Dear investors and friends, friends from the media, good morning. Welcome to the Ping An 2020 Investor Day. I'm your host, Board Secretary and Brand Director, Sheng Ruisheng. I would say, starting from the beginning of the year, Ping An Healthcare ecosystems have seen the business receiving a lot of attention and interest from investors. To respond to your interests, we have prepared a full program for Investor Day today, with a focus of outlining our healthcare ecosystem at Ping An. In addition to the on-site presence, attended by over 50 institutional investors from Mainland China, as well as representatives o f the press, we're also joined by over 650 international investors and the media who are dialing in to this conference. First of all, I'd like to welcome you all to the Investor Day.
I'd like to particularly thank those of you who are calling in from Europe and U.S., despite the time zone. I'm aware this is probably two or three in the morning. Thank you so much. Now, we're joined by friends from around the world, therefore, the program today will be conducted in both Mandarin Chinese and English, with simultaneous interpretation provided. When the presenter is presenting in Chinese, you can tune in to the English channel. And, and also those of you sitting in this room, you can also use a headset to receive the Chinese translation as needed. Today, the theme is about the healthcare ecosystem, whereby we are going to take you through how Ping An has been developing the online-offline healthcare ecosystem, in the past decade or so, with a focus on the strategy, direction, as well as future, consideration for the ecosystem.
And this Investor Day is run by four executives: our Co-CEO, Jessica Tan; President and Chairman Fang Weihao from Ping An Good Doctor, Geoff Kau from Ping An Smart City and Ping An Smart Healthcare, and Mr. Xie Guotong, Chief Healthcare Scientist from Ping An Group. First of all, let me give the floor to Jessica Tan.
[Foreign language]
Good morning. Mr. Sheng mentioned that we have over 650 international investors and friends dialing in. Some of you are actually quite early in the morning, so I will present in English.
Good night, I guess, you know, ladies and gentlemen, online as well as in person. This is the third time that we're doing a group tech Investor Day. If you recall, our first tech Investor Day, we talked about a lot why we invest in core technologies of our own, and how that's been used for the past 12 years to transform and propel the growth of our core financial services. In the second Investor Day, we talked. We took it one step further.
We shared with you why our core technologies are not just being used for our financial services businesses, but they're also used to drive growth in five of our ecosystems. We talked about how we chose the ecosystem. There were a lot of questions about how we grow within each of the ecosystem. Suffice to say that over the past 12 years, we made some progress. We now have 11 tech companies, three of which are publicly listed to our unicorns, and we continue to propel that for our next 10 years of growth. Today, in our 3rd tech Investor Day, we wanted to focus on one of the particular ecosystems in general, in, in specific, our healthcare ecosystem, which is the most important of the five.
Many people ask, you know, why we looked at the healthcare system, why we made such a big deal out of it. Usually, we really made a big deal out of it. We actually have 12 entities working across the ecosystem. But we believe that it has huge potential, and why this potential cannot be captured by just attacking one specific aspect and cherry-pick, that you need a long-term, holistic strategy to penetrate and serve the entire ecosystem... There'll be three parts today. I'll share, I think, first, the overall group healthcare ecosystem, our thinking behind. For those of you who are less familiar with the China healthcare market, you know, at the request of our dear James, we've also added a section on the healthcare system within China.
And then after myself, you know, I'll invite Weihao to show our new CEO, Good Doctor, why we believe that, you know, post actually the COVID situation, it has actually accelerated and increased the potential of what we have started the evolution about seven years ago in internet healthcare. And he'll share with you our strategy on how we intend to expand that a lot more. And then finally, the third part, you know, I invite Geoff and Guotong, our CEO for Smart Healthcare, as well as for our group health scientists, to share something a little bit less known to the public, our Smart Healthcare, why we choose to do that, why actually, you know, quietly, we've actually accomplished quite a lot, and is a very synergistic part of the ecosystem. So let me start off with my section first.
I'm going to cover three parts. I think, one, about the market potential. Not just it's big, 'cause everyone knows that it's big, but why we believe that there's massive potential, and you need to look at it across the entire ecosystem. It's not something that you can just cherry-pick and get across, because you need to solve the entire complex issue of the entire ecosystem in order to capture the value. The second part, I'll share with you our entire ecosystem strategy at length. This is the first time ever that we share publicly our group healthcare ecosystem. There is actually 12 entities.
Most of you are familiar with the Good Doctor, but now I'll try to share with you a little bit why we have made the choices that we made and the significant synergies within the group, not just across the 12 entities, but there's a core part of our integral insurance proposition. Then thirdly, how actually, if you look at it all, we've actually never shared also our entire kind of healthcare ecosystem statistics. You see that actually we have already become a very significant player in the China healthcare market. First one on market, right. The market is huge. Everyone knows that. We have about CNY 6 trillion of spending in the entire China healthcare ecosystem last year. By any estimates, in the next 10 years or so, it should reach about 16 trillion in 2030.
Now, this is very easy to understand because, you know, there are certain underlying driving factors underneath. Right, with the increasing aging population, we already have 12.6% of the population that is above 65 years old. If you do the math, you find actually we have more old people than Japan, which is very well known to have a very to have an aging population. Increasing affluence, you see that in many, in many countries, as they become more affluent, you know, people spend disproportionately more on healthcare because they don't want to just treat simple ailments or when they're sick. They get into much more proactive management. And I'll share that with you why, you know, Good Doctor is now expanding their aspect.
China, this is one of the explicit goals, and there's a lot of work to be done in order to get there. If you look at some of the comparison, today, an average Chinese spend already 11.2. Well, $11,200 on Chinese healthcare. Now, of course, U.S. healthcare costs might be a bit high, so anywhere between that number and 7x , you see a lot more growth potential. Now, being a huge market, why is it that we looked at the entire ecosystem? Because this spending, that just shows the demand. There's a lot of demand increasing, but in order to capture the demand, you have to look at where in the ecosystem can you create value, and therefore address your needs. There's five stakeholders in particular that we care a lot about, right?
From the government to the consumers themselves, to the providers, the physicians, and the payers. I'll share with you why we think these five stakeholders are critically important in order to fuel the growth of demand that I talked about just now, as well as what kind of pain points are they facing, and therefore, that will shape our strategy of what we need to play in the entire ecosystem. I'll start with the government. All of you know that the government constitute about half of the healthcare expenditure in China. They have, of course, made the 2030 Healthy China aspiration, which is a fantastic aspiration. But the challenge, the task of fulfilling that is very significant. You're talking about a country which has to manage 1 million medical institutions.
That is a, you know, very difficult number to imagine, by any accounts. You're talking about them improving the number as well as the quality of the physicians and the medical staff. I'll show you there's a significant shortage in this particular area. And you're talking about, you know, a rapidly revolving pharmaceutical core market and company structure, whereby we're moving not just from generic, but then to new drugs, development and stuff. And then finally, about chronic disease. Now, if you look at the average lifespan, of a Chinese consumer today, the last 10% of their kind of life is actually spent with at least one chronic disease. There are already a few hundred million that I'll show later, and 88% of the deaths in China are actually from chronic disease. These are significant problems that need to be solved....
If you look at the provider side, there's no lack of medical institutions in China. I mentioned there's about 1 million of them, but this is very uneven. These two inverted triangles, I'm sure you have seen it in many different ways. You know, this shows why that there is an urgent need. It's not just to invest in medical institutions. There's no shortage of private medical institutions in China. In fact, if you looked at the numbers, there are actually more private medical institutions in China than public ones, but yet they only constitute less than 25% of the flows every year. Within the public institutions, it's even more skewed. We're talking about the top 2,582 Tier Three hospitals that constitute 23% of the entire volume.
So in order to capture the value in the provider space, you have to solve three problems. You're gonna have to solve, firstly, is the resources mismatch, right? This is why investing in a single private institute, the largest chain, you're only talking about a couple of dozens of small hospitals. You have to be able to solve this resource mismatch, so it's much more evenly distributed. But to do that, you also need to solve the second problem, which is the lack of primary care, basic infrastructure and capabilities. Lots of people don't wanna go to the kind of, community hospitals and the like, even for diseases that can be treated there, because the quality of the healthcare service delivered there is not as good or perceived not as good in the Tier Three hospitals.
Finally, you need a data, you know, a single set of data, because right now it's very fragmented. There is no unified way of how you should treat, and the medical level of service and medication is very different. Now, this is why that for us, a lot of people ask, why beyond insurance and Good Doctor? Later on, you know, we'll share with you the Smart Healthcare. You know, because for us to deliver good service, healthcare service for our consumers, it's not enough to just provide an insurance or provide an online kind of simple diagnostic service. We need to work hand in hand with the offline network, because this is where the bulk of the health consultation and services are being delivered.
This is why, later on, you know, Geoff and Guotong will share with you our smart healthcare solution, which is aimed to capture the opportunity here. The third stakeholders that are important, of course, are the consumers themselves. You know, you're talking about the reason that we put the first number here, which is basically 1 billion of what we call sub-health population. I have no idea how to translate that more appropriately. It's because with the rising affluence, we're not just talking about people who are sick. You know, Chinese consumers are much more concerned also about being proactive about it. And if anyone... You know, anyone in the healthcare industry will tell you that chronic disease can actually, with better proactive health management, delay the onset as well as better manage them, right?
So people are gonna spend a lot more on basically what we call Ya Jian, and self health population. We talk about 400 million people with chronic disease, 4 million with critical illnesses, as well as 250 million people above 60 years old. These are the segments in the consumers market that direly need more better healthcare solutions. Now, in all this that you see things that we have to resolve, not just the provision, as I talked about in the provider space, but also how do you reduce, you know, waiting times, reasonable, more reasonable costs, right? And also being able to pay for that. This number is an interesting one, whereby we have 60% what we call non-necessary medication rate, right? By some of the journals that you looked at, actually, 60% of the medication prescribed are actually supplementaries, stuff.
It's very hard to control that standard, because like I said, it's being done across 1 million institutes. This is why it's important; later, Weih ao will share with Ping An Good Doctor that in order to resolve this, we started this journey about 7 years ago. But we need to do a lot more. We need to do a lot more in two dimensions, as you know, Weih ao will explain later. One is that we can't just focus on minor ailments. We have to go into critical illness, which constitute the bulk of the health costs. We also need to go to the other extent, which is on the health management part, and much more proactive, addressing the sub-health part. The fourth stakeholder is on the physicians or the medical team, right? There's a total of 3.5 million doctors in China.
That's woefully not enough for a population of 1.4 billion people. And particularly in general practitioner, right? Typical general practitioner ratio to specialist ratio, we're talking about maybe 3-7. In China, it's more like 1-7. So we have a shortage of at least 700,000 qualified general practitioner. The second shortage is around medical nursing staff, radiologists, etc. This is why we do AI medical imaging that we'll share with you later. The typical ratio again is 1-4, right? One doctor to about four kind of supporting medical staff. In China, it's more like 1-1.
So then there's at least a shortage of 10 million of such medical support staff, which needs to be trained so that you can provide the level of service that we want to. Besides shortage in the absolute numbers, there's also, you know, it causes problem, therefore, in their quality. They're overworked, underpaid. The medical level of quality, one of the metrics that professionals use is basically the percentage of the treatment that is being standardized, as prescribed by the government, that this is how you should actually be treating various illnesses.... You know, and many different types of independent study shows that the current percentage of standardized treatment rate is less than 50%, particularly acute in what we shared earlier, more basic community-level kind of infrastructure, as well as in Tier Two, Tier Three, and four settings.
