Friday, January 22, 2010
Congratulations to Dr. Vance Vanier. Yes Dr. Vanier, the ER doctor, turned VC is now the CEO of Navigenics replacing the health insurance executive Jack Lord.
Now you may be asking yourself. What does an ER doctor know about genetic testing? Well, usually not a lot. But after being in the biz for quite some time, I am certain Vance knows quite a bit. Despite that training at Hopkins..........LOL
I am very happy and this is a tremendous step in the right direction for the Board at Navigenics. It shows that they acknowledge the best way to enter the healthcare market and have an impact on people's lives is by working with physicians......Something that they were opposed to in the beginning.
In fact one of their PR wonks who is now gone, talks of a doctor who was advising Navi and said
"Teaching doctors about genetics isn't tough...........It's impossible" and with that attitude they approached DTC genomics.
I am here to tell you today, it "appears" they have turned that corner.
Time will tell, but my guess is that they will move towards the market rapidly and aggressively. They will use the lab to market to physicians. They already have a relationship with a handful of MDVIP doctors. One of which who has set up shop in sleepy 'ol Greenwich CT.
I will be happy to help her......
The next question that this company needs to ask themselves is
"Now that we have the right man at the helm, do we have the right product?"
My answer is pretty simple. No. This not the product.
So now, they need to ask. "Do we have the cash to support our venture, UNTIL we have the right product?"
That is only something MDV will know. But, my guess is yes.
Lastly, they then need to ask themselves "Is genetic testing the product?"
Once again, my answer is no. Which means that Navigenics will likely turn into an unscalable set of medical practices and interpretation software......
The interpretation software will soon be a free commodity, just like genetic testing. Why? Prometheus beat the others and Cariaso wins. Thus no patents........
Which means that the only way they make money is via a lenscrafters model.........Which is precisely what I told Dietrich Stephan, Dr. Rothberg, and a whole slew of VCs about 2 years ago now.......
So if any of you are eavesdropping, give me a call and we can run this...........
That being said, Dr Vanier's appointment is a good thing for PM because it shows that investors and boards now appreciate the fact that physicians must be involved in this process. Which is a win for consumers, because now they have someone who swore an oath to heal and protect the patient at the helm.
So heads up Vance, I will be watching.
Best of luck.
The Sherpa Says: Do or Do Not, there is No Try.
Posted by Steve Murphy MD at 5:08 AM