MedTech Terms
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    TAM / SAM / SOM

    Market sizing framework: total, serviceable available, and serviceable obtainable.

    Reviewed by Christian Espinosa, Founder, Blue Goat CyberLast reviewed May 5, 2026

    Definition

    TAM (Total Addressable Market) is the total revenue opportunity if 100% of the market used the product. SAM (Serviceable Available Market) narrows to the segment the company can serve given regulatory, geographic, and product constraints. SOM (Serviceable Obtainable Market) is the realistic share over a defined timeframe.

    What this means in practice

    Investors expect bottom-up TAM/SAM/SOM models. In MedTech, sizing must reflect procedure volumes, addressable indications, reimbursement constraints, and competitive dynamics.
    Common pitfalls
    • •Top-down sizing ('1% of a $10B market') without unit economics is a red flag in any pitch.

    Primary references

    3 sources
    Link health: 2 verified 1 needs review· last checked 2026-05-09
    a16z·1MedTech Europe·1AHRMM·1
    1. 1
      a16z: market sizing
      Verified
      a16za16z.com
    2. 2
      MedTech Europe Code of Ethical Business Practice
      Needs review
      MedTech Europemedtecheurope.org
    3. 3
      AHRMM - Healthcare Supply Chain
      Verified
      AHRMMahrmm.org

    Inline markers like [1] jump to the matching reference above.