as nasdaq isrg s & p 500 component industry medical appliances & equipment founded 1995 headquarters sunnyvale california united states key people gary s. guthart ceo lonnie m. smith chairman products da vinci surgical system revenue us 2 265.1 million 2013 1 us 2 178.8 million 2012 1 operating income us 852.5 million 2013 1 us 878.1 million 2012 1 net income us 671.0 million 2013 1 us 656.6 million 2012 1 total assets us 3 950.3 million 2013 2 us 4 059.2 million 2012 1 total equity us 3 501.4 million 2013 2 us 3 580.1 million 2012 1 number of employees 2 739 as of march 31 2014 3 website www.intuitivesurgical.com intuitive surgical inc. is an american corporation that manufactures robotic surgical systems most notably the da vinci surgical system . the da vinci surgical system allows surgery to be performed using robotic manipulators . the company is part of the nasdaq 100 and s & p 500 . intuitive surgical has installed over 1 242 systems worldwide as of july 2009 . 4 computer motion was a competitor that merged with intuitive surgical in 2003 . contents 1 history 2 da vinci surgical system 2.1 overview 2.2 criticism 3 references 4 external links history edit the research that eventually led to the development of the da vinci surgical system was performed in the late 1980s at non profit research institute sri international . 5 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 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 the company refined the sri system into a prototype known originally as lenny after the young 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 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 . 6 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 . 7 the zeus system was ultimately phased out in favor of the da vinci system . 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 8 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 . da vinci surgical system edit main article da vinci surgical system da vinci surgical system 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 . it is commonly used for prostatectomies and increasingly for cardiac valve repair and gynecologic surgical procedures . 9 10 overview edit the da vinci system has been designed to improve upon conventional laparoscopy in which the surgeon operates while standing using hand held long shafted instruments which have no wrists . the da vinci system consists of a surgeon s console that is typically in the same room as the patient and a patient side cart with four interactive robotic arms controlled from the console . three of the arms are for tools that hold objects act as a scalpel scissors bovie or unipolar or bipolar electrocautery instruments . the fourth arm is for an endoscopic camera with two lenses that gives the surgeon full stereoscopic vision from the console . the surgeon sits at the console and looks through two eye holes at a 3 d image of the procedure meanwhile maneuvering the arms with two hand controllers . right sided foot controls operate the energy supplied to the instruments to cauterize coagulate or cut the tissue . left sided foot controls help to move the endoscopic camera in or out and therefore bring the surgical image closer or further away . the da vinci system scales filters and translates the surgeon s hand movements into more precise micro movements of the instruments which operate through small incisions in the body . by providing surgeons with superior visualization enhanced dexterity greater precision and ergonomic comfort the da vinci surgical system makes it possible for more surgeons to perform minimally invasive procedures involving complex dissection or reconstruction . for the patient a da vinci procedure can offer all the potential benefits of a minimally invasive procedure including less pain less blood loss and less need for blood transfusions . moreover the da vinci system can enable a shorter hospital stay a quicker recovery and faster return to normal daily activities . 11 a da vinci surgical system costs approximately 1.5 million . 12 the new 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 . surgical procedures performed with the robot take longer than traditional ones . critics have pointed out that hospitals have a hard time recovering the cost and that most clinical data does not support the claim of improved patient outcomes . 10 criticism edit on may 19 2000 computer motion inc. of goleta california filed suit against intuitive surgical alleging infringement by intuitive surgical of seven u.s. patents relating to robotic surgery . 13 while the use of robotic surgery has become an item in the advertisement of medical services critics point out a lack of studies that indicate long term results are superior to results following laparoscopic surgery . 14 on the other hand there is no question citation needed that some procedures that have traditionally been performed with large incisions can be converted to minimally invasive endoscopic procedures with the use of the da vinci shortening length of stay in the hospital and reducing recovery times . but because of the hefty cost of the robotic system it is not clear that it is cost effective for hospitals and physicians despite any benefits to patients since there is no additional reimbursement paid by the government or insurance companies when the system is used . data are absent to show that these increased costs can be justified . another problem is that in the medical literature very experienced surgeons tend to publish their results . these however may not be representative of surgeons with lesser experience . 14 and there is a steep learning curve for surgeons who adopt use of the system . citation needed on the other hand as more surgeons are being trained on davinci systems from the outset of their careers it is becoming apparent that the skills needed to become a successful davinci surgeon are similar to those that any good surgeon must develop . good hand eye coordination a talent for tissue handling and a thorough knowledge of anatomy are only enhanced through the davinci interface . the difficult learning curve of handling the robot is merely familiarity with how to bring the machine close to the operating table and attaching it to the patient and how best to position the operating ports to allow optimal access to the target anatomy . these obstacles are overcome quickly and enthusiastically when the surgeon realizes that the actual performance of the operation in the sitting position at the console is less physically demanding and more precise than with traditional laparoscopy . this translates into a more relaxed and in control surgeon who may suffer fewer of the long term physical consequences that result from prolonged standing precarious balancing and neck craning that often accompany traditional laparoscopic surgery . citation needed and finally davinci robotic surgical techniques are learned more quickly by more surgeons than are learned by surgeons who devote themselves to non robotic laparoscopy only . citation needed it is clear citation needed that non robotic laparoscopic techniques are harder to learn and master than robotic techniques . hospitals with successful davinci programs are finding that their costs are marginally but not significantly clarification needed higher with robotic surgery . greater numbers of patients especially those that suffer from obesity can undergo a safe robotic operation whereas before non surgical options were emphasized for those with high bmi values . one advantage to davinci may well be its ability to extend safe surgical options to more individuals . references edit a b c d e f g h intuitive surgical inc 2013 annual report form 10 k xbrl . united states securities and exchange commission . february 3 2014 . a b intuitive surgical inc 2014 q1 quarterly report form 10 q xbrl . united states securities and exchange commission . april 25 2014 . http phx.corporate ir.net phoenix.zhtml c 122359 & p irol faq 22325 intuitive surgical inc. 2008 10 17 . form 10 q for quarter ending september 30 2008 . sec . retrieved 2009 01 15 . 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 http www.intuitivesurgical.com corporate companyprofile index.aspx http sec.edgar online.com 2003 03 07 000089161 8 03 001169 section10.asp merger information yahoo finance wednesday april 1 2015 isrg http finance.yahoo.com q s isrg & fr uh3 finance web & uhb uhb2 robots as surgical enablers marketwatch 3 february 2005 a b prepping robots to perform surgery the new york times 4 may 2008 payne tn dauterive fr 2008 . a comparison of total laparoscopic hysterectomy to robotically assisted hysterectomy surgical outcomes in a community practice . j minim invasive gynecol . 15 3 286 91 . doi 10.1016 j.jmig .2008.01.008 . pmid 18439499 . http www.jyi.org news nb.php id 1499 computer motion files