Korean medical artificial intelligence companies are drawing increasing interest from global firms and researchers as their technologies reduce doctors’ workloads and improve diagnostic accuracy. With more AI software expected to receive U.S. Food and Drug Administration approval by mid-2024, the industry is poised for rapid growth.
Lunit and Deep Bio, two prominent Korean medical AI companies, are supplying AI software to Roche Diagnostics, the diagnostic division of Swiss pharmaceutical company Roche. Roche Diagnostics operates the Navify Digital Pathology platform, used by pathologists. The software from Lunit and Deep Bio will be integrated into this system.
Lunit is providing its AI-powered pathology analysis software, Lunit Scope PD-L1, which analyzes tissue slides to predict patients’ responses to immunotherapy. These tissue slides are chemically processed samples taken from patients during diagnosis or treatment. Roche Diagnostics plans to use Lunit’s software to offer precision medicine services and biomarkers critical for cancer research.
Deep Bio is supplying its AI software, DeepDx Prostate, which analyzes prostate cancer. The software identifies cancerous lesions in high-resolution digital images of tissue biopsies, helping doctors assess tumor size and severity to plan treatment. Deep Bio presented this technology at the CancerX Summit, part of the U.S. Cancer Moonshot initiative.
Other Korean medical AI companies are also making inroads into the U.S. market. JLK, which develops stroke diagnosis AI, is collaborating with U.S. researchers and partnering with universities including the University of South Carolina, University of Pennsylvania, University of Calgary, Northwestern University, and the University of Southern California. JLK has applied for FDA approval for three stroke diagnosis software solutions and plans to seek approval for three more by the end of the year. Once approved, JLK will begin generating revenue from these hospitals.
VUNO is preparing to expand internationally with its VUNO Med DeepBrain software, which quantifies brain conditions to assist doctors in diagnosis. The software received FDA approval in October 2022 and is set to launch in the U.S. soon. VUNO is also aiming for FDA approval for its cardiac arrest prediction tool, VUNO Med DeepCARS, and its chest CT and X-ray reading assistance software by year’s end.
The Korean medical AI industry is focusing heavily on the U.S. market. According to research firm MarketsandMarkets, the global medical AI market is projected to reach $20.9 billion by 2023. In the U.S., where medical costs for cancer, brain, and heart conditions are high, the potential is particularly significant. For example, stroke treatment costs about 20,000 won in Korea but can reach 1.4 million won in the U.S.
Kim Tae-hyung, director of the Korea Medical Device Development Fund, which supports medical AI companies, said Korean firms have a strong chance to lead the sector. “In the medical device industry, traditionally dominated by advanced nations, Korean companies are well-positioned to become leaders in medical AI,” Kim said. “With the rapid growth of companies like Lunit and JLK, the future looks promising.”
