Global Ultrasound Market Faces Sweeping Change

The world ultrasound market has long been dominated by four major suppliers, (GE Healthcare, Philips Healthcare, Toshiba Medical Solutions, and Siemens Healthcare), with a combined market share of almost 65% in 2009. However, the merger in November 2010 between Hitachi Medical Systems and Aloka may upset such dominance, particularly in the rapidly expanding Asia Pacific market. Further complicating matters is the entrance of Korean electronics giant Samsung Electronics, with the recently announced acquisition 43.5% stake of Medison. While less surprising than the Aloka-Hitachi merger, following Samsung's announced plans earlier this year to invest part of US$ 20 billion into a Healthcare business, it suggests future market competition will be fierce.

"Hitachi and Aloka are both significant players in the Asia Pacific market, forecast as the fastest growing market in the world. Combined, they have the resource and sales network to challenge for customers in the rapidly growing ASEAN region and China," said research analyst Stephen Holloway of InMedica (Wellingborough, United Kingdom). "However, strongest growth is forecast in the immediate years ahead, so rapid integration of the two companies is vital, in order for the newly merged company to capitalize."

According to Inmedica, the recent economic downturn has increased end-user demand for quality systems at lower prices, and the key to future success will be to provide a flexible portfolio of quality ultrasound systems, software, services and education, for a number of clinical applications, at a variety of price points. Strongest growth is forecast for the low-end and compact segments in Asia; however, much greater investment and research will be required to compete with the top-tier suppliers in the established North American and Western European markets.

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Aloka
Hitachi Medical
Medison
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