This CGM thing not that easy after all

This CGM thing not that easy after all

There are times when Diabetic Investor just sits back and laughs. Yes after 20 years covering this wacky world there are still things that just crack us up. The most recent chuckle came yesterday when Insulet (NASDAQ:PODD) issued a press release that stated;

“Insulet Corporation (NASDAQ: PODD), the leader in tubeless insulin pump technology with its OmniPod® Insulin Management System, and DexCom, Inc (NASDAQ: DXCM), the leader in continuous glucose monitoring (“CGM”) technology, today announced their intention to allow information from Dexcom’s 5th generation CGM system to be identified, received and displayed on Insulet’s new Bluetooth-enabled Personal Diabetes Manager (“PDM”), currently in development.

This project expands upon the initial agreement announced in June to enable the Dexcom mobile app platform to integrate data from Insulet’s OmniPod System.  That platform will be the first of its kind to enable glucose and pump data to be displayed on a smartphone.

“We are pleased to expand our development relationship with Dexcom to receive and display Dexcom G5 Sensor data on our new PDM, eliminating the need to carry a separate CGM receiver,” said Duane DeSisto, President and Chief Executive Officer of Insulet. ” This collaboration furthers our shared vision of helping people living with diabetes by providing greater access to the data they need to make smart and effective decisions to better manage and control their disease.”

“We are pleased to be back working with Insulet to bring our leading-edge technologies together to help people living with diabetes better manage their disease,” said Kevin Sayer, President and Chief Operating Officer of Dexcom. “

Keep in mind that this is the same Insulet who insisted they didn’t need to work with Dexcom that they could come up with their own CGM.  That this way cool system would be easily integrated into the existing pod platform. Most experts however believed that the cgm sensor would be too close to where insulin was being delivered therefore impacting sensor accuracy. Yet Insulet insisted they could make it work.

Now some including Diabetic Investor thought if the company wasn’t smart enough to work with Dexcom, who by all accounts has the best CGM system, the next best thing would be to buy the Navigator from Abbott (NYSE:ABT). While the Navigator had many issues they weren’t performance related, they were Abbott related.

Yet for reasons only known to Insulet they decided to break their deal with Dexcom, not buy the Navigator and go out on their own. A truly strange move when everyone, not just Diabetic Investor, felt this was one of the dumbest moves in diabetes device history and considering the history in this wacky business that’s saying something.

Well as it turns out this CGM thing isn’t as easy as Insulet thought which has brought them back to where they belonged in the first place. Never mind that the company has wasted precious resources and lost valuable time with their ill-fated attempt to go it alone. Nope we’re pretty sure the company who will announce earnings tomorrow after the market closes will have a perfectly good explanation as to why this is the right move. Why they didn’t really waste money or time? Yep if there is one thing we can count on it’s that Insulet will come up with lots of corporate speak when they do something stupid.

Honestly there are times when we wish we were actually making this stuff up, that companies couldn’t be this stupid. Still this is the wacky world of diabetes where anything can and usually does happen, which makes our job pretty damn easy. RIBIT!