US market for orthopedic extremity devices to grow at 10% CAGR to $4.6 billion by 2015

According to Millennium Research Group (MRG), the global authority on medical technology market intelligence, the prosperity of the US market for orthopedic extremity devices will be bolstered by continued product innovation and surgeon specialization. Despite sluggish economic performance in the US market and impending regulatory changes imposed by health care reform, the US orthopedic extremity device market will generate over $4.6 billion in revenues by 2015, growing at a compound annual growth rate in excess of 10%.

“Sustained innovation by small emerging players will play a key role in changing the landscape of the orthopedic extremity space”

In 2010, the US orthopedic extremity device market was dominated by orthopedic giants, including Arthrex, DePuy, Smith & Nephew, Stryker, Synthes, and Zimmer. Leveraging strong cash reserves, existing sales channels, and surgeon relationships, these companies have successfully gained a strong footing in the orthopedic extremity space. Despite this, there are several small, emerging companies that have managed to carve a substantial share of the market. For example, the launch of the STAR™ three-piece mobile-bearing total ankle replacement has been integral to Small Bone Innovations' commercial success in the foot and ankle space. Similarly, Tornier's line of Aequalis reconstructive shoulder implants has cemented the company's position as a market leader in the US reconstructive shoulder device market.

"Sustained innovation by small emerging players will play a key role in changing the landscape of the orthopedic extremity space," says Arun Jaganathan, Analyst at MRG. "Devices such as the STAR™ three-piece mobile-bearing total ankle replacement have been shown to substantially improve patient outcomes and, consequently, garner significant price premiums. Although US health care reform will heighten scrutiny into the device approval process and limit hospital reimbursement, device manufacturers are also actively funding surgeon training and medical education programs, geared to advancing surgeon specialization and comfort using their devices. This, combined with increased manufacturer marketing efforts and patient awareness of available orthopedic extremity devices, will fuel growth of this market."

MRG's US Markets for Orthopedic Extremity Devices 2011 report provides critical insight into emerging trends that will fuel product adoption and market growth for orthopedic extremity reconstructive implants, trauma and osteosynthesis devices, sports medicine/soft tissue repair devices, and biologics through 2015. Additionally, the report provides a comprehensive breakdown of procedure volumes, unit sales, average selling prices, and revenues by device type. This report includes five-year forecasts, up-to-date market shares, and in-depth qualitative insights.