This is why later on, in our Smart Healthcare, you'll see why we've actually used our technology to help improve the level of quality across all these medical staff, because we can't magically create double the number of qualified medical staff, you know, in a short amount of time. That is a long-term gain. But what technology can do is actually help improve the level of service quality across all these positions and medical staff. And finally, the fifth part, which is really our core business, is on the payer front. And that's, of course, who's gonna pay for all these healthcare expenditure? In China, you see that actually 50% of the healthcare cost is being provided by the government. This is actually very good. For most countries, they may not have that luxury. But what you see are three problems.
The first two have been done here. On the social health insurance side, the cost expenditure is increasing at 12%, whereas if you looked at the kind of social health insurance pool, the revenue, if you will, is increasing at 10%. So at what point in time, it will not be sustainable? If you look at commercial insurance, this is one of the reasons why I'll share how differentiated strategy of doing this. Unlike in some of the more developed, mature markets, whereby the healthcare service are quite good and affordable, the good... increasing a lot more. 10% relative to other countries is also a very high number. Even in the U.S., whereby everyone knows the healthcare cost is very expensive, the out-of-pocket spend for the average U.S. consumer to their disposable income is only 4%—7%.
In Singapore, where I come from, you know, we have one of our kind of Jen Meng, who's also a kind of CEO of the doctor network in Singapore, and he's very familiar with that. He's part of our team right now. You know, in Singapore, we have very affordable healthcare expenditure. That percentage of out-of-pocket spend is only 7% of the average disposable income. So 10% is already a very significant number, and that number is gonna increase. This is why that you see later on, why in the payer market, we can't just be, you know, play our part as a commercial insurer, which actually has a very small percentage.
Everyone knows the rest of the gap is gonna come. Commercial insurer has to increase, be it by personal commercial, health insurance or paid for by corporates health insurance. But that number is not gonna magically increase on its own, by us sitting there waiting for it to be captured. That number needs to be captured, like I said, you know, working in conjunction with the social health insurance side, working with the rest of the providers such that it becomes a much more sustainable kind of bundle of how you pay for this. And, you know, we'll share with you later, and this is why we have HealthK onnect in this particular area. People know that we started a HealthK onnect, which serves basically social health insurance, you know, since about eight years ago.
And that's very important because we first have to help, you know, with the government on how to better manage and set standards for the social health insurance, and then gradually move to different models whereby we combine the social health insurance and commercial insurance for specific segments, for specific chronic diseases, which is currently being underway. So these are the five sets of key stakeholders. And you see that while we have a huge CNY 6 trillion or CNY 16 trillion China healthcare expenditure market, it's very important that you have to look at these five stakeholders and how you address these pain points in order to capture the value. We cannot just cherry-pick one and say, "I'll just do one thing." This is, of course, supported by the whole government, right?
Which, I think is something that is favorable to us, that we're very confident as we propel this. There's three recent kind of guidelines, which show that this is, you know, a supportive regulatory environment. One is basically, as part of the COVID, has accelerated the Internet Plus healthcare regulations. You see now there are about 400 Internet hospitals. You know, for the past three years, actually, there were only two major provinces that allow online social health insurance reimbursements for Internet hospitals. In just this year alone, it's become 10 provinces, so that's gonna continue to accelerate. And Fang Weihao later will share with you what we're doing in Ping An Good Doctor to try and capture their opportunity.
The government is also approving pushing a lot, like I said, on how to address the misalignment of resources and flows in the two inverted triangles that I shared just now. You know, Guotong and Geoff will share with you later what we're doing in order to help accelerate that realignment of resources, at the same time, be able to capture the value by providing a technology platform and services to do that. Then finally, on the insurance side, which is our core business, you see recently, in just last month, a new kind of policy being released by the regulator, whereby we can now, from the health management cost, increase from 10% to 20%. This is no longer enough to support, to offer just a, what we call a cold-...
Health insurance protection on financial value, but it has to be bundled with a lot of health management and medical services, and that's our differentiating factor. No others invest as much as we do in order to do that service. The second part I wanted to share is, therefore, what we're doing about, you know, our entire ecosystem. Why do we actually need 12 different entities in order to address the pain points across the five parts of the ecosystem? Look, we chose healthcare, I said it's very important, is because if you look at it from the-from a GDP or from a consumer spend, actually healthcare is the next most important one relative to basically financial services and real estate. So for...
For us, amongst the 5 ecosystems, I have to say healthcare is where we spend the most amount of time, and I personally spend a lot of time on. This is also not new to us. Although this is the first time we're doing the health kind of Investor Day, this is something that we've persevered for the past 20+ years. There have been three phases in our group's healthcare ecosystem development, right? The first phase, you know, 20 years ago, is when we first started into insurance, and if you know the market, we were one of the first ones, and still the ones that's very dominant in ensuring a higher percentage of protection, particularly in the health services. The second phase really started about 8 years ago in 2012, whereby we started to not just do insurance protection.
This was when we made the next level of integration into the ecosystem, into healthcare services. So you see here, we set up a couple of investment vehicles, you know, like Voyager Fund, like Ventures, Ping An Ventures. You know, we've made over 100 investments in healthcare services and technology over the past 10-plus years. And then we also set up Ping An Good Doctor and HealthK onnect, right? It's really grab, you know, providing better services on the patient, the payer front. And then finally, in stage three of the development, which really started about three years ago, we started to invest a lot more in the technology, and I'll share with you later, you know, this is the key of what, Geoff and Guotong will share with you. Why we added this third part, which is very important.
Whatever you want to say about healthcare, ultimately, even if I have the patients and I have the provider side, and the payer front, if I am not able to control the level of service and the cost of service within the provider, the 1 million institutions that we talked about, and what the 3.5 million doctors are doing, everything else is, you know, just a hoax, right? This is why we carefully, over years of basically perfection, three years ago, we formally launched how we use technology to enter the provider space, working in conjunction with the government, such that you can cover it at much more greater scale without heavy investment. So this is how our ecosystem look like, right? It may sound very complicated, but really, it just has these 5 key components.
The patient, provider, and payer front is one that we've shared in the past before. And then the two parts that we haven't really talked a lot about is really the government side, which enable access, and there was our technology front, which actually provide a differentiated kind of proposition. The three sets of synergies I want to talk about at length is really one, horizontally. Why this is critical, that in order to capture the value, you have to do both patient, provider, and payer. You can't take shortcuts in these areas. The second level of synergies we talked about really vertically, from the government to the provider, as well as the technology. Why this, this vertical strategy, which is what our third part on smart healthcare is all about, is very important.
Otherwise, you know, horizontally will take forever or you require huge capital investments. And then thirdly, why, with numbers, you know, healthcare is an integral part to our financial services. I'll show you that, you know, having the healthcare services, even though we have not shared this publicly before, this is the first time we are sharing these numbers. You know, actually, those help us acquire customers further. It help us basically increase the share of wallet and retention of customers. That is not sufficient. For all the buzz that we talked about in internet online healthcare, only 3% of all the consultations and visits are done online. Even in the U.S., where telemedicine has increased, you know, has started much earlier than China, that number is also below 5%.
Now, granted, of course, during COVID situation, there has been a rapid rise, but that's an unusual rise. We believe that number should be, of course, more around 30% can be done online. That's where our medical experts have done painstakingly, going through every illness, every part of the treatment process, to say which part can actually be done online. So that 3% number should be more like 34% number. But in reality, even if it's 34% number, you cannot get away with just providing one single small part of it. You have to be able to deliver service with the offline network in a much more integrated way, because I can't just send, you know, my user online and say, "Oh, but by the way, you got to go now," and then it goes in a deep hole again.
So this is why just having Good Doctor is not sufficient. We are the largest healthcare portal right now in China. But that's not sufficient, because I can only deliver part of the service myself. I still have to work with the offline network, which then comes off to the second part. So if you have to work the offline network, now, of course, people, particularly those from other countries, might ask, "Why can't you just be like other insurer?" Right, you know, just partner, have business collaboration with various hospitals, in the network. We all have that. We have it. Other insurer companies in China also have it, but that doesn't make it any difference.
Because unlike, you know, in the U.S. or in other countries, whereby commercial insurance, as I showed you earlier, constitute a significant part of the spend in the hospitals, the hospitals here doesn't listen to you. I'm only constituting less than 5%, of your spend. I have absolutely no control over how different diseases should be treated, what should be the right level of cost, right? This is why... Now, I, I don't want to go invest in a lot of hospital, right? As I said, there's no, there's no shortage of hospitals, 1 million of them, right? More than half are privately held, not public ones. The key is not to invest more.
To get into the provider space, we have to find a way, which is through our smart healthcare way that I'll talk about later, you know, in order to work in conjunction with the rest of the network, particularly the public ones. And then finally, on the payer front, it's not sufficient to just do patient and provider. We have to be able to pay for it, and therefore, we have to work in conjunction with our social health insurance, because this 50% number is not gonna magically go away. It's gonna be a significant part, even for the next 10 years. This is what set the synergy and the differentiator for us, why, unlike other insurers, we've chosen to actually go through the whole ecosystem horizontally from patient, provider, and payer. And we started this journey, like I said, you know, even 10 years ago.
The second level of synergies is vertically. Right? To get the provider space, as I said, there's two extreme version that you see in the market today. There's one version, which is I'm gonna heavily invest, you know, either to acquire a big one, but that's gonna take forever, and those are investments. For those of you who have ever done, you know, hospital investments in China, most of them, you know, don't make much money. Yeah, so that's really not the approach, heavy capital-intensive approach that we wanna go to. You could go to the other front, like I said, whereby you have partnerships, but given the numbers that you've seen, I'm sure you would agree with me that that really is a loose affiliation. It just really means that my health insurance be accepted here.
I have absolutely no control over the level of service and cost that's being delivered. Therefore, we opted to do the second part. We have to find a way to be able to work together with, particularly the public healthcare institutions, so that through our technology platform, even though I don't own them explicitly, that I'm able to control the level of service and cost within those institutions. Therefore, comes important, the government and the technology part, which is these two parts we have never shared publicly before, even though we've been working at it for a while. The government is an important factor because these are public health institutions. You have to work with the government in order to get into the public health institutions.
And as you can see earlier, there's actually a strong desire for the government to actually use our technology capabilities in order to get in, right? You've seen our smart healthcare, the third topic later, we are already in 90 cities, working with the government population. The government's act to get access, and we now have over 20,000 healthcare institutions, many of our top-tier hospitals, as well as the community one, using our technology to get in to help them resolve the shortage and quality issue. This is why the vertical access is very important. We're not doing this... A lot of tech companies might actually do that to win competition and like of stuff. We make a little bit less noise and media buzz about that because we don't think this is about small fame or a small little business unit doing that.
We see this as a core part in order to unlock the value within the provider space. For us, this is a 10-year plus strategy. The third synergy I want to talk about, because many of the investors, both here in person today as well as online, are also, I mean, core group investors. Why are we doing this, right? You might be convinced by me that the healthcare ecosystem is a significant opportunity, but one that's very complex. But this is the integral, essential part of our insurance business. Right? For the past 3-4 years, every year, we all know a number, that 35% of our new customers every year come from our 560 million ecosystem. Actually, the 35% number is broken down to 15%-20% in the remaining one.
