Close watchers of the medical device industry are wondering what the two-year suspension of the medical device excise tax really means in practical terms. What will come of the purported millions of dollars medtech companies are expected to save? Will device executives deploy that capital to hire more professionals, bolster their R&D teams, and encourage new inventions? Or will they drop the savings to the bottom line to satisfy the always-hungry shareholders and investor community?
A few executives at top medical device companies anticipated that question and came to this week’s J.P. Morgan Healthcare Conference in San Francisco prepared to answer it.