GE Healthcare Acquires Intelligent Ultrasound Group's AI-Powered Ultrasound Business for £40.5M

Source: Medical Device Business Review

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On July 18, 2024, GE Healthcare announced that it would acquire Intelligent Ultrasound Group plc for £40.5 million (approximately370 millionRMB) to directly acquire Intelligent Ultrasound Group plc (hereinafter referred to as "Intelligent Ultrasound")Artificial Intelligence (AI)-Driven Ultrasound Business。

According to the press release, this acquisition will bring an AI innovation channel to GE Healthcare's ultrasound business.The transaction is expected to be completed in the fourth quarter of 2024.

Key Products of This TransactionScanNav Assist AI SoftwareUsed forReal-time image recognition, now used in GE Healthcare's SonoLystlive and SonoLyst X/IR ultrasound systems, enables the company to control the AI pipeline for intelligent ultrasound.

Source: Intelligent Ultrasound Group plc official website

GE Healthcare also plans to introduce the R&D expert team from Intelligent Ultrasound and allocate them to work in GE's ultrasound and women's health departments.

Study by the Society of Diagnostic Medical Ultrasound finds 90% of sonographers report work-related musculoskeletal disorders due to workload and repetitive motions, while the emergence of artificial intelligence products will offer significant benefits.

Phil Rackliffe, President and CEO of GE Healthcare's Ultrasound and Image Guided Therapies, said: "We are delighted to introduce the innovative technology of Intelligent Ultrasound into GE Healthcare’s ultrasound portfolio, enabling us to fully integrate these solutions into systems that help clinicians streamline workflows, reduce repetitive tasks, and optimize examination protocols."

"This technology and the experts who developed it will help enhance our portfolio of artificial intelligence devices and accelerate the development of our next-generation AI tools."

Nick Sleep, Chief Operating Officer of Intelligent Ultrasound, pointed out: "We are at the beginning of an artificial intelligence wave that will have a profound impact on medical imaging, particularly ultrasound."

In fact, empowering medical imaging with AI has long been a strategic focus for GE Healthcare.

First, in terms of personnel changes, several newly appointed core leaders at GE Healthcare have backgrounds in the artificial intelligence field.

At the beginning of last month, GE Healthcare officially announced that it willReorganizationItsThe First and Second Largest Business Units——Imaging、Ultrasound, and respectively appoint two new leaders (CEOs), with the personnel appointments taking effect on July 1, 2024.

Roland Rott, newly appointed President and CEO of Imaging BusinessInJoined GE Healthcare in 2011, holding multiple leadership positions in the ultrasound department, and becoming the department's president and CEO in 2021.

His achievements include significantly driving product innovation on a large scale.Digitalization and Artificial Intelligenceetc.

AndNewly AppointedPresident and CEO of Ultrasound and Image-Guided Therapy (IGT) BusinessPhil RackliffeJoined GE Healthcare in 2022, leading IGT. Since joining, he has led R&D expansion for new products and strategic equity investments, among others.

It is understood that these investments mainly focus on the use in minimally invasive surgery.Technologies such as augmented realityTo improve visualization and surgical navigation technology.

Moreover, earlier last year,Parry Bhatia Appointed as GE HealthCare'sChief Artificial Intelligence Officer, where he previously worked at Amazon and Amazon AWS for six years, focusing on machine learning and generativeArtificial IntelligenceProject.

"When interviewed by the media, Parry Bhatia said, 'I have had five to ten years of interactions with GE --And the GE I’ve seen in the last six to nine months is a completely different company.。”

The significant change is: focus on specific areas, deliver, iterate, and act quickly.

In addition to refreshing its personnel, GE Healthcare has repeatedly incorporated new AI technologies through acquisitions.

One of GE Healthcare's first moves after becoming independent was to acquireArtificial Intelligence Ultrasound Guidance Technology Manufacturer Caption Health。

Thus, GE Healthcare has successfully received more than $44 million in funding from the Bill & Melinda Gates Foundation. This funding will be used to support the development of the Caption AI algorithm, which can help guide clinicians to perform accurate ultrasound scans, regardless of whether they have received formal training.

In April this year, GE Healthcare announced the launch of Caption AI software for instant diagnosis on its Vscan Air SL.

Vscan Air SL Handheld Ultrasound Device

Now, clinicians can use handheld ultrasound systems and receive real-time, step-by-step guidance provided by Caption AI. It helps capture diagnostic-quality images and provides automated ejection fraction estimates, assisting in clinical decision-making in cardiac settings.

Immediately following, in April 2023, GE Healthcare announced the completion of the acquisitionMIM Software (Mingwei Shijing Medical Software Company), incorporating MIM Software's imaging analysis and digital workflow solutions into its globally leading medical technology, diagnostic pharmaceuticals, andDigital Product PortfolioChina.

In addition, GE Healthcare also broadens product application scenarios by partnering with leaders in specific segments.

In February this year,GE HealthcareOfficially announced at the ViVE 2024 conference that they will...Leader in Virtual Care and Digital TherapeuticsBiofourmis collaborates.