The 15%-20% of new customers come from our healthcare ecosystem in particular. This is the first time we have released this number. I'm releasing this number because I want to show you how healthcare, amongst our five ecosystem, is an integral part of our insurance business. We now 60% of our financial services, 200 million financial services customers, have our healthcare service in one form or another. That translates to 126 million financial services customers who have, on average, 3.1 financial services products with us, as well as our healthcare ecosystem. Our average financial services customers only have 2.0 products per customer. You see that in our annual release, our half-year release. But for those 60% who has the healthcare service, their average is actually higher, 3.1.
The average AUM with us is actually CNY 10,000, versus the average financial services customer with us of CNY 5,600. This is something that, you know, is very important. It shows that healthcare service not only help us acquire new financial services customers, it's actually a very important aspect to retain and grow the share of wallet of our financial services customers with us. This is also why, unlike some of the domestic and foreign insurers, we didn't choose to just partner and buy various services, healthcare services, from other vendors. We chose to do this ourselves, because this, for us, is a long-term game. This is not about, you know, me putting my insurance product on an online traffic portal somewhere, somebody else's, and then sell some insurance product. It's not. We ask for our insurance product to be closely integrated with our healthcare services.
We see that as an integral part. Internally, we call that we don't want to sell a cold... That's translated, it's not so nice, a cold-hearted type of insurance coverage protection, but one that has service, you know, that has some tangible scenario. You know, and with service with warmth, with warmth type of insurance and healthcare services. So this is why we don't see this as a hobby. This is an integral part, you know, of our entire strategy. The third part is actually what we've accomplished. We seldom brag about these numbers, but, you know, Sheng and James have, you know, told us we should share this a bit more. We should focus much more on doing. We actually are already a significant healthcare player.
Now, of course, you know, it's gonna take a while for people to remember, because back five years ago, when we said we are a tech company, it took us a while before people believe us. So today, you know, I want to share with you why we say we're already a significant leading healthcare player. If you look at across the five parts of the ecosystem, on the patient front, we already have 346 million users at Good Doctor. Of course, granted, this is only one part, but like I said, you know, 60% of financial services customer already have some form of health services with us. We are the largest health portal in China, which will become the largest vertical, actually, in China. Weihao will share that with you later.
On the provider front, through Good Doctor and our Smart Healthcare, other units, we already now have our own in-house medical team of 1,800. It's gonna be, you know, close to 2,000 above by the end of the year. Not only that, we work with 10,000 other top specialists within the country, and through our Smart Healthcare, we now cover 20,000 institutions and over 450,000 doctors. That's not a small number. That is roughly about 13%-14% of all the doctors that I talked about in the entire market. On the payer front, you know that we have actually about 200 million customers. Sixty-five million of them are actually have health and life coverage, health-related components.
We're, of course, the number one health insurance company, and then with our HealthK onnect, we now cover over 200 cities on social health insurance. And on the government front, like I said, even though we started only about three-plus years ago, on the government front, we made rapid progress, right? Particularly post-COVID, actually, the government is a lot more interested. Jeff will share with you how the government already spends CNY 200 billion a year on public healthcare spending, and they're gonna invest CNY 45 billion more on top of that to build new healthcare infrastructure, because that's a very important part, not just for Healthy China 2030. But actually, post-COVID, it exposes a lot of significant gaps and needs in order to upgrade that, and we're working with the government on that across 13 provinces, 90 cities.
Then finally, on the technology front, the reason I got Guotong come here to share is that, you know, we're not—our technology is not to just use, you know, fancy kind of competition, which we have our fair share of. We have—I think just this year alone, we should have 6 global health AI competitions, whereby we have actually global number one. We have more than 40 over publications, you know, globally in Lancet and others, whereby actually our AI scientist's name is actually listed first, which is very difficult to get in, in the medical journals. So amongst all these 5, we've actually have significant numbers, if you read these, you know, already. And this is why I said, we are already a significant healthcare player. If you ask what's differentiated, right, you know, we put some little logos here, right?
For the traditional insurer, the key between us versus other domestic and foreign insurer is that we don't see this product as just selling more insurance, right? So you see all the red kind of logos, if you will, are areas which traditional insurer will not invest in and have not invested in, whereas we've been investing over the past 12 years. The blue color part is where I think our differentiated strategy is versus some niche health IT player or the internet players. We take this seriously. We're not just here setting up things to sell more non-prescription drugs. We do this as part of the entire ecosystem. We worked with the offline. It may be very difficult, it's very tough, Geoff will share with you later, but this is an integral part of the entire strategy.
So on all these, I'm gonna glimpse through, because a lot of it I've talked about, right? Be it in the government, be it with the patients—not just the number, but the span of the services that we talked about that, Weihao will share later. With the provider, not just the online part, which now is only 3%, but also, you know, it might grow to 3%, but more importantly, the offline part, how you integrate seamlessly with a heavy capital investment. On the payer front, right, the out-of-pocket spend, if you, if you don't remember any number, remember 10% of our discretionary income is already spent on out-of-pocket healthcare expenditure spend. That's higher than the U.S., that's higher than Singapore, and we need to address that.
But in order to unlock the commercial insurance potential, you have to work in conjunction with social health insurance. And then on technology front, that, you know, Xie Guotong will share with you. You know, with actually five leading databases, how that has been able to translate into core differentiating competitiveness across the entire ecosystem, and this is something we persevere. This is why we are able to do the AI clinical decision support system. Some of you might know that, you know, we beat actually, you know, even normal physicians, normal general practitioner, having only 51 marks in a competition versus those that use our tool at 86 marks.
This is why we're able to do that, because we have actually invested significantly, letting our AI engine not just learn some competition stuff, but actually looking into 30,000 different diseases and track record across, you know, 10+ years to develop that engine. So to sum up, it's a little bit long, but I wanted to share very carefully because there's a very diverse audience out there. The China healthcare market itself, why it is big? Everyone knows it's big, but it's actually very complex.
In order to capture the value, this is not a simple cherry-pick investment and say, "Oh, I'm just gonna do this one thing out of the entire ecosystem." That you have to go penetrate into each of the key stakeholders, particularly the five of them, to understand where their pain points are, and to be able to provide value in order to capture the growing market. The second part, hopefully, I've convinced you why, given such a complex task, this is not a 3-year strategy or whatever. This is something we've been at it for the past 20 years, and that you will see much more, these 12 units to do it. Nobody does it with the breadth, the depth, and the longevity in which we looked at this entire ecosystem, but this will absolutely pay off in the medium term.
And then finally, you know, today, we'll glimpse a little bit beyond Good Doctor. One is, of course, Weih ao will share our Good Doctor on how we think our revised strategy, you know, to capture the next stage of growth in internet healthcare 2.0. But also the other part, you know, which the third topic will be, that's less talked about, on the smart healthcare vertical integration, of why we think that's important. So, thank you. Hopefully, that's a good kickoff, right? And now I invite Sheng Ruisheng first to do the next step. Thanks.
Thank you, Jessica, for such outline. She spent a lot of time to take you through some of the numbers and to illustrate what is our insight to healthcare, specific demands, as well as the pain points across the five stakeholders. We are fully aware that in China, it's difficult and it's also expensive to have your disease managed. For the last 10-20 years, there has been an issue that hasn't been really resolved over the last four decades. We have also talked about what efforts we have put in from Ping An, with a focus on the healthcare ecosystem vis-a-vis the financial and insurance business, and all the synergistic effects.
We hoped to develop the healthcare ecosystem so as we can actually better connect to our financial services, particularly insurance business, so that we can provide warm services and products in more scenarios. Now, coming up, we're gonna give the floor to the Chairman and CEO of Ping An Good Doctor, to talk about some of the new strategy of Ping An Good Doctor.
Dear investors, media friends, good morning. I'm very honored and happy to have this opportunity to share with you Ping An Good Doctor's role within Ping An Group's health ecosystem, its role. I also want to share with you in what we have done in the past several months and our strategic upgrade. There are quite a lot of content in my presentation, but first I will start with an introduction. Actually, my report is made up of three parts. First, Ping An Good Doctor is China's largest internet healthcare entry portal. Second, key information is Ping An Good Doctor is a synergistic entity within Ping An Group's health ecosystem, and it has close relationship, close synergy with other parts of Ping An Group. Also, Ping An Good Doctor has been dedicated and is being a bridge between patients and doctors.
Ping An Good Doctor, I believe many of analysts and media friends already know Ping An Good Doctor well, but I would like to align you with some key information and history of Ping An Good Doctor. I will briefly introduce the history of Ping An Good Doctor. First, Ping An Good Doctor was founded in August of 2014, and now it has experienced six years of fast development. Now it has become China's largest internet healthcare service provider, and also entry portal. We stick to our initial purpose of providing seven-day, twenty-four-hour high-quality medical services for users and patients. Ping An Good Doctor was listed in Hong Kong Stock Exchange in May of 2018, and in August of 2019, we launched Private Doctor products. And in September of last year, our registered user number exceeded 300 million.
In April 2020, our market capitalization exceeded HKD 100 billion. In mid-2020, we initiated a strategic upgrade. Just like to draw your attention to the market potential. In the internet vertical areas, healthcare ranks number 2 in terms of market MAU. However, we expect it to rise to number one in internet vertical areas. Ping An Good Doctor, as the largest internet healthcare entry portal, has an MAU of 67 million, which is higher than the combined MAU of top 2 to top 10 peers. So the information or the key message is that in next five years, Ping An Good Doctor sees huge growth space, and will continue to be the largest in the healthcare entry portal. There is huge space for growth. Jessica Tan has made an extensive introduction of the medical and healthcare ecosystem.
In this light, we can see customers, users, and there are also other components, payer side. However, if we look at it from Ping An Good Doctor perspective, we have deployments in every aspect of the healthcare ecosystem. We, Ping An Good Doctor occupies the patient side. And we get traffic from Ping An Group and also from other offline channels. This huge traffic, we can distribute the traffic to other medical providers. Some of the provider is done by ourselves. For example, the online part is provided by Ping An Good Doctor. We provide online to offline medical services. The offline services is also done by other Ping An Health ecosystem entities. For example, Ping An Smart Healthcare and Ping An Hospital Management team. There has been synergy between the different components.
On the right-hand side, which is payer side, it can be provided by other entities, insurance, commercial health insurance, business, or under Ping An Group, for example, Ping An Life, Ping An Annuity, Health Insurance, and HealthK onnect, et cetera. This will provide convenient services for our users and patients. We can see on the centerpiece horizontal part, Ping An Good Doctor occupies the patient side. Start with patient side to explore value and also to provide online medical and healthcare services. This is the role of Ping An Good Doctor within Ping An's healthcare ecosystem. Ping An Good Doctor are building a bridge between patients and doctor, is our vision, and we want to provide professional communication and bridge between patients and doctor. You can see the indicative bridge in the slide. On the left-hand side is patient, and right-hand side is doctor.
