Medtronic plc (NYSE: MDT), a global leader in healthcare technology, has announced a definitive agreement to expand its partnership with Cosmo Intelligent Medical Devices, a subsidiary of Cosmo Pharmaceuticals. This collaboration focuses on the development and integration of AI-driven solutions to advance endoscopy and improve patient outcomes globally. The strategic alliance builds on the success of the GI Genius™ intelligent endoscopy module, an FDA-cleared AI product in gastrointestinal care.
The GI Genius module, a computer-aided polyp detection system powered by AI, has demonstrated significant impact since its U.S. launch in 2021. It has increased gastroenterologists’ adenoma detection rate by 14%, reshaping the landscape of gastrointestinal screening. The platform’s growth in customer install base year over year underscores the potential of AI in enhancing medical procedures.
The expanded partnership aims to leverage innovative and scalable AI platforms like AI Access™, designed to host multiple third-party AI applications. This approach facilitates faster innovation and streamlines the AI development process across medical AI applications, broadening the spectrum of diagnostic tools and treatment options.
Ken Washington, Chief Technology Officer at Medtronic, highlighted the transformative potential of the partnership: “Our expanded partnership with Cosmo is fostering a collaborative ecosystem where Medtronic’s broad spectrum of medical expertise converges with Cosmo’s technological prowess, creating a synergy that propels us forward.”
Geoff Martha, Chairman and CEO at Medtronic, emphasized the commitment to providing cutting-edge tools and elevating patient care standards: “We’re setting a new course for the future, where AI-assisted healthcare is not just an option, but a fundamental aspect of patient treatment and outcomes.”
Under the terms of the agreement, Medtronic will pay Cosmo $100 million upfront, along with a double-digit royalty on net sales and potential milestone payments of $100 million expected by the end of 2024. Cosmo Pharmaceuticals will continue as the exclusive manufacturer, granting Medtronic exclusive, global, commercial rights.
Alessandro Della Chà, CEO of Cosmo Pharmaceuticals, stated: “Our continued partnership with Medtronic is pivotal in further enabling the GI Genius platform to offer enhanced AI solutions and improved clinical outcomes to patients globally. This collaboration is set to unlock significant value, marking a major stride in our journey towards healthcare innovation.”
The collaboration reflects a commitment to rapidly improving the healthcare landscape and transforming the future of healthcare through the integration of AI. It represents a major stride towards healthcare innovation, combining Medtronic’s medical expertise with Cosmo’s AI technology to create a powerful partnership.