And often then they start to ask about basal bolus solutions, which then leads us to talk about DASH. And so one of the key learnings is we think in those practices there’s an opportunity not just for Omnipod GO, but ultimately for Omnipod 5 and intensive insulin therapy. And the other thing I think we’re finding is that there’s a range of patients out there. So I think the kind of stereotypical view is that type 1 patients are treated in endocrinology and a lot of type 2 patients are treated in general practice. But we’re actually finding there’s both in both. And so a lot of the intensive insulin using type 2 patients are already in endocrinology, but we also see them in primary care. And we see actually a surprising number of type 1 patients being treated in primary care as well.
So we think the opportunity there is different and more promising than when we initially launched the pilot. And we will be making a determination about the commercial model and then to in direct answer your question, there probably will be some more investment in sales and support to capture it.
Operator: Thank you. Your next question comes from the line of Matt Taylor with Jefferies. Matt, your line is open.
Matt Taylor: Hi, thank you for taking the question. I guess, I was wondering if you could comment on pump market growth just with all the enhancements going on with integrations and technologies across the space. Can you comment on whether you think the market growth is accelerating, or you think it will accelerate in the coming quarters or next year?
Jim Hollingshead: Thanks, Matt. We think that — you can see the normal cyclicality in the market, but the market is growing, first. And there’s two drivers of market growth. The first one is the widespread adoption of CGM. And the second big driver of market growth is Omnipod 5, because it makes — it so simple to come on to AID. And so as we continue to lead in MDI with a very clear leadership in the MDI position, those MDI patients are market growth for AID and we are leading the way there. So, the technology itself is driving market growth and our CGM partners are doing it and we’re leading the way in AID.
Operator: Thank you. Your next question comes from the line of Matthew O’Brien with Piper Sandler. Matthew, your line is open.
Unidentified Analyst: Hey, this is Phill on from Matt. Thanks for taking our questions. And just to circle back to Travis’s question from before, because I’m not sure that was explicitly clear as it relates to Q2. For total Omnipod, can you confirm that Q2 growth would be sequentially up if you back out this wholesaler dynamic? And then just for some who are listening who might not be familiar, can you talk about the fact that G6 pods are different than G7 pods? Thank you.
Jim Hollingshead: Let me start on the pods and then I’ll ask Ana to comment, go back to the Q2 financials. So the G6, G7 pods, when we get to full release for the G7 integration, those will be backwards compatible pods. So, the current pods can only connect with G6. But when we launch G7, the G7 pods will be G7 and G6 pods and be backwards compatible. So, what that will mean for a customer or user is that if they want to stay on the G6, they’ll be able to stay on the G6 because the pods will work with it, but it will also accept G7. And so, it’ll be kind of a sensor of choice within the Dexcom family of CGM. Ana, do you want to take the…
Ana Maria Chadwick: Sure. Listen, I’ll take another stab at here, the 2Q guidance. And I just — once again, I want to put it in overall perspective for the year. We’re taking up our guidance in the U.S., even in the low-end. And we expect overall that sequential growth to be there, as I stated. And I think the key point to mention here is we made our best assumption here as we have this transition of product out in the market. And we called our best estimate, and we will update us as we progress through the year. But we feel very confident over the entire calendar year with the guide we’ve given.
Operator: Great. Thank you so much. Your next question comes from the line of Jayson Bedford with Raymond James. Jason, your line is open.
Jayson Bedford: Thanks, and good afternoon, and welcome, Ana. I guess, I have a question on international. I think you mentioned that first and second half growth would be in the, I think you said, 13% to 15% range. Just given the annuity model, given the new products, geographies, why wouldn’t second half growth be higher than first half? Thanks.
Ana Maria Chadwick: Thank you for the question. Listen, as I mentioned here, we took the entire guidance up 500 basis points. And that’s given what Jim referred to, I mean, the adoption we’re seeing on Omnipod 5 is phenomenal and great. We’re going to be in more markets as well. And the markets — all of these European markets have a slightly different dynamic. Some of them are in four-year cycles, so on and so forth. So, we feel good with the guidance that we’re given. And in anything that’s new, our goal and the philosophy of this team and my philosophy is we want to give you numbers that we can hit. We definitely don’t want to miss. So that’s kind of the philosophy in which the spirit, and we felt the 500 basis points guide up was significant. We will learn a lot more as we go through the next few months and as we learn more of these launches, and we will update accordingly.
Operator: Great. Thank you so much. Your next question comes from the line of Steve Lichtman with Oppenheimer & Co. Steve, your line is open.
Steve Lichtman: Thank you. Evening, everyone. So, yeah, just building on that last question, you’ve given the annuity model, really nice to see this near-term outperformance and assuming it’s led by steeper ramp in new starts. Are there any new start metrics you can provide from outside of the U.S.? And are you getting a higher price point for O5 outside of the U.S.? So this is a mixed opportunity as well?
Jim Hollingshead: Sure. We don’t– as you know, Steve, we don’t give guidance on actual numbers and so on. But we did try to allude, I think, in the prepared remarks to the fact that Omnipod 5 is out of the gate so strong in the U.K. and Germany that already in Europe, more than half of our new customers start from Omnipod 5. So that’ll give you some color on the strength of the adoption. We’ll launch in France over the summer. And then, the France — we’re in Netherlands and LMR and we’ll get to LMR in the Netherlands and then we’ll launch in France over the summer. And there’s a ramp, as you all know, to the dynamic. And so that’s how you should expect to see it. We — if we ramp in those countries the way we are, we’ll see a revenue impact.