Underpinning the patients and doctors are the resources from Ping An's healthcare ecosystem, which include doctor resources, medical services, general practice services, specialist services, et cetera. So where are the patients come? Where do the patients come? This is the frequent question we are often asked. Before the strategic upgrade of mid-2020, our traffic mainly comes from Chinese individual customers, we already have 346 million registered users. We provide them 7-day, 24-hour access to high-quality online healthcare services. Another source of traffic is from insurance side. We cross-sell services to insurance customers. Also, we provide customized protection services and medical services to insurance clients. We form synergy with the insurance business under Ping An Group. So that the financial or insurance customer can enjoy our medical services. And after the strategic upgrade, we have two more channels.
First is H-end, which is hospital site. We build internet hospital, either through self-build model or co-construction model. We know medical services is low-frequency action or behavior. So we, through hospital, we get more traffic from hospital sites, provide online services and online solutions for offline customers. Well, when talking about hospital, many people think it's asset heavy. However, it's not the case for our model. We mainly refer traffic from offline to online, particularly for small complaints and mild illness. Now, Ping An Good Doctor has over 32 internet hospitals, and 14 of which has been in operation. Another new channel is B-end, which is from corporate channel. We provide innovative health solution for corporate clients. China has a population of 1.4 billion. And what services we can provide for corporate clients?
Many people will think of health checkup services, but it's not all about the services that we provide for corporate companies. Our vision is that every employees can have, can install an app of Ping An Good Doctor, and when they feel sick, in the past, they need to wait in long lines in hospital for a visit, for a hospital visit. But now, they don't need to ask for sick leave and to leave the company to seek medical services. They can seek help, seek medical services on the app. They can save a lot of time, efforts, and resources. Some company have corporate clients, but it's not well-managed. We want to transform the old-fashioned and inefficient corporate clinics into a easy-to-access, convenient clinic. So that we can provide efficient, high-quality medical services, easy to access to employees. Just an example.
So our solution for large corporation, we can provide resident staff to their infirmaries. So our resident, actually, GPs, they're going to provide consultation, health management, and diagnostic treatment to their employees. For mid-sized companies, we can have tours by doctors, regular tours. So you know these scenarios. Usually, you go... This is, this isn't a normal infirmary of a company? It's not. There are two differences. First of all, the corporate infirmaries, they have a one plus one services by doctors. First of all, they are GP, but behind the GP, they are being supported by the online resources. They are being supported and connected to all the specialists, connected to all the robust medical resources. They can seek all the specialists, advisors through the system, and we can actually provide multidisciplinary solution to one patient.
In the past, it was difficult, but now in Beijing, Shanghai, Guangzhou, all the experts can be connected to one screen and providing services to one patient. This is not very difficult to do, but this is something that has been done by us. At the same time, we talk about screen, but if you look at the screen, you know, we have the One-minute Clinic. For small, medium companies, we provide a One-minute Clinic. That is to say, for SMEs, for example, in an industrial park, we're gonna have a, you know, mobile clinic, where the patient will come in and the patients can be consulted with these doctors and specialists. So the corporate, what the corporate gets from these services? I think this is not just about providing more care to the employees, to build an image as the best employer.
It's not simply a way to help the companies, to make a saving, out of the sick leaves by their employees. I think it's more important for the companies to gain their own health dossier. The health dossier is really coming from the health management services that we render, the body check that we provide, and all the diagnostic and treatment data that has been collected in the course of providing services, with all the data that has been collected, which come into their employees' health files. So that was the two H. In the country, we have launched 14 Internet Hospital that have gone live. Through the Internet Hospitals, our patients can find it easy to access our SaaS system on the cloud. The cloud link to the offline hospitals.
The treatment diagnostic, because we take care of the pre-diagnostic, and the treatment is handled by the hospital, supported by the smart system, like the registration, pharmacies, and payment. After they leave the hospital, all the follow-ups and call back, this is being taken care by our system again. So from the online, offline, online, we connect the whole process. Now, we talk about the left side of the bridge. Sorry, on the right. We just talk about the left, where do we get our patients from? I'm gonna take you to the next end of the bridge: doctors. We hope by providing a virtual office for the physicians, so that our doctor will have the perfect solution for them to practice.
Now, this can be understood as a professional platform, but this is more than that. They can scan the QR code, so that they can guide the patients onto the platform, and also they can, they can search for the history of the, of their patients. How many time, how many visits, the previous visits of the, of the patient, the previous prescription of the patients, and they can also check for other doctors in the same discipline or the senior doctors. They can reach out to these resources to seek advice. And also on this platform, they can also post their own opinions. They can also participate in a forum on this platform.
So by way of developing a virtual office for the doctors, the doctor can perform their academic research, they can achieve income, they can build their own brand, they can build their capacity, they can also improve efficiency. On the right side of the bridge, in the Ping An Good Doctor, we focus more on focusing on the, you know, the AI doctors. By way of AI doctor, we train the AI, as mentioned. It's not just about getting the information, it's about solving problem as well, by a lot of AI application, by smart critical illness monitor, and a smart medication monitoring. They can actually help the physicians to save a lot of time. The time saving is around 35% by our estimate. Thirdly, the resident or in-house doctors. We—as you say, we have our resident in-house doctors, we have 1,800.
This is our in-house team of HCPs. The latest number is actually much higher than 1,800 now. So why we want to own these in-house doctors? Now, if you go to our app and experience the app, you will feel that it's highly responsive. Without our own in-house doctors, probably you have an inquiry in the morning, you're gonna have a reply in the afternoon or the next day. But on Ping An Good Doctor, we have to have someone to take your question in 30 seconds. On average, your query is responded within 17 seconds. So we provide optimal experience and for improved convenience. So that was the story before the upgrade. After the upgrade, we built on top two more layers, so the physician system is become more fully developed.
So we are already developing around 10,000 specialists on contract with us. These contractual specialists, they have different disciplines and sub-disciplines. They can help our patients to answer some of the more specialized question, not just the mild common cases, but more complex cases. So we say, if you want to be healthy, you should go to Ping An Good Doctor, and you go to Ping An Good Doctor, you are being consulted by renowned specialists. And also on top of that, we have a lot of top experts in the country when we build a virtual office for them. So if you go to our app, you're gonna see we have some of the renowned doctor offices, and you are gonna. You can expect more to come.
These renowned doctors' virtual office, they can deal with some of the acute cases, the severe cases. They build the brand for us at the same time. It's not just about building brands for patients. More importantly, they are building the brand among the physicians' population. So for every discipline, for every specialization, we are being developed as the trusted channel. Now, we just talked about healthcare, let's now talk about health. Now, health is a newly developed segment. I think healthcare and health goes hands in hand. We, we hope to build a full lifestyle health management system, so that our user can receive the holistic solution from treatment to health management. So what do we do about the health? So in the middle, you can see Private Doctor. Private Doctor is the hub.
By Private Doctor, extending forward, we can provide health, exercises, nutrition, and lifestyle support.... So this population, they're gonna receive the health consultations. These are the common general populations. We provide all the health, exercise, diet, nutrition support, so that they can be more mindful and aware of. And the back for the subhealth population, we provide some of the, you know, the workplace care and consumption health care, and targeted sub-healthcare population management. So there are some categorizing, there are also individualization. So we want to make sure we know what is the last visit about? What population is patient from? Is it for the spinal or cervical or... So because spinal and cervical problem are very often seen in workplace employees, so we have tailor-made solutions for them. And the solutions is not developed by humans.
Very often, most of the solutions are actually developed by AIs, with some inputs trigger some of the keywords; they're going to trigger to a human expert for intervention. Who are the experts? These are the, we have the private coach, private influencer, and nutritionist, and also you know, psychological therapist. So the three experts come together to provide our users with more holistic services, and also connect to the offline with the O2O connection. With all that, you can see we're actually, actually are seeing a story. Just like our corporate healthcare, we are providing this to corporate, but also we can provide the same to individuals. Because the data in the process are collected by ourselves, and all the health checkups and the treatment diagnostic data are in capture, so we can provide them with a more complete health records.
This health record is a personal account. Now, when it comes to medical service, we hope to provide a specialty-driven professional medical services. This slide talking about, in the past, we provide more GP kind of services. But next step, the doctor want to develop more specialists, because it, it's gonna cover more specialty discipline. Right now, we cover more than 23 key disciplines now. And these disciplines, some are naturally eligible for online, and some need to be connected to offline practices. So you can see, by the general practitioner's consultation, they are being referred to different specialties. The top five, like the gynecology, pediatrics, TCM, et cetera. So these are some of the very important, disciplines. So for the specialists, they can use a variety of tools to connect to the patients.
In the past, there are photo and texts, but now we have video, audio, and telephone consultations. So many ways for the doctor to reach out to the patients, to communicate and provide solution. Going forward, now we're gonna do two things. Firstly, we're gonna distribute to our own. For example, Private Doctor, they're going to refer to our Private Doctor teams. So our Private Doctor will take it from there. They're gonna take care of the patient, regarding their disease progress, provide progress management, so that they can provide patients with a timely reminders, interventions. If it's a one-off, without a Private Doctor service, then they can be referred to the follow-up team.
The follow-up team is going to follow up the patients by WeChat, corporate WeChats, or by phones, to call back, follow up on the patient to see how the patient is doing after medication, and what is the health status. At the same time, these patients can also be referred to the offline settings. They can be referred to our physical examination organizations. Like, after the online consultation, they can go to the offline for body check, and they come back to the online to interpret their findings, so that they can be referred to the best suited institution for further interventions. So, with this opportunity, I'd like to really take you through and introduce to you our latest brand, Ping An Yijia.
Actually, this is really a logo with a heart, with a cross in the center. This is going to a brand that we're going to really launch strongly. There are three connotations. First of all, it means the home to the doctor. Every doctor should have a more open, holistic, and convenient virtual office. On this virtual office, the doctor can achieve the dream of running a virtual clinic. We want the Doctor Home to be also a private office for the physician. So everybody can have their own private doctor, family doctor. And also, it could also be a private doctors where a family can receive more holistic and personalized services. So this, this connotation is really about our Private Doctor to be our in-house doctor, to be fully upgraded.
After the upgrade, they can develop a better access to the patients, and communicate with patient on a better platform.
So the services that we have provided, you may see, it leverage the resources of Ping An Group. And we leverage huge support and resources from Ping An Group in several aspects. First is the brand of Ping An Group. Indisputably, Ping An Group's brand is very well known, and it easily involve users' immediate trust. The second is, Ping An Group enjoys a huge client base. It has over 210 million financial customers, which is a huge source for our traffic.... And also, the third support is huge channel resources. Ping An Group has over 400,000 corporate clients. A fourth aspect of support that the Ping An Group provides is the support of advanced health technology, which include smart AI-assisted diagnosis and treatment, and smart disease prediction, and some supervision, management, and services, et cetera.
These are closely related to the technology that we are using. So I would like to make a brief summary here. The strategic upgrade that we have made since the mid-2020, so that our investors and media friends can have a better understanding. The first upgrade is on channel. We have upgraded our channel from C-end, individual, and insurance end, to also incorporate our corporate clients and also hospital end. Second upgrade is on services. We upgrade our services in two fronts. First, we have upgraded from pure medical services to medical services and health management, healthcare services. You will see more products launching on the market going forward. We also upgraded our product portfolio from private doctors to private doctors and family doctors. So we expand our services from medical service for individual to medical services for household. The third upgrade is on capability.
