GE will contribute its home health unit’s assets and Intel will contribute its digital health group’s assets, said the companies, which did not elaborate on the terms beyond saying the venture will be a 50-50 partnership. It will be led by Intel’s Louis Burns, vice president of the digital health group.
The project is part of a GE-Intel collaboration begun last year, the companies said in a statement yesterday. The new company will focus on chronic disease management, independent living, and so-called assistive technologies, GE and Intel said.
“The joint venture structure is a unique way of approaching this marketplace,’’ Omar Ishrak, GE Healthcare Systems’ chief executive, said in an interview. “That’s what will drive competitive advantage in the future.’’
Ishrak said the venture will be operating by year’s end with a few hundred employees, and aims to target markets expected to be valued at a minimum of $3 billion to $5 billion.
GE is the world’s biggest maker of health care imaging and information technology systems, and Santa Clara, Calif.-based Intel is the world’s largest chip maker.