CLSA in Investor’s Business Daily: Alphabet, Apple In Tech Health Care ‘Convergence’
By Michele Chandler, Investor’s Business Daily
Jan. 21, 2016
Alphabet, the world’s Internet search leader, is prospecting beyond its core business to strike success in the health care world.
The company’s glucose monitoring contact lens for diabetics is inching closer to drugstore shelves, while sales of its $200 self-stabilizing spoon, designed to help people with uncontrollable hand tremors eat comfortably, topped 1,000 in the first six months.
Google — which restructured last year to become the largest operating unit within a new parent, Alphabet (NASDAQ:GOOGL) — bought biotech company Lift Labs in 2014, just a few months after the health-focused startup began product sales.
Pointing to its broadening emphasis on that and other health and medical advancements, Alphabet last month renamed its Google Life Sciences division Verily Life Sciences. The division brings together clinicians and scientists and is focused on understanding and improving chronic conditions that impact massive numbers of people — health issues including cardiovascular disease, diabetes, cancer, neurodegenerative disease and mental health.
“This is a development in health care that I think is far-reaching and will be long-lasting because we are seeing a period of convergence between the technology companies and the health care companies,” California Life Sciences Association trade group CEO Sara Radcliffe told IBD.
She said changes driving health care and tech firms into partnerships include “the explosion of Big Data” and the resulting demand for ways to manage all that patient information.
Growth of access to data via the Internet cloud and mobile technologies such as Fitbit(NYSE: FIT) wearables are “shifting health care to maintaining and tracking health, rather than simply treating disease,” she said.