News | December 30, 1999

Y2K to Bring $500K+ to Faro in Surgery Royalties

Source: FARO Technologies Inc.
FARO Technologies Inc. Technologies Inc (Lake Mary, FL) will get more than $500,000 in royalties in 2000 for licensing image-guided surgery intellectual property to three major medical suppliers. The latest licensee to come on board is Radionics Software Applications Inc, a Massachusetts-based manufacturer of medical instruments.

While Faro discontinued medical product development and sales in 1993 to focus primarily on industrial applications of 3D measuring technology, the company continued aggressively patenting many of the innovations it had developed in its 10 years as a medical products manufacturer.

Radionics is the third major supplier of computer-assisted surgical products to sign a non-exclusive, royalty-bearing license to the Faro patents. The largest is Minneapolis-based Medtronic with neurological and spinal business estimated at more than $1 billion.

"Faro will benefit from a continuously increasing royalty revenue stream which was in excess of $400,000 in 1999 and is expected to exceed $500,000 in 2000," says Simon Raab, Faro president and CEO. "We are excited with Medtronic's consolidation efforts in the computer-assisted surgery sector and expect continuous growth from the market leader in this exciting market. We will continue to license 3D technology in the surgical products market, but will continue focusing research and development on the advanced use of computers and 3D information in the industrial arena."FARO Technologies Inc. Technologies' product line includes FaroArm portable measurement equipment, a broad range of CAD-based inspection software for portable and fixed-based CMMs, and factory-level statistical process control (SPC) software for Computer-Aided Manufacturing Measurement (CAMM).

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Edited by Jim Lorincz