Both parties expressed that they will leverage each other's comprehensive expertise to expand and deliver innovative home care solutions, broadening the reach of patient monitoring technologies.From Hospitals to Patients' Homes。

Biofourmis is no small player. Founded in Boston, USA, in 2015, the company has achieved commendable progress in its team, product outcomes, and financing after nearly a decade of growth.

According to the official website, BiofourmisThe Chairman of the Board is none other than Omar Ishrak, former Chairman and Chief Executive Officer of Medtronic.。

In the 5th year since Biofourmis' inception, its core product for the digital treatment of heart failure, BiovitalsHF®,Granted Breakthrough Device Designation by the FDA, and at the same time isThe World's FirstProducts of the same category that have been awarded this title.

In addition, the companyBased on Artificial IntelligenceThe RhythmAnalytics TM platform, etc., has also been successfully approved by the FDA and launched on the market.

In terms of financing, in 2022, Biofourmis successfully raised 300 million US dollars (approximately2.2 billionRMB) in Series D financing,One of the largest financing rounds in the medical device industry that year。

A spokesperson for GE Healthcare stated, "The success of Biofourmis in home care solutions will expand GE Healthcare's current in-hospital monitoring portfolio to support patient care from hospital to home."

To fully leverage the advantages of artificial intelligence, GE Healthcare has been strategically executing its plan since its independent listing by rapidly acquiring, collaborating, and integrating to secure a leading position and expand application scenarios.

What drives GE's strategic layout here is the enormous market potential in the artificial intelligence era.

Market data shows that on July 17, according to the latest data from PR Newswire, the market size of AI-based medical diagnostic tools was $1.3 billion (approximately 9.4 billion yuan) in 2023, and this figure is expected to climb to $11.5 billion (approximately83.6 billion yuan）。

10 Years Increased 9 Times, Compound AnnualGrowth rate as high as 20.8%,This is undoubtedly a huge call for any enterprise with the strength to make a layout.

Moreover, in terms of real-world demand, the continuous rise in chronic disease prevalence and the growing need for accurate and timely diagnosis are contributing factors.With the help of artificial intelligence diagnostic tools, healthcare providers can detect diseases earlier and treat them more effectively, thereby improving the accuracy, efficiency, and speed of diagnoses.

In the global imaging field, GE Healthcare has always been on par with Siemens and Philips Healthcare, collectively known as the "Big Three of Imaging."

As century-old medical device enterprises with a long history, and focusing on similar fields, the competition among the three in the imaging sector is also quite eye-catching.

As GE Healthcare intensifies its focus on AI, Philips Healthcare and Siemens Healthineers are also making new explorations in AI deployment.

At the end of last year, at the RSNA 2023 medical imaging conference held in Chicago, USA, Philips Healthcare announced the launch of a new artificial intelligence solution.

These include the EPIQ Elite 10.0 and Philips Affiniti ultrasound systems, the BlueSeal MR Mobile system, and the Philips HealthSuite Imaging PACS solution.

EPIQ Elite 10.0 and Philips Affiniti are new ultrasound systems with a single-user interface that integrates shared sensors and automation tools, reducing complexity and enhancing user experience.

BlueSeal MR Mobile is reportedlyIn the worldThe first and onlyA mobile MRI system that operates without helium.

New 1.5T fully sealed magnet transported by mobile truck can provide MRI scans for more patients at different locations.

Philips HealthSuite Imaging is the next-generation Philips Vue PACS based on the cloud, helping clinicians and radiologists quickly adopt new functionalities and improve operational efficiency.

In addition, the company has also launched a new end-to-end AI-supported solution, Philips AI Manager, which integrates with customers' IT infrastructure to help radiologists evaluate using more than 100 AI applications and gain clinical insights within the radiology workflow.

Bert van Meurs, Chief Business Officer of Philips Precision Diagnosis and Image-Guided Therapy, said: "Philips is working with healthcare providers to optimize workflows so that they can spend more time focusing on patients.

"The new innovations we launched at RSNA offer a fully integrated AI diagnostic approach that helps improve patient outcomes, optimize workflows, and maximize the lifetime value of our customers."

Philips Healthcare AI Product Layout

Siemens Healthineers also places great emphasis on AI.

In May this year, Siemens Healthineers collaborated with Blue Earth Diagnostics. Siemens Healthineers will use anonymous clinical data and images from the LIGHTHOUSE trial to enhance its AI analysis for prostate cancer, enabling more accurate image quantification and improved image interpretation.

Moreover, according to the information on Siemens' official website, the company has developedMore Than 70 AI Solutions, these solutions not only help automate and standardize workflows but also assist in automating and standardizing complex diagnoses to meet the needs of individual patients.

Source: Siemens Healthineers Official Website

With the continuous evolution of artificial intelligence technology and ongoing innovation in the medical imaging field, several major imaging giants have demonstrated strong capabilities and foresight in this trend.

This also means that the new competition in the artificial intelligence era has begun.