Let’s get real here folks

Let’s get real here folks

Given the chatter that’s going on in the wacky world of diabetes one just might get the impression that no one or at least very few diabetes companies, both drug and device, have clue about how to move forward. Here are just some the rumors floating around – rather than fight on Abbott (NYSE:ABT) has decided to CLOSE not sell their diabetes unit – Animas, which has never made money for Johnson and Johnson (NYSE:JNJ) will also surrender and sell their patient base to Medtronic (NYSE:MDT) – Sanofi (NYSE:SNY) once again buying Bayer’s diabetes unit.

Now before everyone gets all excited take a deep breath and use that muscle between your ears. Listen Abbott has done some pretty dumb things when it comes to their diabetes unit and yes it takes real talent to run not one but two blood glucose monitoring companies into the ground but to think the company would just close this unit down is beyond ludicrous.

Although Diabetic Investor doubts it’s true it’s much more realistic to see JNJ dumping Animas. Let’s face facts JNJ is caught between a rock and hard place.  The mother ship in New Jersey sees that this once cash cow of a business is no longer a cash cow. They also understand that the situation is likely to get worse before it has a chance at getting better. Diabetic Investor suspects the folks at corporate are wondering how long it take for Roche, Abbott or Bayer to implode while at the same curious if the Animas Vibe insulin pump will have the same reception in the US as it’s had in Europe. Quite frankly JNJ is one of the few companies who if they do wait it out will likely end up in an even more dominate position, true they won’t be making the obscene margins they were in the past but there is still money to be made here.

Honestly can’t figure out which is funnier Sanofi’s on again, off again interest in Bayer or an 88 year old widower who was married to one classy lady and is now dating a truck driver. Yes the business of diabetes isn’t the only thing that’s wacky these days.

Given the massive change that’s taking place in healthcare Diabetic Investor can almost guarantee that there will be even more crazy rumors in the months ahead. The simple fact is companies are scrambling to adapt to this new environment and no option no matter how crazy it may seem is being ignored. Granted few, if any, of these rumors will turn into actual fact but look on the bright side it will give Diabetic Investor some great copy and provide a great laugh. As the late Jimmy V said it’s a good day when you can, laugh, love and cry. There will be many good days ahead for the wacky world of diabetes.