In the past, we focused on an in-house medical team, but now we expand our doctors network from in-house and also external doctor network. We will continue to expand the doctors network, particularly external doctors, general practitioners, and specialists. In order to increase the professionalism of Ping An Good Doctor, we also migrated from online-focused to online and offline combination. When we talk about online and offline combination, I don't mean we want to do heavy asset acquisition of hospital and et cetera. We just utilize our existing resources to provide support to dental care clinics, health checkup institutions, providers, to build connection with them and to form synergy with them, to empower them, and this is exactly what we are good at. This is also benefit from the huge offline support of Ping An Group.
In the past, I have always been asked by investors and analysts about how is Good Doctor differentiate from other players? I think the biggest differentiator, first, is we are the largest internet healthcare entry portal with 346 million registered user, MAU of 67 million, and a daily queries of over 830,000. The number are increasing and is already much higher. And we also have a huge AI-assisted diagnosis and treatment system. It provides a good support for our in-house medical team. The training takes a long time to form that expertise. And we also have the huge support and resources from Ping An Group, Ping An Group. This is leverage on the many years of experience and data accumulated. I would also like to share with you the highlights of our 2021 first half business performance.
The several key numbers for you to take away: First is our revenue reached 2.75 billion, an increase of 25% year-over-year. Second, is our revenue from online medical services rose by 107% year-over-year to reach CNY 695 million. Our revenue from membership products increased by 200% to reach CNY 420 million. Last but not least, just a recap of the key messages from my presentation. First, Ping An Good Doctor is China's largest internet healthcare entry portal. Ping An Good Doctor is a synergistic role, entity, and plays a synergistic role within Ping An Group's health ecosystem, and we will continue to deepen our role as the bridge between patients and doctor. Thank you.
Thank you, Mr. Fang. I think it's your first time to really speak about Ping An Good Doctor in front of so many investors and the media, because he has talked about it, you know, the role and position of Ping An Good Doctor in our ecosystem. He's also talked about the subsequent product, services, channels, and capability upgrades for Ping An Good Doctor. So as a whole, I think this platform will continually evolve as the premier and leading and the largest healthcare information platform, connecting patients and doctors, including family doctors. And also, you know, it serve as an important connection between those who need it and those who provide healthcare and health management services, and also launch the Ping An Yijia as an important new sub-brands under this ecosystem. So now we're gonna take a short break.
Let's take 15. At 10:35, please return at 10:35, where we'll continue with the next part. Thank you.
Ladies and gentlemen, the event will begin shortly in one minute. Can we please ask for you to kindly take your seats? We would like to remind you again to switch off all mobile phones and put electronic devices to silent mode. Thank you for your cooperation.
Ladies and gentlemen, welcome back. For those meeting participants who are still in the lounge for tea break, please come back to the venue as quickly as possible.
Uh,
Okay, just now, we heard two wonderful presentations, and they shared with us the healthcare ecosystem, the strategic planning, as well as the detailed introduction of the Ping An Good Doctor, especially talking about the horizontal part of our healthcare ecosystem. Next, we would like to have two speakers in talking with us the vertical part of our healthcare ecosystem, that is smart healthcare. I think smart healthcare is probably something brand new, especially to our friends from the media, our investors, and our analysts. Sometimes we may hear some cutting-edge technology in the market that's being selected to join the international competition and being heavily awarded. Or probably sometimes we will hear some very important publications on Lancet journal. I see that what are the relationship between those findings and the smart healthcare of Ping An?
Next, we're going to have two speakers to give us a talk on smart healthcare. First of all, let's welcome the Co-President of Ping An Smart City and CEO of Ping An Smart Healthcare to be on the stage for the first part of the presentation. And later, we're going to have Xie Guotong, the Chief Healthcare Scientist of Ping An Group, to do the second part of the presentation. So, Geoff, the floor is yours.
All the investors and my friends from the media, good morning. Because we have many overseas participants online, so in my presentation, I'm going to use English. So for all the audience online or offline, if you really want to listen to the presentation, you can use the translation service. Presentation on the overall group health ecosystem strategy. What smart healthcare is tasked to do is using technology to enable the key offline stakeholders or service providers to enable us to extend the reach to the offline medical use cases and scenarios. Because as much as the online portion of healthcare is growing, the majority of treatments, and diagnoses, and resources are still concentrated offline, right?
So it's a hugely important component for both Ping An Group and for our various health ecosystem entities, right? So we're the vertical, the AI, essentially. And also three key messages, which I'll go into a little bit later in the presentation. So one is that since we are aiming at the offline, we're really looking at the entire healthcare spend or the majority of that, right? So it's a huge market. Jessica mentioned the number CNY 6 trillion in the beginning, and we believe that by serving the government, the public health entities, the hospitals, and the doctors, as well as the pharmaceutical companies, we're well-positioned to capture a significant portion of that, right?
So it's not just the IT spend, but we're hoping with our AI capabilities and value-added service models, we're able to tap into some of that service revenue and spend as well. And we have a diversified revenue model, which I'll talk about a little bit later when we serve the various entities. So huge market, we're, you know, aiming to achieve a multipronged revenue model approach. And the second is that even though we're only about three years old, we've grown relatively quickly. We now cover about 90 cities, 20,000 medical institutions, serving over 450,000 doctors with our doctor enablement platform, as well as helping about 2.5 million chronically ill patients monitor and manage their diseases.
All this is, Smart Health is, backed by a powerful technology platform, which Guotong will talk about a little bit later. Currently, we have over 3,000 AI models that does anything ranging from, you know, for example, the pre-diagnosis stage. It helps patients, you know, self-diagnose, it helps patients find the right departments, it does pre-diagnosis information collection for doctors, and of course, clinical decision support, to help doctors more efficiently and more accurately diagnose and treat the various diseases. As well as AI imaging, right, is a big part of that, and as well as chronic disease management out of the hospital, right?
Because as Jessica mentioned, there's a huge shortage of nurses in China, so we're hoping that AI can play a little part of that to close the resource gap, right? So what we do, right? Who we serve, who we work with, it's mainly five entities. The government, obviously, as Jessica mentioned, healthcare is a highly regulated industry, and the government, especially the Health Commission, they play a huge part in allocating resource in ensuring quality and ensuring that the basic level of service is met. And now, with Healthy China 2030 strategy, they're tasked with even more, right? To ensure a lifespan, to ensure chronic disease control rates, et cetera. So the government is key in this, so they're at the top.
Through serving the government, you know, we wish to quickly cover the four main entities, right? One is obviously the providers, right? The 30,000 hospitals or the 1,000,000 overall medical institutions to enable them with technology, to help them be more efficient, to do things at lower cost, better quality, to enable the doctors, right? Because there is a shortage of doctors and nurses in China. They are very overworked, right? Some doctors see over 100 patients every day, and they have little time to spend on research and learning. So we're building a holistic platform, what we call a Bloomberg for doctors, right? Some of the investors here, you should be well-versed with the Bloomberg machine, right?
Something similar to help them achieve better outcome in their clinical responsibilities, as well as in their research and learning tasks. And enable disease control. So this is mainly working with the public health entities on infectious diseases, right? Such as COVID-19, as well as the chronic diseases, right? As Jessica mentioned, that's the real pandemic in China. 400 million people are chronically ill or at risk. So how to in a resource shortage situation that we're in right now, how do we use technology to enable humans to better treat these patients and help them manage their conditions? And another relatively new area that we've entered into is pharmaceuticals or the medicines field, right?
Here we partner with some of the leading players in the world to use technology to, again, enable their operations and hopefully come up with new drugs as well as new standards from anything ranging from Western medicine to traditional Chinese medicine. So these are. So one government and the four key stakeholders in the offline ecosystem is who we serve and who we work with. So as you... So the first point, right, the market is very big. So here, for example, you can see in public health, CNY 200 billion, the hospital spending already CNY 1.4 trillion. But as Jessica mentioned earlier, still a lot of room to grow.
If you especially look at, look at the U.S. numbers, you know, much bigger, as we go into aging society and growing affluency. So we're hoping that we're not just a, you know, technology provider. So here, our revenue models is three-pronged. So one, obviously, the most basic one is, yes, we provide systems to the various parties. But the second one is, since we have the AI capabilities, we are hoping to charge with a subscription model, so software as a service. For example, in medical imaging, for our chronic disease management robots, et cetera. And the third is value-added services.
So for example, we are partnering with Good Doctor, who Fang Zong just talked about earlier, to you know offer their services to the patients that we manage through the public entities as well. So that's a transaction-based model utilizing the whole Ping An ecosystem. So that's our overall approach and strategy, and how our positioning is different. IT companies are obviously very deeply embedded with the entities since they provide a system, but they're you know a little bit lacking in some use of the new technology, such as you know artificial intelligence and such, right? And they also don't have the value-added services that they can provide to say patients or doctors, so they just provide a system.
And if you look at the internet companies, a lot of them, they have a very strong online patient flow. So a lot of them sell pharmaceuticals, they provide related healthcare services, but, you know, they're not integrated, they're not deeply embedded to the offline providers and ecosystem, right? So they tend to be a little bit light touch. They tend to be rather limited in their scenarios or use cases, but we see ourselves as sort of in the middle, right? You know, we have the software platforms that enable these entities, so we're deeply embedded, but we also differentiate through the use of AI, through Jessica mentioned competitions, and, you know, medical journals that we publish, the 3,000 AI models, et cetera.
But we add on top of that value-added services from our, you know, internal partners such as Ping An Good Doctor, and external partners. You know, we also work with other hospitals that can provide, for example, telemedicine services to chronic renal patients, et cetera. So, so that's how we see our positioning and how we differentiate against some of the more common players in the market. And as you can see on the right-hand side, you know, even though we're only about three years old, we... in terms of the coverage, in terms of the core capabilities, you know, we're actually sort of in the first tier or quite leading in these areas.
Yeah, so again, just to reiterate, right, broad coverage and even, you know, during the COVID-19 crisis, our technology even started to going overseas, right? So our, we have a CT, lung CT imaging model that help the doctors quickly, you know, diagnose novel pneumonia, and quantify it and locate it and help them write the reports, et cetera. And now countries in Eastern Europe and the U.S. even, there are hospitals using this model. And with Singapore, you know, we're working with SingHealth, the largest hospital network, in Singapore, to help them better treat type two diabetes patients, using AI, through data mining, right? How to use differentiated treatment methods, et cetera. So, you know, so it's not just China, right?
So we're also starting to go overseas, where there's a need for new technology and... or a shortage in medical resources. So let's talk about how we serve the governments, right? So we mainly work with the local governments and entities called the health commissions. And here, under the Healthy China 2030 strategy, you know, I say, right, so, you know, they're responsible for even more than before, right? So essentially, the entire health of the local population. But a lot of the governments, you know, that I've talked to, that we're working with, they don't even know, for example, where the community hospitals are located.
They don't know the quality of care that the local private clinics are providing, and they don't know how many people have type 2 diabetes in their district or city, right? So the first step is help them get all these data, aggregate them, clean them, and help them supervise, right? So here, for example, we were working with Gansu, and we're aggregating their entire data from their around 20,000 community hospitals to help them determine you know if there's any sort of clinical non-compliance issues, right? So the treatment quality, essentially, the doctors, right?
