KINDSTAR GLOBAL (09960) joins hands with Biostate AI to seize the new blue ocean of AI healthcare.
Kangsheng Global and the emerging AI biotechnology company Biostate AI have established a joint venture, aiming to accelerate the clinical application of artificial intelligence in precision medicine and commercialize it by integrating the core strengths of both parties in data resources, AI algorithms, and biotechnology fields.
On June 6, 2025, KINDSTAR GLOBAL Gene Technology Co Ltd (09960), a leading player in the field of specialized medical tests in China, announced the establishment of a joint venture with the AI bio-technology newcomer Biostate AI. The aim of this joint venture is to accelerate the clinical application of artificial intelligence in precision medicine and to commercialize and promote their services by integrating their core strengths in data resources, AI algorithms, and bio-technology.
Cost revolution and deep information breakthrough
According to the agreement, KINDSTAR GLOBAL will provide its accumulated RNA sequencing (RNAseq) data resources to support the training of AI models for the joint venture. Biostate AI has multiple technological advantages in genomics sequencing and AI algorithms. Their Total RNA sequencing service utilizes a disruptive wet lab technology called Barcode-Integrated Reverse Transcription (BIRT) technology, which allows for high-throughput analysis of all RNA types in biological samples including long non-coding RNA (lncRNA), small RNA (miRNA), circular RNA (circRNA), among others. This technology differs from traditional sequencing methods that only focus on about 30,000 mRNA, as it can simultaneously detect over 300,000 non-coding RNA types, greatly enriching transcriptome information. The accompanying noise separation method (PERD) technology efficiently removes ribosomal RNA (rRNA), enhancing the effectiveness of sequencing data, reducing RNA sequencing costs by nearly 5 times, while significantly improving data quality. This breakthrough enables research teams to process 2-3 times more samples with the same budget, significantly speeding up disease mechanism research and drug target discovery.
Biostate AI not only innovates in wet lab technologies but also standardizes and automates complex bioinformatics analysis and scientific writing processes through a series of AI tools, significantly accelerating research and clinical translation. Their AI data analysis assistant (OmicsWeb Copilot) is specifically designed for the analysis and visualization of RNA sequencing data, allowing scientists to analyze complex RNA data through natural language dialogue. Based on the latest large language model technology, OmicsWeb Copilot can understand users' questions, identify appropriate statistical methods, generate statistically rigorous analysis code, and run analyses in a secure cloud environment. This innovation fundamentally disrupts traditional bioinformatics analysis technology, making it easier for researchers without a computational background to obtain deep biological insights, significantly expanding the participant group in research and pushing the boundaries of research.
Industry giants joining forces in a growing market
With the rapid development of precision medicine and genomics technology, the global AI market in genomics is rapidly expanding. Market research reports show that the global genomics AI market was approximately $498 million in 2022 and is expected to grow rapidly at a compound annual growth rate of 46% between 2023 and 2030. This trend is driven by the increasing demand for personalized medicine and increased investment in research.
In the wave of genomics and AI-driven precision medicine, data quality and scarcity have become key indicators of core competitiveness for companies. KINDSTAR GLOBAL's RNA data resources, accumulated and rigorously screened over 22 years, cover a variety of disease types, different disease stages, and diverse sample sources, making it a leading player in the industry in terms of scale and quality. These resources will complement Biostate AI's Total RNA sequencing technology. Through revolutionary low-cost sequencing technology, large-scale, cost-effective data collection is made possible, injecting massive amounts of high-quality training fuel into AI basic models. This breakthrough not only transforms genomics data from "research luxury" to "inclusive resources", driving more powerful AI models to provide more accurate predictions, which in turn leads to better data, forming a "data-algorithm-clinical value" virtuous cycle.
Currently, KINDSTAR GLOBAL has collaborated with Biostate AI on RNAseq data sets from leukemia patients, achieving equivalent evaluations in leukemia subtype classification results with flow cytometry and pathology techniques. Compared to other organizations with scattered, single data, KINDSTAR GLOBAL's RNA data will provide the joint venture with a more complete and clinically significant transcriptome panorama, laying a solid foundation for future disease mechanism research, biomarker discovery, and other work.
"Data + AI" seizing the new Blue Ocean of precision medicine
By reducing the threshold for RNA sequencing, Biostate AI technology is expected to advance the early warning time for major diseases such as cancer by 6-12 months, and increase the success rate of clinical trials by approximately 30%. The McKinsey Global Institute estimates that this technology could create economic value of $60 to $110 billion annually for the pharmaceutical and medical products industry. Looking at the international market, the global genomics AI market is still in its early stages, with leading companies (such as Tempus) valued at nearly tens of billions of dollars. With the dual engines of "Data + AI", the joint venture is poised to enter the Blue Ocean market behind Total RNA sequencing services, welcoming multiple catalysts for valuation leaps.
In the coming years, the joint venture will first focus on introducing Biostate AI's mature RNA sequencing technology and AI analysis platform to the Chinese market, optimizing and verifying them according to the disease spectrum characteristics of the Chinese population. At the same time, the company will actively explore applications in cutting-edge fields such as tumor liquid biopsy, drug genomics, and rare disease diagnostics, and plan to collaborate deeply with top medical institutions and research institutes in China to jointly promote the development of precision medicine in China.
In the context of increasing emphasis on biopharmaceuticals and data securityMature risk management and compliance operations capabilities are also prerequisites for successful operation and expansion of enterprises. Biostate.AI emphasizes the "de-identification data queue" and "federated learning" strategies, which can remove personal identifiers while retaining the data science value, and ensure that the original data never leaves a secure environment, allowing model training to be conducted on geographically distributed data. Under multi-layer data privacy protection methods, the data usage of joint ventures will comply with global and Chinese regulations, ensuring that patient rights are fully protected, helping them to mitigate risks in domestic and global strategies and ensuring market access is smooth sailing.Professor Huang Shi'ang, founder, chairman, and CEO of KINDSTAR GLOBAL, will serve as the chairman of the joint venture company. Regarding the establishment of this joint venture company, Professor Huang gladly expressed: "This collaboration combines the experience and data of KINDSTAR GLOBAL with the deep integration of Biostate AI technology, which is expected to create a strong competitive advantage in the field of medical artificial intelligence. I believe that the joint venture company will achieve a series of remarkable results in disease diagnosis and medical research. With the rapid growth of the global genomics AI market, we will fully seize the market growth opportunities and lead in the new blue ocean of precision medicine."
Professor Zhang Yu, co-founder and CEO of Biostate AI, will serve as the chief AI officer of the joint venture company. Professor Zhang emphasized: "The establishment of this joint venture company is a proactive exploration of the deep integration of medicine and technology, which will significantly reduce the research and development threshold of precision medicine in China. With the help of KINDSTAR GLOBAL's data, we hope to make algorithms shine in the field of precision medicine, bringing more efficient and cost-effective diagnostic tools to patients, and using artificial intelligence and advanced biotechnology to bring a healthier future to all of humanity."
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