Dr. Wi-Fi to the Rescue

Biotech companies see opportunities in the overburdened U.S. medical system for high-tech devices that could revolutionize health care

By Celeste LeCompte

You can get wireless data access just about everywhere these days, from your bathtub to Barcelona's city streets, so why not in your body? Well, soon you will—or at least, that's the vision of a handful of emerging biotech companies. As the Boomer generation ages, companies eyeing the overburdened U.S. medical systems see opportunities to extend the reach of existing medical care, free up health resources for those who need them most, and encourage long-term health and fitness using technology. Here's a look at a few of the high-tech devices aiming to revolutionize health care:

CardioNet

In order to diagnose heart problems, patients are traditionally hooked to electrocardiogram (ECG) monitors and confined to bed while their heart rates are monitored. But without the triggers of daily life—stress, activity and other environmental issues—heart conditions are difficult to observe and diagnose. CardioNet, which went public in March 2008 and whose shares are still trading above their IPO price, has come up with a wireless solution that allows patients to wear ECG sensors that transmit information wirelessly to a handheld device. The CardioNet monitor, which is equipped with a CDMA 1X radio, sends data via the Sprint network back to doctors, who can monitor heart activity under real-world conditions.

According to Don Jones, vice-president for business development at Qualcomm's Health & Life Sciences division (a CardioNet investor and partner), the CardioNet system is 300% more effective than traditional inpatient monitoring. That means improved patient care, while also saving money for hospitals and insurance companies by freeing up hospital beds. All of which is good for CardioNet's business, too. In its fourth-quarter earnings statement, the company said demand for its device is growing at greater than 40% a year, and revenues climbed 44% from the previous year, surpassing analyst expectations.

Smart Bandages

A host of other companies (like Triage Wireless, another Qualcomm partner) are developing "smart bandage" technologies that can send data from patients' bodies to doctors using wireless networks, Bluetooth and 3G networks among them. Like the wireless ECG monitors, smart bandages stick to a patient's skin, collect information, and transmit it wirelessly to a medical monitoring system. Designed primarily for outpatient monitoring, these devices collect and transmit a surprising array of data from a single peel-and-stick sensor, including activity levels, heart rate, perspiration, body position, blood pressure, and more. Intel is also interested in marketing similar products.

Public Health for Pennies

Proteus Biomedical is working on a companion technology to such "smart bandages," an edible microchip meant to signal to the skin-stuck sensor when it's been ingested. Wonder why that might be useful? Here's the gist: Patients don't always take their pills. The company's system, called Raisin, can be used to alert doctors, family members, or patients themselves when drugs have —or haven't—been taken.

While the company has talked about the potential to use its technology for monitoring heart patient compliance with treatment, the first application (currently in clinical trials in Denver) could be tuberculosis treatment.