive continued growth leveraging our significant competitive advantages." --- (PODD, earning call, 2024/Q1)

Integration with Other Health Technologies

Integration with other health technologies is advancing through expanded sales efforts, AI integration, and partnerships with electronic medical records and Automated Insulin Delivery systems, as highlighted by leaders from Dexcom, Apple, and Medtronic.

"And so, if you have a situation where we are expanding our sales force and reaching broader and touch points, where a lot of these folks are seen, right, they're seen really across the gamut of the healthcare spectrum, that expansion does allow us to get out there and educate more." --- (DXCM, earning call, 2024/Q1)

"We see more and more enterprise customers embracing the Mac. In Healthcare, Epic Systems, the world's largest electronic medical record provider, recently launched its native app for the Mac, making it easier for healthcare organizations like Emory Health to transition thousands of PCs to the Mac for clinical use." --- (AAPL, earning call, 2024/Q2)

"Now the enabling technologies has to have good stuff. It has to be integrated, it has to have value, AI is a big piece of that." --- (MDT, earning call, 2024/Q4)

"So, that is moving. And it's really started to -- it started moving, obviously, at the back half of last year, and having some to your point, the AID integration was very helpful for the base." --- (DXCM, earning call, 2024/Q1)

"And our goals were really simple. One was to accelerate innovation, in particular bring new and novel technologies to high growth areas." --- (MDT, conference, 2024/06/11)

Future Market Growth and Opportunities

Companies like Abbott, Insulet, Dexcom, and Medtronic are confident in sustaining premium growth in the CGM market, driven by innovative products like G7 and FreeStyle Libre, and strong international market performance. These advancements and opportunities are expected to fuel significant future market growth.

"When you look at the future, that gives us the confidence of sustaining its premium growth within the med tech industry." --- (ABT, earning call, 2024/Q1)

"So we expect our growth to be heavier in the second. It would normally seasonally be stronger in the second half in our industry, but G7 will create a tailwind." --- (PODD, conference, 2024/06/06)

"However, there's also a massive opportunity in our existing markets. G7 is a wonderful product." --- (DXCM, earning call, 2024/Q1)

"The increase in net sales for fiscal year 2024 was driven by growth in most businesses, including Surgical, Cranial & Spinal Technologies, Diabetes, and Cardiac Pacing, as well as strength in international markets." --- (MDT, sec filing, 2024/Q4)

"FreeStyle Libre sales were $1.5 billion in the quarter and grew 23%. As I previously mentioned, that Libre has several new growth opportunities that will help continue to fuel the strong sales trajectory we have forecasted." --- (ABT, earning call, 2024/Q1)