Technology undoubtedly holds a significant importance in each sector of the industry, more so than ever, and certainly health care sector is no different. Use of technologies in the health care sphere has emerged as a boon for doctors, researchers as well as scientists, and is constantly evolving to meet their changing needs to completely transform the health care sector. Innovations and advancements in health care technology have proven to be the major driving factors for economic progress as well as for revamping the health care space.
Global Market Opportunity for Digital Health Care Market
- In 2018, the digital health care Market size was about US$85 billion in 2018 and it is estimated that the global digital health care market size would grow at CAGR of approximately 30% to surpass US$500 billion by 2025.
- By 2025, the rapidly developing Al healthcare market is predicted to reach about US$35 billion and the share of digital health system technology is forecasted to reach US$ 156.9 billion.
Artificial Intelligence in Health Care Space
One such technology that is poised for an explosive growth in health care domain is Artificial intelligence. Within the health care space, Artificial intelligence (AI) refers to the use of complex algorithms and software mimicking human intellect for assessing complex medical data, which is re-wiring the modern-day concept of healthcare delivery.
AI is exploding in popularity having enormous capacity to unleash advancements in expenditure, quality and access. Moreover, AI health market growth is anticipated to reach $6.6 billion by 2021. The acquisitions of AI startups are increasing at a rapid pace as the AI health market is on the brink to reach an explosive 40% CAGR in 2021, growing from $600 million in 2014 to $6.6 billion by 2021.
Since AI can perform different human intelligence-based functions such as cognitive tasks, understanding & learning, and problem-solving abilities across various disciplines including biology, computer science, mathematics, linguistics, psychology, and engineering, it has many other applications.
Simply put, with many potential applications and strong prospects of future growth, Artificial intelligence is on the brink to become a transformational force in healthcare space.
Let us now have a look at two Health Care startups operating in similar AI space that have been gaining limelight of late.
Headquartered in Sydney, healthcare artificial intelligence (AI) startup, Harrison.ai, led by clinicians, is focused on innovating and commercialising efficient & cost-effective services and products related to healthcare reaching out to healthcare providers and patients on a continuous basis.
The start-up is founded by a clinician and world-ranked AI engineer Dr. Aengus Tran, and a healthcare technologist, Dimitry Tran. By empowering doctors and health care providers with tailored AI-enabled tools integrated into the currently existing clinical workflows, Harrison.ai aids in making better and quicker judgments, ultimately resulting in improved patient outcomes.
Harrison.ai Completed First Capital Raise of $29 Million to Build AI-as-medical-device at Scale
Harrison.ai recently announced that it has completed its first capital raise of $29 million in an initial funding round headed by Blackbird Ventures and joined by Horizons Ventures, Skip Capital and Ramsay Health Care, a fundraising considered to be one of the most significant ones in Australia.
It is worth mentioning that with a foresight to use AI to revolutionise the global health care, the company has been bootstrapped from the time when it was launched in 2018.
Proceeds from the funding will be used to expand Harrison.ai’s world-class team with new employs from data science and software engineering background together with hires having clinical and medical device experiences.
The company is also looking forward to developing novel applications in fields of radiology, pathology, and hospital operation; areas where AI technologies are all set to leave a significant impact.
Recently, Harrison.ai launched its first product in In Vitro Fertilisation (IVF) in collaboration with the world’s leading IVF provider, Virtus Health Limited (ASX: VRT), wherein, Harrison.ai successfully developed, authenticated and deployed an AI technology (‘IVY’) able to predict the possibility of pregnancy from analysing embryo videos, currently being deployed across Virtus clinics in Australia in order to assist in improving pregnancy outcomes for couples undertaking IVF treatment.
Building on this success, the company is expanding its R&D activities into new spheres in health care industry wherein AI can further enhance and improve patient’s outcome worldwide.
This capital raise comes after Harrison.ai’s establishment of a new joint endeavour with IMED Radiology Network (Australia’s top diagnostic imaging provider) for developing globally-leading prediction engines designed for vital imaging modalities including mammography, X-ray and CT, helping radiologists for efficient and accurate diagnosis of diseases and injuries.
HeraMED Limited (ASX: HMD)
A novel MedTech start-up, HeraMED Limited offers end-to-end medical grade solutions to pregnant women by using smartphone-based devices monitoring fetal heartbeat, cloud-based platforms and AI capabilities, consequently, providing therapeutically accurate, scientifically optimised, safe as well as cost-effective solutions.
HeraMED’s innovative HeraCARE pregnancy management platform, provides assistance to expecting mothers and healthcare professionals with improved pregnancy management including home check-up, lifestyle counselling, mid-wife assistance and community sharing by deploying AI powered algorithms.
HeraMED Completed a $1.42 million Strategic Placement Speeding Up Entry in the US Market
In a recent announcement dated 10 December 2019, it was advised by the company that it has received binding commitments from sophisticated and institutional investors with regards to the placement of 9,184,076 fully paid ordinary shares at a price of $0.155/share in order to raise $1,423,531 (before costs).
HeraMED is also planning to increase its focus on expanding its footprints via collaborating with top-tier medical organisations as well as progress agreements with insurance firms throughout the U.S. steering product uptake via these channels.
It was further informed that the funds raised would be utilised in-
- Advancing business development activities and strategic planning ahead HeraMED’s forthcoming US market entry.
- HMD would utilise capital to accelerate the pilot and clinical trials in the US for the HeraMED’s digital monitoring platform- HeraCARE including its medical grade foetal heart rate doppler, HeraBEAT that recently received FDA approval.
- To carry forward the development of its intellectual property suite and novel technologies including OrionAI and EchoBEAT, the 2nd generation foetal heart rate monitor.
- Support rollout & implementation of HeraMED’s solutions across different countries including India, Germany, Brazil as well as other key markets.
HMD’s shares last traded at $0.170, down by 2.857 percent from its last close, as on 12 December 2019. The market capitalisation of the company stood at $15.32 million with ~87.53 million outstanding shares. HMD’s stock generated a negative return of 27.08% in the past six months period.
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