OUR NEWS

9/8/2013: Wikinvest: VARIAN is the world's largest producer of cutting-edge radiation therapy equipment

Varian Medical Systems, Inc. (NASDAQ : VAR) is the world's largest producer of cutting-edge radiation therapy equipment used to treat cancerous tumors. Varian holds about 60% of global market share in radiotherapy equipment.

High switching costs protect Varian's market share since a brand-new system costs $2-3 million, compared to upgrades like Varian's newest product RapidArc, which cuts treatment time and costs $400,000. On the other hand, Varian's "open systems" approach lets customers integrate its upgrades with old equipment from competitors, presenting an additional opportunity to steal market share. The reverse is not true of all its competitors.

For more information read the whole article at Wikinvest.com



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