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Report Extract

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Trends Hot Topic DMKC0160959 | Published on 06/06/2016
© Informa UK Ltd. This document is a licensed product and is not to be reproduced or redistributed
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Report reference: DMKC0160959
Published on: 06/06/2016
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Trends Hot Topic DMKC0160959 | Published on 06/06/2016
© Informa UK Ltd. This document is a licensed product and is not to be reproduced or redistributed
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CONTENTS
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EXECUTIVE SUMMARY
What are wearables, and why should pharma care?
Wearables makers: pharma partners or competitors?
Wearables’ early impact in R&D and beyond
Drivers and resistors of wearables in healthcare
Case studies involve a range of players, devices, and therapy
areas Wearables are part of digital health investments
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WHAT ARE WEARABLES, AND WHY SHOULD PHARMA CARE?
Wellness and medicine: blurring boundaries
Enabling patient centricity; lowering costs
Bibliography
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WEARABLES MAKERS: PHARMA PARTNERS OR
COMPETITORS?Who is making wearables?
Fostering and funding digital health innovation
Bibliography
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WEARABLES’ EARLY IMPACT IN R&D AND BEYOND
Most wearables trials to date have been feasibility
studies Bibliography
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DRIVERS AND RESISTORS OF WEARABLES IN HEALTHCARE
Drivers
Resistors
Bibliography
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WEARABLES CASE STUDIES
Wearables are used along the value chain and across stakeholders
Biogen-Google: uncovering the course of multiple sclerosis
Novartis-Qualcomm: building the foundations for mobile trials
Novartis-Microsoft: measuring multiple sclerosis
UCB-MC10: improving diagnosis and treatment of Parkinson’s disease
Johns Hopkins-Apple: using Apple Watch to predict seizures
UnitedHealthcare-Qualcomm: paying for steps
Medibio-Medtronic: diagnosing depression
Google (Verily)-Dexcom: stick-on glucose monitors for diabetes
Otsuka-Proteus Digital Health: digital medicines may improve outcomes but first
must pass regulatory muster
Bibliography
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WEARABLES ARE PART OF DIGITAL HEALTH INVESTMENTS
Unquantified investments

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Trends Hot Topic DMKC0160959 | Published on 06/06/2016
© Informa UK Ltd. This document is a licensed product and is not to be reproduced or redistributed
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LIST OF FIGURES
LIST OF TABLES
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Efficacy gains expected
Who will pay for wearables in healthcare?
The technological future
Bibliography
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APPENDIX
About theauthor
Scope
Methodology
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Figure 1: Wearables’ impact on drug development and marketing
Figure 2: Return on investment from wearables may be realized by supporting higher
reimbursement
Figure 3: Patients’ out-of-pocket purchases of wearables could also feature in future
business models
Figure 4: Wearables can also benefit the bottom line by improving R&D efficiency
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Table 1: Makers of wearables
Table 2: Examples of pharma’s partnerships involving wearables
Table 3: Drivers and resistors of use of wearables in healthcare
Table 4: Selected case studies of wearables’ use

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Trends Hot Topic DMKC0160959 | Published on 06/06/2016
© Informa UK Ltd. This document is a licensed product and is not to be reproduced or redistributed
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Wellness and medicine: blurring boundaries
For now, wearables remain in the experimental phase in regulated medicine. However, the
rapid uptake of health-related wearables such as Fitbit or Jawbone activity trackers within the
consumer market provides a glimpse of the potential of such devices in healthcare. That
opportunity has not escaped the attention of technology and software firms, from giants like
Google to tiny start-ups.
Indeed, the boundary between tools to enable healthy lifestyles and therapeutic solutions to
optimize health outcomes is blurring. Most of the recognized wearable brands, like Fitbit or
Garmin, are marketing device-enabled corporate wellness programs to employers seeking to
lower their health insurance costs (Garmin, 2016). A few healthcare providers, meanwhile,
have started to use devices like Withings’ Wireless Blood Pressure Monitor, a cuff which
connects wirelessly to a smartphone to allow patients to easily take and monitor their own
readings at home, and/or to subsequently share them with a physician (Stanford, 2014). The
device has US Food and Drug Administration (FDA) and European device clearance, and can be
purchased online, along with the rest of Withings’ suite of consumer-tech products. Even
payers are getting in on the action: UnitedHealthcare is offering free activity tracker devices to
some employers and employees, allowing them to earn dollar credits off their insurance
premiums by moving more each day (UnitedHealthcare, 2016).
Enabling patient centricity; lowering costs
As well as expanding the boundaries of modern medicine, wearables are also turning medicine
on its head by putting patients, rather than physicians, at the center. Patients are increasingly
generating their own data, and thereby becoming far more empowered guardians of their own
health, and more
Figure 1: Wearables’ impact on drug development and marketing
Source: Datamonitor Healthcare

