Beyond the Hills, See You at the Forum! Where Are the 2016 Top 100 Heroes? Who Are the 2017 Rising Stars?

“Over the hills, I met my nineteen-year-old self;

Wearing a pair of white gloves, drinking my wedding wine;

He asked me if I was happy, and whether sorrow had been left behind forever;

……”

For innovators and entrepreneurs in the healthcare sector, the good news is that the industry is undergoing a major transformation, offering unprecedented opportunities for success and an exceptionally accommodating entrepreneurial environment. The concern, however, always lies in the thorns and obstacles strewn along the path.

"Crossing the hills, how easy is it to talk about?"

However, we hope that all entrepreneurs can cross the hill.

In 2016, VCBeat released the “2016 Top 100 Future Healthcare Companies” list for the first time, targeting the healthcare industry. We quantified our observations, understanding, and insights into innovation and entrepreneurship in the healthcare sector over the past three years to identify industry leaders.

One year later, we have once again launched the “2017 Top 100 Future Healthcare Companies List.”

It remains the mission of the “Future Healthcare 100” list to select Chinese innovative healthcare enterprises that truly represent the future of medicine, thereby identifying the core forces driving China’s future healthcare industry.

Looking back at the 2016 Future Healthcare Top 100 List, one can observe significant changes that reflect the current state and trends of the entire healthcare innovation and entrepreneurship industry.

New talents emerge with each passing era. As the new year draws to a close, the performance of companies listed in 2016 has varied significantly. Some have successfully completed their initial public offerings (IPOs), while many others have secured substantial new rounds of financing. Meanwhile, numerous companies have experienced modest, steady growth or even encountered development obstacles.

So, compared with 2016, what trends will the healthcare industry show in 2017? Will these trends benefit or hinder companies in various sectors? In 2017'sFuture HealthcareWhich sectors’ companies will make the Top 100 list, and which will miss out?

The answers will be found in the various changes of 2017.

Among the top 100 companies selected in 2016, internet healthcare enterprises accounted for the highest proportion and held the highest market capitalization, with service-driven companies centered on online medical consultation services occupying the core positions on the list.

Most of these internet healthcare companies have been established for more than three years, with long-term user accumulation and relatively mature business models.

However, internet healthcare companies encountered significant difficulties and challenges in 2017.

Internet hospitals, which had been developing at a breakneck pace, experienced a collective surge in Yinchuan and reached the peak of public attention, only to be subsequently sidelined by the National Health and Family Planning Commission’s draft “Administrative Measures for Internet-Based Diagnosis and Treatment (Trial)” and draft “Guiding Opinions on Promoting the Development of Internet Medical Services.”

As the state begins to progressively tighten and regulate internet-based diagnosis and treatment services, internet healthcare enterprises have come to realize that a purely online consultation model is increasingly difficult to sustain.

Based on business layouts in previous years and policy guidance in 2017, many high-quality internet healthcare enterprises quickly found new commercial paths: entering core medical areas and shifting focus to offline services.

Thus, we have successively observed:

WeDoctor has established 79 internet-based medical consortia across China and launched its first general practice clinic;

HaoDaifu Online signs Yinchuan First People's Hospital as its offline base hospital;

Chunyu Doctor proposes the 3EP strategy, empowering hospitals by helping them build internet capabilities as a core focus;

After renaming from JiuYi160 to Health160, the company established a patient-centric internet-based tiered diagnosis and treatment platform and jointly initiated the formation of the “China Medical Consortium Development Alliance.”

DXY continues to expand its clinic network, with Fuzhou DXY Clinic becoming the fourth location under the DXY Clinic brand and the first to offer general practice medical services.

Xinyi International drives healthcare through service, establishing a remote collaboration system for medical consortia that covers more than 4,300 hospitals across 31 provinces in China, serving over 120 medical consortia at various levels and types nationwide;

The above are snapshots of some actions in 2017 by the leading internet healthcare companies ranked in the “2016 Annual Future Healthcare Top 100 List.”

"As a leading enterprise in the internet healthcare industry, their actions also foreshadow and represent the future direction of internet healthcare."

Regardless of whether they previously served the pre-diagnosis, intra-diagnosis, or post-diagnosis stages, they have all ultimately converged on the core of healthcare.

The standalone online consultation model is now struggling to survive. The key to standing out in this field over the coming period will lie in integrating with offline services, establishing an offline presence, capturing traffic entry points, and directing user flow through online platforms.

On July 14, 2017, BGI Genomics, the world’s largest sequencing organization and an 18-year-old company, went public;

On August 25, 2017, Berry Genomics (formerly Berry & Kang), another major player in the field of gene sequencing and a leader in non-invasive prenatal testing (NIPT), went public;

The IPOs of the Two Leading Companies in the Gene Sector Were Undoubtedly the Most Exciting News for the Gene Industry in 2017.

Moreover, policy guidance has also served as a catalyst for the significant advancement of the genomics industry. Both the 2017 National Day policies on deepening reforms in review and approval processes to encourage innovation in pharmaceuticals and medical devices, and the guidelines for major national science and technology projects during the 13th Five-Year Plan period, have emphasized the promotion of independent innovation and precision medicine.

Notably, both the 13th Five-Year Plan for the Development of National Strategic Emerging Industries and the 13th Five-Year Plan for the Development of the Bioindustry, issued in late 2016, placed significant emphasis on the development and regulation of the gene industry.

