Dive Brief:
- ResMed acquired privately held software company Somnoware to gain a web-based platform aimed at sleep labs, the companies announced Wednesday.
- Somnoware sells software that gives physicians and sleep and lung function testing labs a single platform for evaluating test results, ordering equipment, scheduling appointments and tracking compliance.
- The deal is too small to be material to ResMed’s results, and neither company has disclosed the terms. ResMed said it plans to retain all of Somnoware’s staff and continue to allow users of the software to order devices from its competitors.
Dive Insight:
ResMed has expanded its software capabilities in recent years through acquisitions. Since buying Brightree for $800 million in 2016, the manufacturer of sleep and respiratory care devices has acquired HEALTHCAREfirst for $126 million, bought MatrixCare for $750 million and closed an acquisition of Medifox Dan for almost $1 billion.
The company said Somnoware’s software complements Brightree’s technology, which automates processes at post-acute care providers, and AirView, whose data management software connects to sleep and ventilation devices.
“Somnoware’s offering has been well received in the marketplace and it naturally complements our ecosystem of digital solutions across the patient care pathway,” Bill Shoop, North America general manager at ResMed, said in a statement.
ResMed will integrate the Somnoware platform into its portfolio without closing it off. The plan is to “maintain the open and device-agnostic nature of Somnoware’s offerings so end users can keep interoperating with various testing solutions and place orders for treatment devices and accessories from any supplier.”
ResMed mainly competes with Philips in the sleep and respiratory markets.
ResMed’s software division generated sales of $359.4 million over the first nine months of its financial year, up 21% year over year, and now accounts for more than 10% of the company’s total revenues.
