Medtronic is spinning off its Diabetes business into a new standalone company—creating waves across the healthcare tech landscape. The move, announced on May 21, 2025, aims to sharpen Medtronic’s focus on high-margin growth areas like robotics, neuromodulation, and cardiovascular innovation.
The New Diabetes Company will emerge as the only scaled player with a fully integrated insulin management ecosystem, uniquely positioned for direct-to-consumer leadership. With over 8,000 employees and global reach, the spinout will also free up capital and increase Medtronic’s earnings potential. Why is Medtronic shedding a core business now? The answer may redefine the next chapter of digital chronic disease management.