EtectRx’s technology tracks medication adherence. A tiny sensor embedded in each pill is activated when it reaches the patient’s stomach.
As Proteus Digital Health struggles to sell investors on its “smart pills”, a new competitor has entered the space. Florida-based startup etectRx secured approval from the Food and Drug Administration for its sensor technology on Monday.
When Investment Rhymes with Canada
Canada has a proud history of achievement in the areas of science and technology, and the field of biomanufacturing and life sciences is no exception.
EtectRx creates tiny wireless sensors that are embedded in medications, which are activated once they reach a patient’s stomach. Patients wear a lanyard-based reader while they’re taking their medicine, which sends that data to a secure smartphone application. It also pushes out a notification to the patient’s physician.
“We’re confident that the technology has many applications and we’ll start now to capitalize on those now that we’re cleared,” etectRx CEO Harry Travis said.
The company has partnered with researchers at Brigham and Women’s Hospital and Fenway Health to evaluate etectRx’s ID-Cap system in HIV medications used for treatment and prevention.
Travis did not specify which types of medications etectRx would work with in the future, but said he was encouraged by early conversations with potential pharmaceutical partners.
“Now the rubber meets the road,” he said.
EtectRx was founded nearly a decade ago by Eric Buffkin Jr. and Neil Euliano. Travis joined the company three years ago, after investing new capital into the startup. He had most recently served as vice president of Aetna’s specialty and home-delivery pharmacy business.
The company filed for FDA approval in October of last year, through the agency’s 510(k) clearance. The speedy approval process allows device-makers to compare their product to one that currently exists on the market; in this case, etectRx compared its tech to Proteus’ sensors, which established the category. But there are a few key differences: With Proteus’ tech, patients wear a patch instead of a lanyard.
The market for medication adherence is clear. Patients don’t take their medication up to 50% of the time, according to a 2005 study in the New England Journal of Medicine. Pharmaceutical companies also have a stake in adherence; they lose billions each year when patients don’t refill their prescriptions.
Travis said it will take time to develop partnerships with pharmaceutical companies.
“We don’t know how long. We’ve kept our overhead (costs) and burn rate in the company very low,” he said.
Like many of its peers, the company will also face challenges in securing patients’ trust and keeping costs low. Competitor Proteus faced obstacles with the cost of Abilify MyCite, which rings in at $1,650 per month, well over the cost of the generic equivalent. Some patients also had privacy qualms over the solution, which involved wearing a patch that would detect when the medication was taken.
Travis said by focusing solely on medication adherence, etectRx should be able to navigate these challenges. Since patients can remove the lanyard after they’ve taken their medication, it might feel less intrusive than wearing a patch.
“There are differences between the products. It’s important to look at each therapeutic category to understand what the barriers are,” he said. “Patients will ask, what’s in it for me? Why do you want me to take this monitored medication?”
The answer to that question is beyond etectRx’s control. Rather, it will be up to insurers to reward patients, whether that’s through a discount on their deductible or simply communicating the benefits of adherence.
“I think there’s plenty of opportunity for us to answer that question successfully,” he said.
Photo credit: etectRx
