News Feature | March 29, 2016

Philips Inks $77 Million Medical Equipment Deal With U.S. Defense Department

By Jof Enriquez,
Follow me on Twitter @jofenriq

Defense Health Agency EHR Contract Awarded

Philips Medical Systems received a $77 million, one-year contract to supply the United States military with medical equipment. The awarded deal is the seventh one-year option of a potential nine-year contract with the U.S. Department of Defense (DoD).

The maximum $77,172,660 modification is to provide Army, Navy, Air Force, Marine Corps, and federal civilian agencies with patient monitoring systems, subsystems, accessories, consumables, spare/repair parts, and training, according to a press release from the Defense Department.

The appropriation is for the fiscal year 2016 to fiscal year 2017, the contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, PA, and the performance location is Massachusetts, with a completion date of March 29, 2017, per the DoD release.

In addition to supplying medical equipment, Philips also is providing the DoD with digital pathology information technology (IT) solutions and equipment to analyze patient tissue samples, and to help diagnose and treat a variety of diseases.

Philips announced recently that, through DoD’s Information Assurance Certification and Accreditation Process (DIACAP), it earned security compliance certification for its digital pathology system.

"The DIACAP certification and Authorization to Operate (ATO) allows the Philips IntelliSite pathology solution, including the Image Management System, Pathologist Suite andUltra-Fast Scanner, to be deployed across DoD sites globally, and further underscores Philips’ commitment to ensuring DoD’s health care information is secure and safe by continuously updating its products security," according to a prior announcement.

The Philips IntelliSite Pathology Solution is CE Marked under the European Union's 'In Vitro Diagnostics Directive' for in vitro diagnostic use. In the U.S., the system can be used for in vitro diagnostic use for Manual Read of the Digital HER2 Application for breast cancer, and is available for research use only (RUO).

Philips also is collaborating with Banyan Biomarkers on a point-of-care diagnostic test for traumatic brain injury (TBI), which is a major issue of concern in military combat and athletic activity. Banyan received a $26.3 million contract from the DoD to develop its blood test. Philips will help Banyan integrate the technology into its Minicare I-20 handheld device.