No, it didn't seem that way to me from his body language; he did seem puzzled by the tests the FDA were making the product pass but felt that they were "not insurmountable".
There are lots of companies trying to make this happen and a lot of them are in the medical supply sphere, so I personally would be surprised if POET ended up in that space as well as the countless other verticals they can attack. Mack is right when saying you can dump a huge pile of money down that hole and end up with nothing.
I would not, however, count them out.