Why we invested in DiA

The growing demand for ultrasound devices 

To reduce strain on hospitals, governments around the world are working on initiatives to push more diagnostic capability into ‘Point Of Care’ locations for non-specialist healthcare workers; for example, nurses and ambulance staff, to be able to diagnose conditions and triage more quickly and cheaply. As a result, there is a higher demand for ultrasound devices. DiA is capturing this growing market with their AI-powered ultrasound analysis solutions that solve the two main challenges ultrasound users are struggling with today: how to capture the right high-quality images and how to analyse them accurately and consistently. 

The idea stemmed from the inter-user variability seen with ultrasound devices at evaluating heart conditions using images on an ultrasound screen. Co-founders, cardiology specialist, Dr Liel-Cohen and image processing expert, Professor Guterman, assembled a team of expert physicians and engineers to invent a set of life-saving automated software tools. For the first time, these tools enabled non-expert doctors to analyse a patient’s condition automatically on the spot – a huge development within the healthcare space for both patients and doctors. Now, the team is led by a female-led management with fellow co-founders, CEO Hila Goldman, and CTO Michal Yaacobi.  

Ultrasound as a diagnostic tool 

The adoption of ultrasound as a diagnostic tool has steadily grown for two reasons:  

  1. The size and cost of the hardware equipment has decreased, enabling mass-market adoption in hospital and point-of-care venues  
  2. Point of Care UltraSound has increasingly become a core component of training programs taught at medical schools and hospitals.  

Because of this, we believe DiA is well positioned to become the software provider of choice for any hardware original equipment manufacturer (OEM) looking for a competitive advantage in this nascent, fast growing market. 

Given the market outlook, we believe these are the key strengths in DiA’s proposition: 

Fast growing market segment 

Point of Care diagnostic solutions are one of the fastest growing segments of the healthcare industry and the investments made by incumbent OEMs in hand-held devices evidence this trend.  

Well-positioned to capture dominant market share 

There are primarily three software players applying AI to ultrasound imaging, including DiA.  DiA’s wide-ranging product portfolio and device agnostic, affordable, handheld device and easy to use app software positions the business to become a market leader. 

Strong defensive moat and two-year head start 

We estimate that DiA has an 18-24 month lead on competitors given the lengthy regulatory approval process required to bring AI technology to market in the diagnostic AI space.  

Ready for scale with key partnerships in place 

DiA has successfully negotiated non-exclusive distribution agreements with Philips and GE, the two dominant ultrasound device manufacturers, proving that the concept and functionality meet the needs of industry leaders adopting this technology.  

As DiA based in Israel, our international presence has also been advantageous with venture partners also based in Israel providing invaluable support and on-the-ground expertise at every step of the way.  

Working with DiA’s expert team, we are excited to see their SaaS technology being a key enabler in the ever-increasing rate of ultrasound usage and the positive impact it is already having on so many lives.

Date published:

28 Sep 2021

Practice area:

Healthcare