Global Experts Join ContextVision’s Mission to Revolutionize Digital Pathology
ContextVision continues to increases its focus on deep learning, the latest artificial intelligence technology and a billion dollar market. World-renowned experts within deep learning and pathology are on board, a patent has been filed, deep learning is applied on a range of projects and the company fortifies its leading position within digital pathology. Also, the core business continues to deliver stable sales.
STOCKHOLM – August 18, 2016 – ContextVision, a world leading provider of medical image processing software, has increased its research activities within deep learning, the fastest growing area of machine learning, in support of digital pathology.
“Deep learning is a game-changer for both ContextVision and the market for image and data analysis. We have created an international advisory board consisting of world-leading experts within pathology and deep learning which will supervise our product development and serve as critical resources as we strive to deliver optimal value,” said Anita Tollstadius, CEO of ContextVision.
The digital pathology market is rapidly growing and is estimated to be worth $157 million USD annually by 2018. Image analysis is expected to be a large part of the market; ContextVision will take a leading position in it using deep learning technology.
“We intend to develop image analysis based on deep learning in order to deliver decision support to pathologists. This emerging market is the next major business area for ContextVision and will allow us to grow significantly,” said Tollstadius.
In June, ContextVision filed a patent that allows the development of new, unique decision support tools based on true data instead of subjective evaluations, thereby enhancing diagnostic power. This will provide a significant competitive edge and an important stepping stone toward leadership in the field.
“In the second quarter, we advanced our unique position within digital pathology by developing a completely new method for the selection of input data. This will provide objective data and improve the training process in the development of artificial intelligence,” said Tollstadius.
ContextVision has applied deep learning technology to a range of projects. In addition to the ongoing project within digital pathology, the company is performing pilot studies to further evaluate its potential.
“We have made focused efforts to investigate upgrades to the image enhancement portfolio by applying deep learning to improve various product features and create more value for our present customers. Based on our findings, we expect to enter a product development phase later this year.”
Q2 2016 Performance
Total sales reached 18,3 MSEK during the second quarter compared to 18,1 the previous year. During the first six months, the company generated slightly higher sales than during the first half of 2015.
As a result of successful collaborations with long-term customers, the Asian market continues to grow significantly, increasing by almost 22 percent. This compensates for lower sales from the United States which is typically a slower-developing market, and also reflects ongoing changes in the product portfolio of a major customer. In Europe, sales were slightly higher than last year’s second quarter.
The majority of sales is generated from ContextVision’s ultrasound portfolio. The continued strong growth within 3D ultrasound products resulted in a 32 percent increase. Ultrasound for Point of Care (POCUS), while still a small market segment, is growing most rapidly. ContextVision has initiated implementation of its key ultrasound image enhancement product onto the iOS platform which will create opportunities for image enhancement on handheld devices.
As a consequence of increased research efforts and evaluations of new product concepts, costs have increased. The net operating result was -0,5 MSEK. The cost for the explorative activities amounted to 4,4 MSEK, an increase of 37 percent compared to the first quarter. Within the core business alone the operating profit was 3,9 MSEK and the operating margin was at the high level of 21 percent.
“We are steadily moving forward in accordance with our strategic plan to expand into new areas. Our plan is to enter the digital pathology market in 2018 and our Eurostar research project is advancing accordingly. In addition, we have identified a way to generate objective training data. Thus our project includes potential to deliver products that will make a tremendous difference for patients and the healthcare industry,” said Tollstadius.
ContextVision is a medical technology company specializing in image analysis and artificial intelligence. Its cutting-edge technology helps doctors accurately interpret medical images, a crucial foundation for better diagnosis and treatment. As an industry pioneer for more than 30 years, ContextVision is taking a leading position within deep learning, the latest artificial intelligence technology. ContextVision is currently investing significantly in the field to expand its product portfolio. The present product portfolio includes state-of-the-art image enhancement software for 2D/3D/4D ultrasound, MRI, X-ray and mammography which is used by leading equipment manufacturers worldwide. ContextVision is based in Sweden and listed on the Oslo Stock Exchange under the ticker COV. For more information, please visit www.contextvision.com.
About deep learning
Deep learning is the fastest growing area of machine learning. Deep learning mimics the brain to create a self-learning computer. It uses neural networks, many layers deep, and large datasets (“Big Data”) to teach computers how to detect recognizable patterns in data. Deep learning is used in the research community and in industry to help solve big data problems such as speech recognition and face recognition.