At the end of 2016, the Center for Medical Device Evaluation of the China Food and Drug Administration (CFDA) accepted and approved Burning Rock Biotech’s kit product into the “Special Examination and Approval Procedure for Innovative Medical Devices,” making it the first next-generation sequencing (NGS) kit for oncology applications in China to be granted access to this special approval green channel.

This signifies that, at the national regulatory level, tumor testing technologies are recognized as having reached maturity, bringing significant benefits to the industry.

In September 2017, Hanhai Gene launched its independently developed third-generation gene sequencer, GenoCare, which not only broke the foreign monopoly but also possesses complete intellectual property rights.

The Ministry of Science and Technology has issued a specific announcement in this regard, which not only signifies recognition at the individual company level but also demonstrates the Ministry’s emphasis on and encouragement of independent innovation capabilities within the industry.

Additionally, industry insiders revealed that in November 2017, relevant departments including the Ministry of Science and Technology and the National Development and Reform Commission will organize the establishment of a Gene Innovation Alliance. The first phase will primarily target domestic enterprises with independent innovation capabilities, while the second phase may open up to some foreign-invested enterprises.

By analyzing the VCBeat database, we also found that more than 30 Chinese biotechnology companies related to genetics had secured new rounds of financing in 2017.

Following the IPOs of two leading companies, capital enthusiasm for the genomics sector has surged once again.

As of the publication date of this article, VCBeat has learned that approximately five gene companies have secured financing but have not yet made public announcements, with many of these involving substantial funding rounds. Additionally, two other companies are preparing for initial public offerings (IPOs).

Between late 2017 and early 2018, the genomics sector is expected to witness several more blockbuster announcements.

Technological maturity, policy support, and the public listings of two leading enterprises have brought numerous benefits to the gene industry.

From every perspective, the gene industry in 2017 was thriving.

The 2017 Future Healthcare 100 list may feature numerous new genetic companies.

It is also worth noting that BGI Genomics and Berry Genomics occupied two of the top five spots on the “2016 Annual Top 100 Future Healthcare Companies” list.

After their IPO, they will no longer appear on the list. Who will replace them this year?

In 2017, artificial intelligence became a hot topic worldwide. Thanks to widespread public education by the mass media, the general public maintained great enthusiasm for AI technology.

After three years of technological accumulation, startups in the field of medical AI began to focus on product implementation and commercial monetization. Aligning with national policy directives, this sector experienced a significant boom in 2017.

In the “2016 Annual Future Healthcare Top 100 List,” only iCarbonX and CloudMinds were listed. In 2017, these two companies made further progress, showing strong momentum to take the lead.

In 2016, iCarbonX secured nearly RMB 1 billion in Series A financing and RMB 300 million in equity investment. In early 2017, the company publicly launched its new digital health management platform—Mi™—and announced that seven companies had joined the Digital Life Alliance to jointly realize the vision of digitally managed life. Furthermore, iCarbonX led the investment in the patient social network PatientsLikeMe and participated in the funding of the physician-patient data platform HealthLoop, thereby providing stronger data support for its digital platform.

CloudMinds announced in February 2017 that it had secured $100 million in Series A financing. Leveraging artificial intelligence technologies to develop intelligent service robots, the company has gradually emerged as a core enterprise in the cloud-based intelligent robotics platform sector.

The two companies that made the list last year are, unsurprisingly, expected to remain on the 2017 roster. However, we are paying closer attention to the numerous AI star startups that recently secured substantial financing rounds. How will their surging valuations impact the rankings?

In September 2017, VoxelCloud completed a RMB 100 million Series A+ financing round;

In September 2017, Infervision completed a Series B financing round of RMB 120 million;

In May 2017, Yitu Technology completed a C-round financing of RMB 380 million;

In addition to the information already disclosed, VCBeat has learned that several medical AI companies have reached their Series B financing rounds but have not yet announced their funding details; they may also appear on the list when it is unveiled.

Internet healthcare companies, genetic testing firms, and medical AI enterprises are merely the tip of the iceberg within the broader healthcare industry.

Among the 30+ niche sectors tracked by VCBeat, there are many other companies that have demonstrated outstanding performance and secured substantial financing.

Fields and companies worth watching in 2017 include:

The trend toward chain-based operations in new types of primary care clinics is becoming increasingly evident, with shared models and business-district models beginning to emerge.

Leading medical aesthetics platforms are stabilizing, with clear trends toward non-surgical procedures and market penetration into lower-tier cities;

Major Capital Enters the Dental Clinic Sector;

Postpartum care centers, assisted reproductive technology companies, and maternal-and-infant e-commerce platforms continue to increase their investments;

Traditional healthcare IT companies are in urgent need of transformation, while blockchain enterprises are beginning to emerge;

B2C platforms in pharmaceutical e-commerce have begun to venture into the medical services sector;

The trends toward miniaturization and intelligence in innovative medical device companies are evident;

……

Leading enterprises in these fields are poised to become the core force behind the “2017 Future Healthcare 100 List.”

As a final teaser, VCBeat’s “2017 Top 100 Future Healthcare Companies” list is currently in intensive preparation and production.

Can Last Year’s Champions Hold Their Ground?

Which new elites will make the list this year?

"To know the Top 100 List, you must visit the forum!"

To see the Top 100 List, visit the forum!

To know the Top 100 List, visit the forum!

As per convention, important matters are stated three times.

UnderstoodTop 100 Future Healthcare ForumFor event details, please click the link or scan the QR code:http://vcbeat.top/VB100 

UnderstoodFuture Healthcare 100 Rankings and Annual Awards Selection InformationPlease click the link or scan the QR code:http://vcbeat.top/VB100/vblist