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Trends Hot Topic DMKC0160959 | Published on 06/06/2016
© Informa UK Ltd. This document is a licensed product and is not to be reproduced or redistributed
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Drivers
TECHNOLOGICAL: RAPIDLY INCREASING DEVICE SOPHISTICATION; BETTER DATA
ANALYTICS, ENCRYPTION, AND STORAGE CAPABILITIES
In just seven years since the first Fitbit activity tracker was launched, both consumer-focused
and medical-grade wearables have become hugely more sensitive, sophisticated, discreet,
and reliable. They underpin the “quantified self” movement that puts consumers in control of
their own health and wellbeing by allowing them to track various physiological and
psychological parameters in real time. Greater connectivity means that patients can also more
easily and conveniently access specialist advice, armed with real-time data on health
variables. Advances in data analytics techniques and platforms (across a wide range of data
sources, including for instance Internet/social media data), secure storage capabilities and
encryption, and software solutions offering device interoperability are enabling the greater use
of and reliance on wearable tools. Moreover, the body-technology boundary is blurring as
wearables miniaturize (thanks to advances in semiconductors, connectivity, and battery life) into
skin-like patches or “BioStamps,” tiny subdermal implants, and ingestibles (Sheynin, 2016).
COMPETITIVE AND ECONOMIC: DRIVE TOWARDS IMPROVED, MORE COST-EFFECTIVE OUTCOMES
The 2010 Affordable Care Act in the US has compelled payers and providers to focus on cost-
effective care delivery and improved outcomes. Wearable technologies can help with both, in
particular for patients suffering from chronic conditions.
By allowing patients’ conditions to be monitored and assessed within the home
environment, wearables can help avoid emergency care and hospitalization, as well as making
care more convenient for the patient, for example by linking to apps or online programs offering
support and tailored advice. Wearables and related mobile technologies can help increase
medication compliance – a huge driver of outcomes – without sacrificing care quality or
personalization: indeed, real-time data sources can improve personalization.
MORE EFFICIENT R&D, BETTER DIFFERENTIATED MEDICINES
Pharma faces pricing pressure across both specialist and chronic indications. This demands
more efficient R&D, and more clearly differentiated medicines with demonstrably good
outcomes. Wearables can help at all stages of R&D, but also in future as part of
commercial therapies.
Wearables offer the potential to accelerate trial recruitment and shorten trial times (through
greater retention rates), thus lowering R&D costs. In some chronic diseases, they may also
form part of the on-market product differentiation required to resist commoditizing prices: in
diabetes, a lack of significant therapeutic innovation means the competition comes down
to which devices and technology systems can show improved outcomes. Even in specialist
areas like cancer, competition and payer pushback are forcing pharma to prove outcomes and
control prices.
The use of wearable tools in R&D is moving downstream from early development as data
are generated and confidence builds. As with any new endpoint, or measures such as
biomarkers, “those measurements that work will move forward with medicine through its
development lifecycle,” notes

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Trends Hot Topic DMKC0160959 | Published on 06/06/2016
© Informa UK Ltd. This document is a licensed product and is not to be reproduced or redistributed
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The technological future
Wearables will evolve to become smaller, more robust, and more powerful. To overcome the
problem of getting users to engage over the long term, they will become frictionless – requiring
little or no active input from the wearer, instead automatically uploading information to send to
the doctor. “The less amount of time a user has to actively do something to get data, the more
they’ll use it,” explains Rick Rudick, Biogen’s vice president of development sciences and head of
value based medicines. “If I have to take off a sensor, plug it in, upload it, and answer questions,
I’ll soon get tired,” he says, citing experience (personal correspondence, 2016e). Many wearables
may transition into “insideables,” worn under the skin. The tools and algorithms used to analyze
and make meaning from wearables data will also evolve, perhaps eventually to become self-
learning, using data from across ever larger samples and treatments to start to predict the
course of a disease, for instance.
Figure 4: Wearables can also benefit the bottom line by improving R&D efficiency
Source: Datamonitor Healthcare

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