What is the prospect of the medical device industry?
Recently, Guangdong Provincial Food and Drug Administration released the List of Pilot Varieties of Medical Device Registrants in Guangdong Province. In item 61 of the list, Huawei Terminal Co., Ltd., as the applicant for registration, applied for the medical device wrist single lead ECG collector (VID-B99). This means that Huawei has obtained the registration certificate through the pilot of registered persons in Guangdong Province, and it has become a fact to enter the field of medical devices.
Huawei Expands the Distribution of Medical Devices
According to the query, the registration number of the product is Yuexi Registration 20202071705, the registered person is Huawei Terminal Co., Ltd., the product management category is Category 2, and the scope of application or intended use: for the collection of adult wrist single lead ECG data.
In fact, as a representative of domestic technology enterprises, Huawei has already begun to deploy in the medical field. According to Tianyancha information, Huawei Terminal (Shenzhen) Co., Ltd., which is actually controlled by Huawei Terminal (Shenzhen) Co., Ltd., changed its business scope on March 21, 2019, adding new businesses such as sales of medical devices (Category 2 medical devices).
After the change, the business scope of Huawei Terminal Co., Ltd. is to develop, produce and sell communications and electronic products, computers, satellite TV receiving antennas, high frequency heads and supporting products of the aforementioned products, and to provide technical advice and after-sales services; Sales: medical devices (Category 2 medical devices), etc.
At the end of November 2019, Deep Thinking Artificial Intelligence Robot Technology (Beijing) Co., Ltd., a wholly-owned subsidiary of Huawei, invested by Hubble Science and Technology Investment Co., Ltd., also changed its business operations, and increased the sales of medical devices I and II, computers, software and replication equipment.
At present, Huawei has different layouts in digital hospitals, regional health informatization, hierarchical diagnosis and treatment and other fields besides medical equipment. People in the industry believe that as Huawei continues to gain ground in the medical field, in the future, it may also develop and produce representative works of overseas manufactured devices in the field of medical devices.
Famous enterprises have entered the medical equipment industry
In fact, with the promotion of the hierarchical diagnosis and treatment policy in China, the number of beds and the number of diagnosis and treatment people in primary medical institutions continue to grow, and the demand for primary medical devices is increasing. The data shows that the overall market size of China's medical devices has increased from 255.6 billion yuan in 2014 to 530.4 billion yuan in 2018, with an average annual growth rate of about 20%. Both operating income and net profit have maintained a rapid growth trend, which belongs to the golden age of the development of the medical device industry. It is estimated that the market size of China's medical devices will exceed 900 billion yuan by 2022.
In the context of huge demand, many well-known enterprises, like Huawei, are entering the medical equipment industry one after another. For example, on February 11, 2019, Baidu Online Network Technology (Beijing) Co., Ltd. changed its business scope, increased the sales of medical devices in Category II and Category III, and invested in Neusoft Medical on March 19. Baidu's move into the medical device industry is unstoppable. Combining Baidu's AI industrial layout, it is a more far-reaching strategic plan to enter the medical industry.
On the same day, Sinopharm Holdings also announced that it would expand its business scope and expand the medical device industry. In fact, as early as September 2018, Sinopharm Holdings purchased 60% of the equity of China Science Equipment Co., Ltd. (hereinafter referred to as Sinopharm) held by China National Pharmaceutical Group Co., Ltd. (hereinafter referred to as Sinopharm) at a price of 5.108 billion yuan, and the overall valuation of the subject was 8.513 billion yuan.
In April 2019, according to the information of Tianyan Survey, an investment fund company under Wanda Group also invested 40 million yuan in NEEQ medical device companies. This means that Wanda has also officially entered the medical device industry.
Of course, in addition, Lenovo, Alibaba, Tencent and other technology giants, as well as Fosun Pharmaceutical and other well-known enterprises have also made some moves in the field of medical devices. It is expected that with the continuous expansion of the medical device market in the future, more enterprises will enter this field. However, it is worth noting that a market war is inevitable in the future.
In general, in the future, with the support of national policies, the expanding market demand, the acceleration of China's aging population, and the technical development and industrial upgrading of the medical device industry, medical equipment is expected to continue to maintain a good momentum of rapid growth, and realize the vision of importing and replacing from the low-end market to the high-end market.
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