Sector in brief
Medical technology is a key growth market. The world market currently amounts to around EUR 445.5 billion and is expected to grow at a rate of more than six per cent per year. Bavaria's medical technology companies benefit greatly from this.The turnover of approx. 6.1 billion euros is generated 93% by small and medium-sized enterprises. Around 65 per cent of their products are exported to a wide range of countries abroad. Those which remain here find a potential customer base of around 400 approved acute hospitals, 285 prevention and rehabilitation institutions and 47 award-winning spas and health resorts in Bavaria alone.
Medical technology in Germany brings products to market-readiness quickly. The companies in the sector achieve over thirty per cent of their sales with products which are less than three years old. The Medical Valley in Erlangen and the Forum MedTech Pharma e.V., the largest network for the health sector in Germany and Europe, also contribute to this in Bavaria. Bavaria offers ideal production conditions for medical technology, thanks to active sectors whose own production and research are also useful for medical technology, among other factors. These sectors include mechatronics, information and communications technology and the field of photonics and optics.
445.5 billion euros is the size of the world market
Compared to other countries, Germany is the leader in the medical technology sector with a per capita turnover of over EUR 400. Germany’s medical technology industry generates the second largest share of the world market and generates about one third of all sales within the European Union. Bavaria is the second largest state for MedTech companies in Germany and, together with Baden-Württemberg, generates 51% of total German sales.
Figures from the medical technology sector
per cent export quota for Bavarian medical technology products
approved acute care hospitals in Bavaria
prevention and rehabilitation facilities
spa towns and health resorts
Talent and research
Many universities in Bavaria demonstrate a high level of expertise in medical technology. Examples include the Friedrich-Alexander-Universität Erlangen-Nürnberg with its Centre for Medical Physics and Technology, the Universitätsklinik Regensburg with its International Center for Telemedicine and the Technische Universität München with its Chair for Medical Technology. Outside the universities, Bavaria is also home to organisations such as the Innovation Centre for Therapeutic Medical Technology (ITEM GmbH) in Garching, which make valuable contributions to research in medical technology.
Important contributions to research in medical technology and to turning research results into market-ready products are made by a large number of research groups in Bavaria, in which scientists from various faculties work together with partners from business on research and development topics, as well as by the companies themselves. There are around 180 companies conducting research in medical technology in the Medical Valley in the Nuremberg Metropolitan Region alone. Bavarian research institutions also ensure excellent sector-relevant training. As a result, more than 30,000 people are employed in the industry in Bavaria and the job market also offers a large number of skilled workers whose high level of expertise can be used for medical technology.
One of the most important networks in medical technology in Bavaria is Medical Valley EMN, whose members today aim only “to develop products, services and solutions which significantly increase effectiveness and efficiency in prevention, diagnosis, therapy and rehabilitation”. The largest network in the health sector in Germany and Europe has also established itself in Bavaria: the MedTech Pharma e.V. forum. It now has over 600 members from throughout Germany and 13 other countries. With Munich as the international head office of the EU-funded initiative EIT Health e.V., Bavaria acquires one of the world’s largest publicly funded initiatives in the health sector. German science and industry are networking with over 140 international partners with the aim of improving the European health care system. The “Future Platform Bavaria: Digital Healthcare 2020” was established in Bavaria for the constant exchange of experts and development of new concepts, in order to find solutions for new challenges in the health sector as a community.
Many other networks in Bavaria ensure that new companies and start-ups in medical technology have the ideal chance of success from the word go. The university cooperation network BioMedTec Franken, for example, supports the foundation and relocation of innovative companies in the sector in Franconia. There is also a series of innovation centres and business incubators with special expertise, benefiting specifically companies in medical technology. They include the Innovation Centre for Medical Technology and Pharmaceuticals (IZMP) in Erlangen. This integrates new companies quickly into existing networks, where many contacts can unlock new prospects for them.
In addition to a strong network, start-ups in medical technology find a unique infrastructure in Bavaria for open exchange with the industry and top international partners.
The first accelerator focused on digital health was launched in Munich in 2018 and is already one of the largest innovation hubs for the healthcare sector in Europe. The start-up Creasphere was founded by the pharmaceutical company Roche and Plug and Play, the world’s largest start-up accelerator and one of the most active investors in the Silicon Valley. With the addition of further partners such as the French pharmaceutical group Sanofi and Sana Kliniken AG, the third largest private hospital operator in Germany with its head office in Munich, start-ups can drive their business models forward over twelve weeks.
The Health Hackers association from Erlangen offers the HealthTech community a platform for the interdisciplinary exchange of medicine, IT and technology. Among other things through events such as the Digital Health Challenge or various hackathons in digital healthcare.
If start-ups are looking for more intensive support and possibly a small office in an incubator, Medical Valley is a suitable contact point here.
All awards, such as the Bayerische Innovationspreis Gesundheitstelematik (BIG – Bavarian Innovation Prize for Healthcare Telematics), which is awarded during the Bavarian Day of Telemedicine, emphasise the appreciation of progress and innovation in the region. Young companies come into contact with established companies at various events in Munich, such as Future X Healthcare, the Digital Health Summit and the European Health Congress. In Erlangen, Siemens Healthineers invites you to the External Innovation Think Tank (eiTT) annual exhibition. You will find more information on these and other events in our event calendar.