The recall of the t:connect app, which allows users to view their blood sugar data, may unintentionally diminish Tandem’s position in the insulin pump market.
This market was worth $6.58bn in 2023 and is projected to reach sales of $14.06bn in 2033 at a compound annual growth rate of 7.89%, according to GlobalData, a leading data and analytics company.
This recall poses a significant risk to Tandem’s reputation in the insulin pump market as many of these devices connected to this app prevent life-and-death scenarios for patients.
The longer this issue persists, the more potential damage there will be to both the company’s market share and the amount of trust that consumers will put in the app in the future.
The unintended side effect of using the app is the rapid depletion of Tandem’s t:slim insulin pump batteries.
This may be caused by the app retrieving more data than intended, causing excessive Bluetooth communication that depletes the battery.
As a result, the insulin pump could experience a loss of power, causing underdelivered insulin and hyperglycemia.
While the company has issued a software fix, it is still receiving reports of battery issues.
Since the update, there have been a total of 107 malfunctions and two hospitalisations associated with the insulin pump.
The demand for insulin pumps has grown immensely in recent years due to the increasing prevalence of diabetes worldwide and increased consumer awareness regarding advanced technologies in this field.
This market is expected to grow even faster due to reimbursement policies being implemented in developed countries.
The only expected barriers to this growth are the high cost of the devices and the lack of accessibility to healthcare in developing countries, making the use of insulin pumps more restrained.
Although Tandem has a significant market share (9.2%) in the insulin pump market, it is overshadowed by major players that dominate the space such as Medtronic (41.4%), Insulet (16.2%), and Roche (14.7%).
As the insulin pump market continues to grow rapidly and the company's competitors expect similar growth, Tandem’s market share could take a significant hit in response to this recall as patients may look elsewhere for more reliable devices.