Intuitive Surgical

The research that eventually led to the development of the da Vinci Surgical System was performed in the late 1980s by Ajit Shah and Gary Guthart at research institute SRI International."Intuitive Surgical." International Directory of Company Histories. The Gale Group, Inc, 2006. Answers.com 30 Jan. 2009. http://www.answers.com/topic/intuitive-surgical-inc (other facts from History section from same source){{Cite news |last=Daily |first=Investor's Business |date=2020-01-16 |title=Intuitive Surgical CEO Cracks The Da Vinci Code Of Success For You |url=https://www.investors.com/news/management/leaders-and-success/intuitive-surgical-ceo-cracks-the-da-vinci-code-of-success/ |archive-url=http://web.archive.org/web/20211019165329/https://www.investors.com/news/management/leaders-and-success/intuitive-surgical-ceo-cracks-the-da-vinci-code-of-success/ |archive-date=2021-10-19 |access-date=2025-03-04 |work=Investor's Business Daily |language=en-US}} In 1990, SRI received funding from the National Institutes of Health. SRI developed a prototype robotic surgical system that caught the interest of the Defense Advanced Research Projects Agency (DARPA), which was interested in the system for its potential to allow surgeons to operate remotely on soldiers wounded on the battlefield.

In 1994, Dr. Frederic Moll became interested in the SRI System, as the device was known at the time. At the time, Moll was employed by Guidant. He tried to interest Guidant in backing it but to no avail. In 1995 Moll was introduced to John Freund who had recently left Acuson Corporation. Freund negotiated an option to acquire SRI's intellectual property and incorporated a new company that he named Intuitive Surgical Devices, Inc.

At that point Freund, Moll, and Robert Younge (also from Acuson) wrote the business plan for the company and raised its initial venture capital. Early investors included the Mayfield Fund, Sierra Ventures, and Morgan Stanley.{{citation needed|date=April 2014}}

The company refined the SRI System into a prototype known originally as "Lenny" (after Leonardo da Vinci), which was ready for testing in 1997. As the company's prototypes became more advanced, they were named using da Vinci themes. One was named "Leonardo", and another was "Mona". The final version of the prototype was nicknamed the da Vinci Surgical System, and the name stuck when the system was eventually commercialized. After further testing, Intuitive Surgical began marketing this system in Europe in 1999, while awaiting FDA approval in the United States.{{citation needed|date=April 2014}}{{Cite web|title=Robotics in Minimally Invasive Surgery|url=http://www.ast.org/articles/2000/2000-12-193.pdf|last=McGuiness|first=Ann Marie|date=Dec 2012|website=Association of Surgical Technologists|access-date=23 May 2020}}

The company raised $46 million in an initial public offering in 2000. That same year, the FDA approved use of the da Vinci Surgical System for general laparoscopic surgery, which can be used to address gallbladder disease and gastroesophageal disease. In 2001, the FDA approved use of the system for prostate surgery. The FDA has subsequently approved the system for thoracoscopic surgery, cardiac procedures performed with adjunctive incisions, and gynecologic procedures.{{cite web |url=http://www.intuitivesurgical.com/corporate/companyprofile/index.aspx |title=Intuitive Surgical - Company Profile |access-date=2008-06-10 |url-status=dead |archive-url=https://web.archive.org/web/20070929003839/http://www.intuitivesurgical.com/corporate/companyprofile/index.aspx |archive-date=2007-09-29 }}

Shortly before going public, Intuitive Surgical was sued for patent infringement by Computer Motion, Inc, its chief rival. Computer Motion had actually gotten into the robotic surgery field earlier than Intuitive Surgical, with its own system, the ZEUS Robotic Surgical System. Although the ZEUS system was approved in Europe, the U.S. Food and Drug Administration had not yet approved it for any procedure at the time that the FDA first approved the da Vinci system. The uncertainty created by the litigation between the companies was a drag on each company's growth. In 2003, Intuitive Surgical and Computer Motion agreed to merge, thus ending the litigation between them.{{cite web|url=http://edgar.secdatabase.com/2339/89161803001169/filing-main.htm |title=INTUITIVE SURGICAL INC, Form 8-K, Current Report, Filing Date Mar 7, 2003 |publisher=secdatabase.com |access-date =May 15, 2018}} The ZEUS system was ultimately phased out in favor of the da Vinci system. Computer Motion was led by Chairman Robert Duggan from 1990 until 2003, when the two companies merged.{{Cite web|title=Robert Duggan|url=https://robertduggan.com/|website=Robert Duggan|access-date=23 May 2020}}

Before the buyout of Computer Motion, the stock of Intuitive was selling at around $14 per share, adjusted for stock splits. After the merger, the stock price rose significantly (and by 2015 it was at about $500),Yahoo finance, Wednesday, April 1, 2015, ISRG https://finance.yahoo.com/q?s=isrg&fr=uh3_finance_web&uhb=uhb2 / primarily because of the growth in systems sold (60 in 2002 compared with 431 in 2014) and the number of surgical procedures performed (less than 1,000 in 2002 compared with 540,000 in 2014).{{citation needed|date=April 2014}}

For the fiscal year 2017, Intuitive Surgical reported earnings of US$660 million, with an annual revenue of US$3.129 billion, an increase of 15.7% over the previous fiscal cycle. Intuitive Surgical's shares traded at over $307 per share, and its market capitalization was valued at over US$58 billion in November 2018.{{Cite web|url=https://www.macrotrends.net/stocks/charts/ISRG/intuitive-surgical/revenue|title=Intuitive Surgical Revenue 2006-2018 {{!}} ISRG|website=www.macrotrends.net|access-date=2018-11-06}}

{{main|da Vinci Surgical System}}

{{Infobox CVG system

|title = Da Vinci Surgical System

|image = 150px

|manufacturer = Intuitive Surgical

|type = Robotic surgery

}}

The da Vinci Surgical System is a robotic surgical system. The system is controlled by a surgeon from a console.

