Rumors of Haodf Online's Internet Hospital Shutdown Debunked; CEO Wang Hang Calls for Fair and Healthy Industry Environment

Last night, an article published on Zhihu titled “Shocking! Rumors Circulate That Haodf’s ‘Virtual Internet Hospital’ Has Been Halted by the National Health and Family Planning Commission” has once again thrust Haodf Online, which has been in the news spotlight in recent days, into the center of controversy. The article generally states that the competent departments under the National Health and Family Planning Commission have deep concerns about such “virtual internet hospitals” that lack support from offline physical hospitals, and that the current large-scale entry of enterprises into Yinchuan to emulate this model will cause market disruption. Sources within the National Health and Family Planning Commission indicate that, in order to strengthen lawful oversight of medical entities and their operational conduct, the Haodf Yinchuan Smart Internet Hospital model will be suspended.

According to the "Detailed Rules for the Implementation of the Yinchuan Internet Hospital Management Measures" issued by the Yinchuan Municipal People's Government, internet hospitals are classified into two categories: those adopting the "Internet + Medical Services" model and those adopting the "Medical Institution + Internet Technology" model.

The first model of internet hospitals operates without any offline physical medical institutions. It primarily leverages internet technology platforms to deliver "Internet + Healthcare" services and collaborates with various offline physical medical institutions. This is the model adopted by Haodf Online Internet Hospital, as well as by most internet hospitals involved in this signing. The second model, characterized by the integration of medical institutions and internet technology, relies on offline public medical institutions to establish individual physical entities in various forms. These newly established physical institutions serve as the foundation for delivering healthcare services through internet technologies, exemplified by the WeDoctor Ningxia Internet Hospital. The key distinction between these two models lies in the presence or absence of offline physical hospitals.

After reading this article on Zhihu, VCBeat contacted Wang Hang, CEO of Haodf Online. Wang Hang denied the claim that Haodf’s internet hospital license had been suspended. He responded, “Our internet hospital is currently operating normally, and we have not received any such notice.” Meanwhile, Wang Hang called on all parties to uphold a fair and healthy competitive environment for online healthcare, urging companies to focus their efforts on delivering the best possible online medical services to users. Subsequently, Haodf Online issued an official statement to refute these rumors, as follows:

Previously, the operation of internet hospitals raised numerous concerns, with a particular focus on the compliance of diagnosis and treatment services and the regulatory adherence to physicians’ multi-site practice. As one of the first cities in China to pilot smart internet healthcare, the Yinchuan Municipal Government introduced a series of policies to facilitate the establishment and development of internet hospitals. At an internet hospital signing ceremony in Yinchuan, Tian Yonghua, Director of the Yinchuan Municipal Health and Family Planning Commission, addressed VCBeat’s questions and clarified the Commission’s stance on whether internet hospitals are required to establish physical medical facilities.

Director Tian Yonghua said, "There is no need for enterprises to establish medical institutions in Yinchuan. In fact, the Yinchuan Municipal Health and Family Planning Commission prefers that companies do not set up physical medical facilities in Ningxia or Yinchuan. Doing so would create competition between the offline entities of these internet hospitals and local physical medical institutions in Yinchuan, vying for medical resources within Ningxia. Therefore, the Yinchuan Health and Family Planning Commission encourages internet healthcare companies to build only online hospital platforms, leveraging physician resources from across China to serve patients nationwide while being based in Yinchuan.”

Meanwhile, in“Shocking! Reports Say Haodaifu’s ‘Virtual Internet Hospital’ Has Been Halted by the National Health and Family Planning Commission” mentions that the National Health and Family Planning Commission had significant “concerns.” In an interview conducted by VCBeat with the Yinchuan Health and Family Planning Commission, Director Tian Yonghua also addressed this matter, stating: “The National Health and Family Planning Commission currently has no relevant policies in place. When the Yinchuan Health and Family Planning Commission introduced ‘one measure and two systems,’ we filed a report with the National Health and Family Planning Commission. During the preparatory phase, I also provided leadership with aOralReport. We are exploring ways to improve these systems.”

The National Health and Family Planning Commission Responds to Yinchuan: Several Advantages of Yinchuan City, first, it is a pilot city for smart cities.Smart cities encompass the development of informatization, networking, and the Internet of Things (IoT); infrastructure for these areas, including internet-based healthcare, must be established first. Second, Yinchuan isPilot Cities for Public Hospital Reform: The National Health and Family Planning Commission Approves the Ningxia Hui Autonomous Region to Take the Lead in Pilot Initiatives, which may help drive the formulation of such policies by the state in the future.

Meanwhile, as a preview, Wang Hang, founder and CEO of Haodf.com and pioneer of Yinchuan Internet Hospital, will participate in a group interview on VCBeat on March 23 to provide insights into the issues, policies, and development trends related to internet hospitals that concern you.