Because these are one of the community-level doctors, you know, and, you know, we're helping them find potentially, you know, high-risk prescriptions or where the quality of treatment is maybe not that good. For example, we're working over 1,000 private clinics in Shenzhen across five districts. 'Cause private clinics, you know, in historically, have been a supervision sort of a gap, right? There's not a lot of supervision. There are random checks, obviously, you know, but, you know, people worry about these, right? Because these are more financially driven, maybe sometimes not as well run in terms of compliance and risk. So we're providing these clinics with a cloud clinical management system so that digitizes their operations, and then all these data gets fed to the health commissions who regulate these clinics, right?
So it's a service plus supervision model, and we're rolling this out to other clinics in the Guangdong area, where we're hoping to cover over, you know, 10,000 before the end of the year. And, for example, in Chongqing, right? We're helping the governments there monitor the spending and the efficiencies and treatment qualities of the 230 public hospitals. Also by, you know, looking at their electronic health medical records from information from the HIS systems, and helping the governments flag out high-risk activities or trends that they should worry about. And on hospitals, as Jessica mentioned, right?
Since a couple of years ago when the government came out with the zero price difference policy for hospitals, and now they're trying to control the percentage of drug prices as revenue of hospitals. The hospitals today are facing even more pressure to reduce costs and improve operation efficiency, as well as raise service qualities, right? A couple of years ago, the national committee came out with a KPI standard for public hospitals, Tier Two and Tier Three. So, whereas before, the hospitals were relatively comfortable, they enjoyed good margin, good revenue, now they're really facing the pressure to transform. And, you know, over 30,000 hospitals nationwide, you know, the government, the public ones, the government has had to subsidize over CNY 200 billion just last year to these hospitals.
So it's becoming a financial burden to the local governments as well. We have a new unit in the smart healthcare area that's responsible for creating a holistic solution for the hospitals to address issues on management, on patient service, on treatment and diagnostic, as well as out-of-hospital recovery and chronic disease management. For example, I've talked to a few CEOs of hospitals. They don't even know how much medical supplies they have left in the inventory. They don't know the profitability of a department. They don't have 360-degree views of the patient. So there's a lot of replicated steps for the patient to go through.
Sometimes the patient needs to go through at least, you know, three payment stages, three diagnostic and testing stages, just to see the final specialist that they're waiting for, right? So you've all heard the term, you know, wait in line for three hours and see the doctor for five minutes, et cetera. So these issues, we're hoping to address through this. And, we employ three models. So one is sort of piecemeal. So one of these solutions, whatever the hospitals, they feel that they have the need for, they can pick and choose, and we do that. And the second is, you know, similar to Good Doctor, right?
We can bridge the link and co-build the internet hospital for the hospitals offline, so that they can get that additional online flow and extend their services outside of the offline physical vicinities. And the third is, you know, that we've been experimenting, is to co-manage a hospital with the entity, right? So we have a team of specialists that go in and really look at it from the top down, because sometimes it requires organizational changes, workflow transformations, et cetera. It's not just a systems thing. So there are, you know, from sort of shallow to more deeply embedded various models to work with the hospitals. We're hoping that this will. We'll be rolling this out later this year or and early next year.
And so far, our technology solutions have already covered over 100 hospitals who use our various services. We're hoping to expand that. Doctors, right from Jessica's presentation, if you remember, you know, we're short about at least 1 million doctors and maybe, you know, by some estimates, over 10 million nurses, right? So these are the doctors that we do have are really overworked. They don't, they often don't have a lot of support in their research and learning. They do that on their own, mostly through various tools and, you know, online websites and such. So what we're hoping to build is called Ask Bob. It's a... We're hoping that it will be a Bloomberg for doctors, where they can go on for their clinical needs, all right?
Clinical decision support to help them be more efficient, higher quality when they're treating patients, and as well as their research and learning needs. Guotong will talk about how we're enabling that with our health databases and knowledge bases and so on. But for example, on the clinical side, right, we cover over 3,000 diseases. The machine, through reading a doctor's input on the patient conditions, can give recommendations on how to diagnose and eventually, how to treat the patient. It's doing that by going through over 30 million medical literature that we have in our knowledge bases so that, you know, it's, it's essentially a virtual doctor that's always up-to-date with the, with the latest medical knowledge, right?
Late 2018, early 2019, we did a trial with the Fudan Zhongshan Hospital in Shanghai, where we put two teams of GPs, general practitioners, against each other. So they're, you know, looking at 10 cases, same cases, and they're supposed to give treatment plans. And one team used our tool, and the other team didn't. And the team that used our tool scored an 86 out of a 100, whereas the team that didn't scored around a 51. So you know, that shows, you know, the power of this, right? We can really improve, especially the GPs and the community level and the village level doctors, who are not maybe that experienced in certain areas of treatment. For example, in medical imaging, right?
During the COVID era, we came out with the pneumonia CT lung model. So that's one that's being used in Romania and the U.S., et cetera. We're able to reduce the image reading time of radiologists from 15 minutes down to 15 seconds, right? Because the patient volume was really high. A lot of patients were being rushed, for example, in Wuhan, right? Where, you know, there was the center of the pandemic. So we're able to save the doctors time. As well as raise the level of accuracy, right? So we had an accuracy of 98% in quantifying and locating the lesions from the pneumonia, so they can further diagnose it and then treat the patients, right?
In research and communication, we're helping the doctors, you know, find the newest literature from the newest, you know, clinical trials in a one-stop shop. We can answer queries from their peers. So we're building a network of doctors in online forums so where they can do community learning. For example, we've already done over 100 surgery broadcasts this year, and many COVID-related forums with the top experts in the country. So that's a tool that we're rolling out, and it also has big synergies with what Ping An Good Doctor's building, as they're rolling out their doctor workstations to the doctors that they work with. So we tie these together to holistically serve the doctors even better.
The two disease areas, one is obviously infectious diseases. During the COVID crisis, you know, we were working with local governments as well as national governments, including the State Council. Right, we provided daily reports. We started in the first week of February. We've done over 160 issues. It was a daily prediction report on the trends and the confirmed case predictions for the next day and as well as seven days in the future. So it helps the government make decisions quicker. We're using data from online, online sentiment data, online consultation data, as well as the published COVID data from the various cities and provinces to do that.
And now, we're working with over five provinces and cities to build the next generation, what we call the infectious disease control platform. So it's three things. So one is, you know, first, we need to alert, right? So we are not just using data from hospitals, but we're expanding that to pharmacies. For example, who's buying fever-related drugs, right? School data, right? Which children are missing school because they're because they're sick and et cetera, right? And also online data. So we can alert if there's a spike in any of these activities, right? So imagine, you know, if Wuhan had acted, say, 14 days earlier than they did, right? You will be able to contain the situation much faster, right?
So that's something that we're working with the National Health Committee on to build this next generation system. And the second, I mentioned before, prediction capabilities to aid in decision-making, resource allocation, and the last step is to prevent, right? How do you take steps to prevent during... So we've this voice robot AI. During the pandemic, you know, we helped several districts of Wuhan to make calls. So these robots make calls to check on citizens who are suspected to have the virus. So we did about 60,000 of these and found about 1,000 suspected cases, who then went for testing offline, right? Because the volume is so big, humans cannot do this quick enough. And we helped the doctors...
For example, the imaging, right, to help the doctors and especially the first-line workers in the community hospitals and the clinics, help them better diagnose these conditions. And essentially will eventually help the government make better decisions on medical supplies allocation and where to place the gaps and come out with containment policies. And chronic disease, as Jessica mentioned, right, it's a condition that affects about 400 million people in China. And the lack of medical personnel means that they're not well managed, right? For example, diabetes patients, their awareness rate is less than 60%, right? That means four people out of 10 with diabetes, they don't even know they have the condition, right? The control rate is less than 20%, right?
So people who are, you know, diabetic, you know, they're controlling, they're managing their, their disease to a satisfactory level is not that, it's not that good, right? So, we're also working with the various public health entities in this area to first, you know, help them screen and predict. So for example, in Chongqing, for COPD patients, we built a model using their public health records that can predict people who have COPD or are high risk with an accuracy of over 80%. So the government can precisely select people to screen for the disease, right? And get vaccines, right? So it prevents them from developing pneumonia and other related conditions later on. In treatment, right?
For example, yeah, we're working with SingHealth on type 2 diabetes, right, to have this tool that, A, the doctors are using big data to see, you know, which comorbidities, right? So it's a correlated disease caused by diabetes, you know, that they should focus on because it has very different treatment paths. And we're seeing results from retrospective studies of comorbidities happening at a 30% lower rate, right? So and this also decreases the overall spend for the government as well as the patients, right? So we're potentially hoping. And of course, the management tools using AI to do follow-ups, to do patient education, so we save time for the nurses and the doctors.
So, we have a project with the China Medical Society here, which we're managing about 60,000 type II diabetics. And using this, we're seeing, you know, blood sugar rates, control rates, let's say 5x improvement, as well as only at a 30% cost compared to pure human who are doing this. So, you know, this has synergies with potentially our insurance customers, with, you know, patients who are on Good Doctor, et cetera. And last but not least is pharmaceuticals. This is a relatively new area. Obviously, this area is very high barrier, long-term investments. So we've chosen to partner with world-leading players. For example, on pharmaceutical R&D, we're partnering with Shionogi, which is a leading pharmaceutical company in Japan.
We have a JV with them, to really look at infusing technology to aid in the drug development process. For example, drug repositioning, right? From our, you know, health knowledge and databases, which Guotong will talk about, during the COVID era, we're actually able to find 10 compounds that might be able to treat COVID-related symptoms. And now actually six of them, you know, from, you know, both China and the U.S., are in clinical trials, right? So drug repositioning, shortening the time to find the compound and its potential use cases, as well as, we're working with the military hospital of the East region in Nanjing, to find patients who are more suitable to immunosuppression therapies for renal diseases, right? Because for a drug to be effective, it has to find the right patients.
Not every drug works for everyone. So we're really using technology to improve the development speed, shorten the development time window, and increase the efficacy, in terms of patient selection and so on and so forth. And the second thing I want to talk about is, traditional Chinese medicine, right? It's a CNY 400 billion market in China, and we're working with Tsumura, the leading TCM manufacturer in Japan. They have 80% of the Japanese market, to come up with and standards, to improve, the sort of the quality and production quality of drug makers in China, because Tsumura, they have standards on over 300 medicinal plants, as well as over 130 traditional Chinese prescriptions.
And we're hoping to import that to a technology platform here to enable the industry that's been plagued by uneven quality. So 30% of the qualities of the medicinal plants don't pass the quality checks every year in China, and we're developing tools for that, right? For example, AI imaging to see to tell pure breeds from sort of mixed hybrid plants that have less efficacy or less safety. And, yeah, so due to the time, this is all I'll talk about before I hand it off to Guotong. So hopefully, you take away with, right, offline market is huge, and we're using technology enablement to really penetrate the offline stakeholders and the service providers. And we're working with the government to rapidly cover ground.
You know, technology is our fundamental difference, source of differentiation, which Guotong will talk about. Thank you.
Okay, hi. Okay, all the investors and my friends from the media, my name is Xie Guotong. I'm the Ping An Group Chief Healthcare Scientist, and you see that a smart healthcare is providing the technological platform to our business. We have a very simple mission. We want to leverage the best technology to support and enable our healthcare business in the market, to make it differentiated in the market. 'Cause there are many medical terms in my presentation, so I'd like to use Mandarin to deliver my speech. Today, as time is quite limited, so I'll just cover three parts of the smart healthcare, including the disease database and the algorithm, as well as the computing power. Let's start from the data first. Healthcare is a data-intensive industry.