And depending on how quickly we can get France actually launched, which will happen — in this kind of a range, that will have more or less effect within the year. But we expect to have great adoption in France because Omnipod DASH has been so successful and it’s so demanded by patients. So just to give you the color on kind of the starts dynamic for us. In terms of ASP, yeah, we’ve been very successful in negotiating for a premium on Omnipod 5 relative to Omnipod DASH in our European markets. That’s different from what we did in the U.S., as you know, where we launched Omnipod 5 at effectively a price parity. But in Europe, we want to take advantage of the fact that Omnipod 5 is new technology. And that’s been an important component of each individual country launch, is to go in and negotiate for reimbursement that’s more commensurate with the value, the additional value that Omnipod 5 creates.
And so, there is a mixed impact on revenue as we get Omnipod 5 into each of those markets. It’s a little — the actual premium itself is a little different by market. But so far, we’ve been very successful in securing a premium for Omnipod 5.
Operator: Thank you. Your next question comes from the line of Joanne Wuensch with Citi. Joanne, your line is open.
Joanne Wuensch: Thank you very much for taking the questions. I have two. And the first one is I want to make sure I have an idea of what to expect when Libre 2 is integrated with Omnipod 5 and how you think about launching that and uptake. And then the second one is in addition to the type 2 clinical data, ADA, what else should we be looking for? Thank you.
Jim Hollingshead: Thanks, Joanne. Libre 2, we’re very excited. As you can imagine, we’re very excited to get our Libre 2 integration into market in LMR. So far, we’re having great results with the patient experience in both the U.K. and the Netherlands. And as you know, the Libre 2 form factor, that sensor for our partner Abbott is their most adopted sensor. And so, it opens up an entirely new kind of side to the market for us, kind of serviceable, addressable market, if you want to think in those terms, of all of those Libre 2 users who may therefore also want to go on to an AID system, an Omnipod 5. And Omnipod 5 is so simple to use and the form factor is so great that we think it will have very high appeal to that Libre 2 user population.
So, we’re very, very excited to get it out to market. Great to see the early results. Turning to GLP-1 and ADA data, there will be other things we’ll show at ADA. We’re going to show some subset analysis out of our pivotal trial. I’m sure we’ll show an update on our real-world evidence, which has consistently shown that we deliver fantastic time and range along with very low hypoglycemia in increasingly large populations of real-world data sets. And we’ll have some other studies that we haven’t yet discussed. No later than ADA, you should see us report an update on our analysis of GLP-1, which I alluded to briefly in our prepared comments, because it’s in real claims data you can see that people who adopt GLP-1s are more likely to adopt insulin in the same year.
And so, we’ll be documenting that with a robust presentation of the claims data, which is very exciting.
Operator: Great. Thank you. Your next question comes from the line of Danielle Antalffy with UBS. Danielle, your line is open.
Danielle Antalffy: Hey, good afternoon, everyone. Thanks so much for taking the question. Congrats on a great start to the year. Just a quick question on the new patient starts from competitive switches. Jim, I know you guys talked last quarter about the fact that one of your competitors was holding on to their installed base a little bit more. Just curious, has that gotten worse? You have another competitive launch happening, wondering if they’re also holding a little bit tighter to their installed base. And how you see this evolving? Is this something that we should be thinking in 85-15 MDI competitive switch split? And I appreciate that MDI is the key to the growth story, but just curious.
Jim Hollingshead: Yeah. It’s a great question, Danielle. The first thing I’ll say just quickly is on the 85-15, that was actually a pretty subtle shift in mix. That is a mixed percentage, and it was fairly subtle. We have an estimation on that. We don’t have perfect insight into those mixed data that we give on MDI versus competitive T1, T2. There’s kind of an estimation range in those. And so, I wouldn’t over-index on the modeling in what we reported. It was a pretty subtle shift. Having said that, what we see — and I can’t really speak to the challenges our competitors face in retaining the customers in their installed bases. What we see consistently, both with our own proprietary market research, which we’ve put in place in the last few quarters, and also with third-party data, is that we are the clear net winners in the competitive switch game.
So, if you’re a manufacturer, you can typically get a sense of how many customers you’re converting from a competitor, but you don’t often have great insight into what your loss rate is. And so, we’ve put in place some market analysis that allows us to better estimate that. And it’s a very consistent dynamic for us since we launched Omnipod 5 that we are the net winners in that game. So, we gain way more customers than we lose, both head-to-head with our competitors and then, obviously, overall in the market. And so that just speaks to how strong our competitive position is with Omnipod 5. It’s clearly the best offer on the market, and that’s what the market says with those results.
Operator: Great. Thank you. Your next question comes from the line of Bill Plovanic with Canaccord Genuity. Bill, your line is open.
William Plovanic: Great. Thanks. Good evening, and thanks for taking my questions. Just really wanted to go back to type 2 and Omnipod GO, and I don’t know if I missed this, did you give any detail on timing for full market release? And if not, are you kind of waiting for the O5 to be available before you roll out so you have a full product set? And then, with the ATDD data with time and range on the AIDs, I was wondering if some of this data has been driving kind of a shift in the market there as well. Thanks.
