Wednesday, November 22, 2006

Cyberonics

Some interesting news regarding Cyberonics over the past week. Cyberonics is the company that makes the VNS.
First, billionaire Carl Icahn purchased some stock in the company and led to speculation that he would try to force a shakeup in management. This led the stock to climb 20%.
Just 2 days later, the CEO of the company quits after it was revealed that they were likely unfairly timing their stock option purchases. This was followed on Sunday by the resignation of the CFO.

I don't know what to think about this. I always thought that Cyberonics was a little shady after the way they seemed to hide some of the serious side effects of the VNS, claiming they didn't track the patients that were using it outside of FDA approval (ie. all kids under 12!).
Still, I think it was the CEO's cavalier attitude that got the product to where it is. The VNS worked for John, there is no doubt about it. I'd pay the CEO out of my own pocket if I could. But, cheating the system and getting rich off of a money-losing company is simply unethical.

It looks like this action has actually helped the stock. I can only imagine that it will be good for the future of the company. I really hope that a competing company (ie Medtronics) will buy Cyberonics and they can combine their expertise to make a better product.
I'd like to see:
1) a reliable battery life indicator. Right now it will tell you if it's near end of service only.
2) A rechargeable battery that could be recharged through the skin. My toothbrush recharges wirelessly, why can't the VNS do the same?
3) A less-permanent way of attaching the leads to the nerve, so it could be removed more easily if needed.
4) More data on what settings should be tried. It appears to be little more than a guess right now.
5) Programmable via a phone. I worked for a pacemaker company almost a decade ago and we already had this technology. Doctors could interrogate and program the pacemaker through the phoneline from anywhere. It's ridiculous to have to go to a doctors office just to do this, especially if no doctors in your area are qualified.
6) In the future, it also should be able to sense when a seizure is starting and turn on only at that time. It seems so low tech to just have it go on and off 24 hours a day. Other companies are working on this, and I think we'll see it before too long, especially if the right mergers take place in the near future.

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