There are many structured data inside, including the diagnosis, treatment, and the prescription, and also many unstructured data, including the clinical record and the online consultation record, as well as, a clinical guidelines and, medical imaging. These are all being called as unstructured data. Based upon our three decades insurance and the medical experience, we're now building the world's largest healthcare data bank. For example, in our disease database, we have around 30,000 disease names in the ICD, including the root of the cause, the symptoms, and, the comorbidities. At the same time, it will also include the corresponding genetic mutation of that disease.
All this information are included in the disease database, where in our medical product database, it contains 180,000 drug instructions, including who produces drugs and what is indication, and what is the best target population for those drugs, and what would be the precise dosage of the drug, its side effects, its adverse reaction, and its retail price in different regions of the world. All those data are included in the medical product database. Besides, 180 medicines - western medicine, and we also have around 84,000 Chinese medicine formulas in the medical product database. In treatment database, we have both Chinese and English medical literatures, and we jointly have around 33 million medical literatures. Around 50,000 for Chinese literatures and 50,000 for the overseas literatures.
At the same time, we also have 150,000 prescriptions, including the medical pathways, the treatment, and all those information are included in our treatment database. Another one is the medical resources database. We have 500,000 doctor information, including those highly certified doctors in China. Which hospital are they working in? What are the specialties they have, and where are they specialized in the research in?
In addition, we have 2.2 million medical researchers' information in a database, and their research interests of them, what is the latest publication? Who are they working with? What are they working on? This information available in a medical resources database. And last but not least, patient information database. The patient database is based on what we talk about, what we did in the last 30 years in terms of insurance, where we collect a lot of health insurance and life insurance, and we have our customers' information, where we build over 1 billion medical records into the database, in the medication, treatment, intervention, all the, you know, you know, demographic information. And, and also, as we say, we are the largest internet platform, where we have over 29 billion online queries. So the 29 billion allows us with a lot of data mining potentials.
So this is the five databases where we collect a wealth of data. However, simply putting information together serves you no value. So actually, on the right, you see there's a spider web of a knowledge graph, where we use algorithms to dive into the five databases to mine the data and convert it into useful information. How is the information organized? It's organized around diseases, that ICD with the 30,000 diseases, so the disease-related symptoms and disease-related testing, examination, medication, procedures, and what instruments are supposed to be used in the procedures, and also the corresponding genetic targets for the disease. How... what are the adverse reactions to other diseases?
Even you can say, which doctor is more experienced in treating the disease, from which hospital, and what is the lifestyle change and dietary exercises, psychological counsel that's needed for a certain disease, where we have such a huge atlas of knowledge. This atlas includes 3 million concepts, 3 million nodes with 36 million relations. How do we come about with this atlas? It's just like tap water purification. The tap water is a process of filter after filters. So on this, on this side, we have four layers of critical filters. The first, we have to clean up the data, because from real-world data, they are really messy, noisy, dirty, you name it. So very often, you see in the data with people who are aging 200 years, 300 years old, this is impossible.
So you see a lot of data, some critical information are missing. For example, for hypertension, diabetic patients, they are they are lacking the continuous, you know, blood pressure and glycemic measurements. So we have to use the data governance to clean up the data, to remediate the data. Therefore, the seemingly unusable data can be turned into useful information. Secondly, structurization. As you know, computer is good at handling structured data. However, in medical, there's a lot of unstructured data. What I mentioned, the online Q&A, the non-structured medical records, clinical guidelines, and literatures, a lot of, lot of texts, and the machine cannot really understand the text directly. So we have to use a natural language processing to turn the unstructured data and extract the key information.
For example, when you talk about certain medication, you talk about certain disease, they talk about surgical procedure. After extracting this data, they can structure this data, and they can be turned into something that's useful. The third step is standardization. Then, is the structured data useful already? But you say humans are curious animals. We call things by different names, by our own habits. For example, in our Ping An data, when we get data from different sources, just for Type 2 Diabetes, you know, everybody knows about this, but we have over 70 different terms to describe this disease. So if we just put them together, you can never get statistical accuracy. You don't really have the accurate number of how many T, T2DM's. So we have to look at disease, testing, examinations, symptoms, procedures.
We have to use an identifier so that they can be standardized. This identifier could help us for further analytics. The fourth step is about using algorithm. This data has been cleansed, it has been extracted, standardized. Now it's time for algorithm to find and map out relations, so that we can map out such a huge atlas. Such a large atlas will pave the way for the medical brain for the Ping An Smart Healthcare. They support all the clinical application and clinical decision-makings... So after data, next step, I'm gonna talk about AI computation platform. Now, you have the data, but if you do not have AI algorithm or platform to run it through, you couldn't do anything with the data. But this is a massive data. It's a complicated computation, to have a SFE computation platform.
SFE is to enhance the speed of AI modeling and improve the efficiency of the modeling. Just to give you two samples. First is about the data labeling, data tagging. You say AI, you have to have, you know, you have to have the human intelligence before you can have AI, artificial intelligence. You have to have human intelligence to tag the information before machine can be intelligent. The tagging is a time-consuming effort, but do we need all the training data to be tagged to be valuable? Not exactly. Because a lot of information—actually, I'm gonna talk about, give you example. For example, like a renal pathology. With a renal pathology, you have 1 billion pixels. For a doctor, look at the whole information and tag everything, he's gonna spend an hour on one, you know, scan.
But specialists spending one hour on one radiology is so expensive. So you have active learning algorithm. By using active learning, this algorithm will be able to pick the information of these of the graph. Those sub graphs that produce some higher value will be retained. So we retain 52% of the training data, which will reobtain the same level of quality as compared with using all the data on the graph. This is a massive improvement in efficiency. Secondly, training speed. I wonder you have a good idea of the learning speed, because the model become humongous now. Traditional AI model have limited parameters. Now, in natural language processing, the BERT model, they have 300 million parameters. It sounds daunting, but the OpenAI release, GPT-3 model, they have 175 billion parameters.
So to train such a humongous model, it takes a lot of time and efforts. In the past, they're gonna train it by hours or by days, but now they're gonna train by weeks or in also in months. So SFE platform is actually providing a distributed training optimized algorithm, which schedule thousands of GPU server to process a complicated task, the speed of training. Just last week, we have just, you know, in the largest machine translation competition, we got the champion, first prize in medical translation, WMT 2020, which is the largest machine translation competition. Microsoft, Baidu, Tencent, Huawei, they are all in. We are in the competition. We've got first prize in medical bioscience, Chinese to English, English to Chinese. So we, we got the first prize. There are two tricks of winning.
First, it's based on we have massive medical database, where there were a lot of Chinese and English literature, and this literature was part of the training so that we are more competent in medical translation. Second, it was our SFE. SFE actually accelerates the speed of training by 4x . Given a limited time, we can actually train over 200 iterations of training, so the training model can continue to be more accurate so that we came out on top. So, this is the last slide, algorithm. Now, you have the data and the GPU hardware, and it doesn't do any good. You have to have a medical algorithm to run these numbers, to use these cases, to solve real problems faced day in and day out in the clinics. Now, let me just give you another example or three examples quickly.
Firstly, it was about disease prediction. And Geoff has talked about it. What does it mean? It's about fortune telling. Fortune telling with the science is really telling you death or life questions. So we talk about sepsis in ICU, the risk of mortality from sepsis in ICU. Now, in ICU, sepsis was number one killer. There are 6 million people die of sepsis in ICU. In this COVID, 40% of ICU patients suffer from sepsis. So our algorithm can give you six-hour lead time to tell the likelihood of sepsis in this patient. Our results, compared with the best method nowadays, we are 23% better. That's because ICU doctor, they are looking at the patients who are plugging in all the tubes and instruments.
There are various data in different sequences, like the oxygens and also pumps and everything. So we capture over 300 time-related time points to give us precision to predict the sepsis in the ICU. The second case, we talk about kidney pathology in radiology diagnosis. In China, we have over 100 million chronic kidney disease patients. To provide diagnosis, they have looked at a graph where every pixel is a cell, so the doctor have to make a count of the cell. So we have a 1 billion pixels. There are billions of glomerular cells, where the small epithelial cells and all the other cells, and the senior cells, they have to make a count of all the cells.
So usually, they will spend 30 minutes to look through these slides to give a diagnosis, but the algorithm can do it in 30 seconds... and to count all the cells, identify the cells, and with the accuracy of 92%. We look at the National Life Center with four specialists. It's not a competition. The average accuracy was 82%. Compare, we are 70x faster, and we have more accurate. We're not to, you know, take the job away from radiologists or the doctors, but we are taking the time-consuming and low added value portion out of the burden from doctors. This is really about human-machine integration. Algorithm can help to take some of the, you know, you know, difficult components, where the doctor can save time for more value-added services.
The last case is individualized treatment. This example was the diabetic nephropathy. This is the most important complication. About 40% of diabetic patients develop nephropathy. The next stage was renal failure, leading to dialysis or transplantation. Now, for the treatment of nephropathy, every patient will have different solution, and they respond differently. So the key method is just like playing chess. The doctor is like playing chess. They choose a medicine to see how it works. Maybe they want to switch to another. So we have a reinforcement learning. Used to be deployed in the gaming and chess application. So looking which pathway better control the disease, better control the glycemic levels, reduce complication, in a relatively shorter time. So every patient has an individualized pathway that suit him or her best.
This will improve the better recovery, you know, effects, which reduce the renal failure by 25%. So to recap, firstly, smart healthcare has huge markets with various business models, and Ping An is trying many of them out. And this is not a concept. What Geoff present and what I present, technology application, they are all being implemented already. We are going to big cities, hospitals, and doctors. They are now already using this technology application day in and day out. Thirdly, the reason we are differentiated in the market, we can do what cannot be done either before and we can do it better. That is because we are supported by the globally leading technology capabilities, by medical database, AI, computation, and algorithm.
We develop the most robust medical technology platform so that the healthcare smart healthcare can be independently enabled. Thank you.
Thank you.
Thank you. Thanks, Dr. Xie, for your presentation. In the morning, we have listened to so much content on healthcare ecosystem from our speakers. The presentation from Geoff and also Tong's presentation, we know that Ping An has already executed ecosystem plus health. Actually, we, Ping An, has already built a super medical brain, either is ICD, SFE platform or AskBob doctor, they have all been implemented. Well, usually it takes 4 years, 8 years for a doctor to finish their academic career, and it's difficult, it's difficult for people to learn all those expertise in a short period of time, and we use technology to empower doctors. Actually, what Ping An is building is a huge superpower, super medical brain.
Either it's in patent application or in multiple global competition, et cetera, we have ranked high and ranked top globally. We have the second largest number of health tech patent applications globally. Thanks again. Thank you, Geoff and Guotong. Next is Q&A section. I would like to invite our speakers on stage. They are Jessica Tan, Mr. Fang Weihao, Mr. Geoff, and Mr. Xie Guotong. Today, the sequence of taking question will be in rotation, 'cause we have audience from on-site, analysts and media friends and investors from on-site, and we are also joined by audience from online. So the rotation will take between analysts, investors and media friends, and the rotation will also between online, on-site and online. So before asking questions, please kindly state your name and your company.