This minimally invasive surgical approach is commonly used for prostatectomies and increasingly for cardiac valve repair and gynaecologic surgical procedures.[http://www.marketwatch.com/news/story/fascinating-visit-high-tech-operating-room/story.aspx?guid={2BE812BD-BE91-492C-A0B2-65A0C8324430}&dist=msr_2 Robots as surgical enablers], MarketWatch, 3 February 2005[https://www.nytimes.com/2008/05/04/business/04moll.html Prepping Robots to Perform Surgery], The New York Times, 4 May 2008

A da Vinci Surgical System costs approximately $1.5 million.{{Cite web |url=http://www.jyi.org/news/nb.php?id=1499 |title=JYI.org :: The DaVinci® Robot: Reducing Recovery Time and Medical Costs in the Operating Room |access-date=2008-10-29 |archive-date=2012-11-06 |archive-url=https://web.archive.org/web/20121106224545/http://www.jyi.org/news/nb.php?id=1499 |url-status=dead }} The da Vinci SI released in April 2009 cost about $1.75 million. In addition, there are maintenance contracts plus expenditures for instruments used during surgery. In 2008, The New York Times reported that most hospitals and clinics have a hard time recovering the cost of the robot.

In June 2018, Intuitive Surgical settled class action suits of its shareholders for a payment of $43 million.{{cite web|url=https://www.massdevice.com/intuitive-surgical-pays-43m-to-settle-class-actions/|access-date=2018-10-30|date=2018-06-13|first1=Fink|last1=Densford|title=Intuitive Surgical pays $43m to settle class actions|website=massdevice.com}}{{cite web|url=https://www.law360.com/cases/517af1ee6208d7607a0093e1|date=2018-10-04|access-date=2018-10-30|title=Intuitive Investors Get $42.5M Deal With Bargain Attys' Fees|website=law360.com}} Originally filed in 2013, shareholders alleged Intuitive Surgical failed to report injuries related to their da Vinci robot, thus violating federal security laws. {{Cite web |last=Densford |first=Fink |date=2018-09-13 |title=Intuitive Surgical to settle shareholders suit for $43m |url=https://www.massdevice.com/intuitive-surgical-to-settle-shareholders-suit-for-43m/ |access-date=2025-04-19 |website=MassDevice |language=en-US}}

In 2021, Intuitive was sued for alleged abuse of its monopolist position. Specifically, replacement part manufacturer Rebotix Repair accused Intuitive of anticompetitive behavior in the robots' aftermarket business and overcharging of hospitals for replacement parts.{{cn|date=August 2022}} The initiative was followed up by a wave of similar class-action lawsuits shortly afterwards, including those filed by Kaleida Health and Franciscan Health.{{Cite web |last=Herman |first=Bob |date=2021-07-13 |title=Hospitals are taking on a surgical robot monopoly |url=https://www.axios.com/2021/07/13/hospitals-are-taking-on-a-surgical-robot-monopoly |access-date=2022-08-24 |website=Axios |language=en}}{{Cite web |title=Kaleida, other systems sue maker of da Vinci surgical robots over alleged monopoly |url=https://www.beckershospitalreview.com/digital-transformation/kaleida-other-systems-sue-maker-of-da-vinci-surgical-robots-over-alleged-monopoly.html |access-date=2022-08-24 |website=www.beckershospitalreview.com|date=14 July 2021 }} In August of 2022, Rebotix v. Intuitive settled out of court shortly before trial was set to begin.{{Cite web |url=https://www.bizjournals.com/buffalo/news/2022/08/17/kaleida-health-rebotix-repair-intuitive-surgical.html |title=Kaleida 'watching closely' as robotic surgery lawsuit go to trial |access-date=2022-08-24 |website=www.bizjournals.com}}{{Cite web |title=Monopoly suit against Intuitive Surgical moving to trial |url=https://www.beckersasc.com/asc-news/monopoly-suit-against-intuitive-surgical-moving-to-trial.html |access-date=2022-08-24 |website=www.beckersasc.com|date=18 August 2022 }}

Sultzer v. Intuitive Surgical, Inc. involved a claim against Intuitive that a defect in its da Vinci surgical robot allowed electricity to arc through a patient's spine, resulting in her death.{{Cite web |title=Widower Drops Suit Over Surgical Robot-Related Death |url=https://www.law360.com/articles/1857473/widower-drops-suit-over-surgical-robot-related-death |access-date=2024-07-18 |website=www.law360.com|date=12 July 2024}} Intuitive was represented by Bradley Arant Boult Cummings. On July 12, 2024, the plaintiff agreed to drop the case.

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• {{Official website|https://www.intuitive.com}}
• [https://web.archive.org/web/20200801221306/https://www.accessdata.fda.gov/scripts/cdrh/cfdocs/cfTPLC/tplc.cfm?id=NAY Intuitive Surgical Product Recalls by FDA]

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Category:Robotics companies of the United States

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