Philips reports that 'we have received an order for 10,000 new ventilators at four times the price without delivering the ordered ventilator.'



Philips, a Dutch healthcare product and medical equipment manufacturer, said it had unreasonable against the U.S. government to manufacture and deliver 'ventilators' needed for palliative treatment of the new coronavirus infection (COVID-19). It has been reported. Non-profit news organizations for the purpose of public interest

pro-Publica is reported as 'Philips is not only not fulfill the signed's contract of ventilator with the US government, are trying to Musubo a new contract at four times the price' want did.

A Company Promised Cheap Ventilators to the Government,… — ProPublica
https://www.propublica.org/article/a-company-promised-cheap-ventilators-to-the-government-never-delivered-and-is-now-charging-quadruple-the-price-for-the- new-ones

Philips, US government collaborate in ventilator production --News | Philips
https://www.philips.com/aw/about/news/archive/standard/news/press/2020/20200408-philips-and-the-us-government-collaborate-in-ventilator-production-ramp-up- to-combat-covid-19-pandemic.html

On April 8, 2020, the United States Department of Health and Human Services (HHS) announced that it would invest $ 666.7 million in Philips to expand the production capacity of ventilators in the United States. The price of the ventilator to be delivered is $ 15,039 (about 1.6 million yen), and Philips will deliver 2,500 units by May 2020, and plans to deliver a total of 43,000 units by the end of the year.

However, ProPublica pointed out that the deal was 'HHS had already ordered Philips to develop a cheap and durable ventilator in 2014.' In 2014, HHS established a policy of 'increasing the stockpile of domestic ventilators' in response to the recommendation of BARDA , a bioterrorism countermeasure department in the province, and signed a contract with Philips. Under the contract signed in 2014, HHS invested $ 13.8 million (about 1.5 billion yen) in Philips. In addition, there was a clause in this contract that 'the ventilator to be developed will be delivered 10,000 units for $ 3,280 (about 350,000 yen)'.



According to ProPublica, Philips developed the ventilator 'Trilogy Evo Universal' under this agreement. In July 2019, the

US Food and Drug Administration (FDA), which has jurisdiction over medical devices in the United States , approved 'Trilogy Evo Universal,' and production was ready in September.

However, ProPublica reported that Philips did not deliver the 'Trilogy Evo Universal' even though the new coronavirus reached the United States and raged because there was no deadline for the deal. It seems that Philips manufactures more expensive high-end models instead of the cheap 'Trilogy Evo Universal' and sells them in the United States and overseas. 'We don't want to increase production capacity because the'Trilogy Evo Universal'is a model that is manufactured in small quantities and is not planned to be mass-produced,' said Steve Clink, a spokeswoman for the company. The funds invested by the government did not cover all development costs. '



In the new contract announced on April 8, 2020, the US government requested that the product be delivered immediately, so the general sales model ' Trilogy EV300 ' will be delivered. It is not a 'Trilogy Evo Universal' developed under the direction of the US government. In an official announcement about the deal, Philips said, 'From January to March 2020, Philips has already delivered thousands of ventilators to hospitals in the United States.' 'As a result of increased production, Philips Was able to deploy one additional ventilator to each hospital in New York City, which is being used for palliative treatment of COVID-19 patients. '

ProPublica pointed out that the new contract to deliver the ventilator by the end of 2020 is 'too late to deliver' in the current situation where the COVID-19 epidemic continues . 'The good news is that a new ventilator will be delivered, but it's cheaper than buying a quadruple-priced model for the same amount of money,' said John Hick, an emergency medical specialist in Minneapolis. You should buy four times as many models. '

in Hardware, Posted by darkhorse_log