Due to time limit, and also we would like to allow more audience to raise question, please ask no more than one question. So the first question is from analysts and investors from on-site. I am analyst from CITIC Securities. Two question to Mr. Fang Weihao. First, why Ping An Good Doctor conducted a strategic upgrade at this point of time? And also, what are the main driver from industry perspective? The second question is, on the strategic upgrade, you mentioned you Ping An Good Doctor want to expand offline network expansion. So, what resources or what support you want to involve offline support? You—Thanks for your question. Since establishment to IPO, Ping An Good Doctor has experienced fast growth. And actually, the fast growth also showcased the industry fast development.
Under COVID-19, well, the outbreak of COVID-19 has changed the society, the lifestyle, and the economy significantly. We can see that against the backdrop of COVID-19, the business model of the internet healthcare has upgraded, and people's acceptance and awareness towards internet healthcare has increased and improved significantly. There are many stakeholders in the medical system, including doctors, nurses, and other practitioners, and they have come to realize that internet healthcare represents the future. Also, internet healthcare regulators, governments, has attached huge importance to the development of internet healthcare. So I think the market environment and also government policy are the driver between the development of the sector, and we want to leverage the opportunity.
We want to upgrade, make an upgrade, strategic upgrade, based on the private doctor services, and to support the tier diagnosis and consultation services to extend our coverage, the services, our... and our offerings. And to improve our, the quality of our doctors. Of course, we know not all of the issues and problems can be solved online, but we want to extend online services to more people. And for small complaints and mild illnesses, they can be addressed online. I think this is part of the efforts to build a more professional and high-quality medical system. And, I think, the offline network plays a part in this process. Online and offline combination is part of our strategic upgrade.
The ultimate goal is to address the pain points facing patients, and also to help doctors to solve the pain points, the difficulties in their work. For example, we provide different types of tools for doctors to increase accuracy of prescription. So this is the driver behind the strategic upgrade of Ping An Good Doctor. Actually, I have already answered this in my presentation, and we will lay out more specific measures. And Jessica said, I would like to add on to Weih ao's point. Actually, internet healthcare will be the trend, and we already started to prepare that business 7-8 years ago. But why we made such a upgrade this year? Actually, the outbreak of COVID-19 accelerated the development of internet healthcare by at least 3-5 years.
Actually, the market share of internet healthcare only is only 3%-5%, and in that market, Ping An Good Doctor is absolutely the largest. But I mentioned, the mix of internet healthcare only accounts for 3%-4%, which is small, but it indicates huge potential. The development, the pace of development, if you look at the developed world, actually, the outbreak of COVID-19 accelerated that development. That's why we increased investment in internet healthcare and Ping An Good Doctor. But it will not happen by nature. We need to make an increased investment, and we need to address the pain points facing regulator and also national provider, national payer. And we also need to strengthen the customer behavior. We want to build a trust with customers and to increase the professionalism of our doctors and our network.
At the beginning, Ping An Good Doctor mainly focused on its in-house medical team. But in the strategic upgrade, we launched Ping An Doctor Home. It's a sub-brand, and we strengthened collaboration with external doctors to push forward internet healthcare. So that's why we increased investment and made strategic upgrade at this point of time. Thanks for the answer. Next question goes to media friends from on-site.
Thank you.
Thanks, management. I am journalist from Xinhua Finance. A question, that Ping An Health ecosystem have incorporated many entities, but what's the respective role of different business? And or what's the advantage that Ping An has in building a healthcare ecosystem? Well, the healthcare ecosystem is wide-ranging, and you cannot achieve it by focusing only one area. If you, if you only make investment in single aspect or single sector, it will not gonna to reap huge benefits or return. China's medical system face some structural issues and pain points, and we need to address that pain points systematically. That's why we are different from peers, either it's traditional insurance company or insurance company. Ping An is serious in doing healthcare ecosystem and develop its healthcare ecosystem. We have been doing it in the past over 20 years.
The multiple entities on the health ecosystem focus on the patient side, to influence user behavior and also encompass provider side, which encompass online and offline providers. Ping An Good Doctor is the largest internet healthcare entry portal, and we also partner with offline hospitals and providers to leverage resources and to empower them. On the payer side, we provide services to local SHI and other payers. We also cover government services, and we have advanced technology. Actually, we provide services to governments, and that's an important part of our medical ecosystem. Technology is our unique differentiation advantages. That's why we do not focus only one area, one segment. We focus on the whole ecosystem, the whole medical system. Ping An is the only company in China that have such widespread focus. But it's unique, and it cannot be replicated by other peers. Thanks.
Next question goes to online, or goes to online audience. I will first read out the question.
The question is, both Ping An Good Doctor and Ping An Smart City would like to solve 2B and 2G problems. What is the main differences? In what aspect they will cooperate, and in what aspect they will be in cooperation? Ping An Good Doctor and Ping An Smart City.
So to recap, Ping An Good Doctor and Smart City is to address the issue with two B and two G. So what are the differences or differentiation in their services? Which is, in what way can two entities work together, and in what areas they are somewhat competitive with each other?
I think they are both represented on the stage. Maybe I will chip in to talk about their positioning. I think this is our clear strategic consideration. Allow me to respond in English.
Doctor, right. The collaboration is going to be more focused on very selective, picking the top institutions as well as top physicians to collaborate. It's an extension of the service that they will provide online with the rest of the network, so they can be very selective about who they work with. On the smart healthcare side, it is different, right? It is about actually serving, covering as broad a service network as possible, because that still constitute the bulk of the service. But we're gonna be more light. It's much more about technology enablement, and, you know, influencing the service flows, right? So this is how they differentiate it. To give a specific example, we talked about a lot about the internet hospitals. You know, that's that kind of really started a few years back but really blossomed this year.
You know, internally, we have three different internet hospital collaboration models. We have a self-built, a collaboration with large hospital, and then what we call hub-and-spoke regulatory and service platform, right? The first two models are covered by the Good Doctor, right? Self-build is essentially we ourselves apply for internet hospital license in any particular city. We ourselves apply for the social health insurance online reimbursement, and we will, you know, provide service just like any of the other offline, online hospital, right? As one of the players in the market. That's done by Good Doctor. The second one on co-development, Good Doctor also work with basically top hospitals.
These tend to be larger institutions, who they themselves are now a bit overcrowded, and therefore, they work with us to provide the online health diagnostics part of Good Doctor, and then it, it's a business collaboration, right? It's a business slash technical collaboration, whereby, Good Doctor will provide the online part, along with their offline network, and then they will have different splits of revenues about what is being done online, offline, and we complement the top, the bigger hospitals in that sense. The third model, which is done by our Smart Healthcare, is then from a regulatory and broader network standpoint.
In many of the provinces, one of the reasons why they haven't really opened up a lot of the internet hospital online, there are very strict restrictions about what can be done online, what can be reimbursed online, is because from the Ministry of Health and the Social Health Insurance standpoint, you need to be able to regulate this properly, right? Because health is not like buying a bottle of water. You need to have strict rules about how it should be done. So we take the opportunity. We have a hub-and-spoke platform, whereby Smart Healthcare work with the government, as well as the provider, you know, to provide regulatory provision service, but also what we call. I need to translate that.
Packaged, kind of like modules that, you know, the broader hospital, no matter how big or small you are, you can actually reuse some of the modules to provide that as an extension, of your service, without having to rebuild everything yourself. All these are done on the software as a service cloud model, so it's easily deployable. So you can see, as an example, of how these three models are very different. They serve different segments. It has very different purpose, and that, you know, Good Doctor and Smart Healthcare plays a very different role, right? One is much more focused on business collaboration, and the other one is much more on technology enablement across the broader market.
Oh, Jessica Tan.
Thank you, Jessica. Now, coming back to the conference room, we'll take one question from the media. The gentleman out there. Thank you. In the morning, thank you for such a well-illustrated strategy and technology application in your ecosystem of healthcare. I'm from China Securities Daily. I'm more interested in profits, so my question is about. You know, in healthcare, Ping An continue to invest in this, in this area. So my question is, in the future, how much more are you gonna invest in healthcare? And when can you expect to generate profits? And if I may, in your ecosystem, the healthcare ecosystem, how much contribution, and what are the contribution from the healthcare ecosystem into the financial business of Ping An? Let me take the first part of the question regarding the value.
Where is the value? I think I spent a quite a bit of time talking about three parts of values. First of all, value is manifested in a great, in being a great tool of customer acquisition. This is not out of the blue. Over the last four years, you see, even though this is being disclosed for the first time, but this is a result of the last four years of efforts. Like, like 15%, 20% of the new acquired customer actually come from our healthcare ecosystem. It's a great tool of customer acquisition. We say, Ping An will do things. We may not necessarily talk about it, but we will do it. So we provide, you know, services, and then we follow by products. This is important because it's got scenarios, it's got services. Secondly, it's sustainable.
Something that we can continue to drive the stickiness and loyalty of customers. We're not like other insurance company or financial institutions. We're not simply there to work with other vendors, service provider. The reason we build our own services, develop so much our own entities, spend so much resources, we think this is not about getting customers. It's only about traffic acquisition. That's easy. I just put my brand across all different products, but it's not. So we are disclosing another number. 60% of the financial customers, 126 million of them, when they hold healthcare services from us, their revenue, AUM, stickiness, they grow more than 100%, more than other financial customer who do not have our healthcare products. So this is a sustainable model, sustainable stickiness with healthcare plus finance. So these two in our core business...
Well, for those of you who are online, offline, you are analysts, you are better at mathematics, you can and do the math. So how much contribution it generates to the insurance business? For these two reasons alone, we'll continue to invest, and the result is obvious, and there's going to be more headroom for further growth. The third synergy is actually coming from the healthcare ecosystem, the CNY 6 trillion moving to CNY 16 trillion addressable market I'm talking about. Now, if you look at the past, a lot of reports and coverage, there's a lot of investors out there, they would know in the last three decades, the only long-standing industry that survived the two financial crises and also the pandemic, the only ecosystem was healthcare, ecosystem.
For the last 10 years, they were second place, but TRS was number 2. They are only after technology in TRS. So if you look at the last 30 years, the global financial institutions or the sectoral investment, healthcare was number 1, except for this year, which was number 2. So definitely this is going to be a long-term prospect. The reason we go for healthcare ecosystem is so complicated with 12 entities. Why we do it this way? This, it means a lot of work for me. I have to coordinate 12 different entities, but I'm saying... If you want to make money out of it, you have to deal with the pain points in the ecosystem by way of paying by services, by product plus services, by service, license or operation charges.
You have to address the pain point before you can collect money from them. So, we're talking about the average value, second is. But the third reason, itself, in the subsequent future entities, where they are going to be more transparent. They are either going to go public or they're going to be made more transparent so that you can see the value. For us, the third reason is a midterm target. We're gonna see the value being released gradually. Now, to answer your second question, you just asked about the reason why we invest in healthcare, even though you don't believe that we can touch the CNY 16 trillion, but actually, the first two reasons are sufficient to justify the investment.
When it comes to the, you know, making profit, we disclose numbers, which is, we invest around CNY 100 billion in the last 10 years. In technology, R&D, we invest around CNY 100 billion. We disclose that quite a lot, quite often. Among CNY 100 billion, I would say 10%-20%, they are healthcare-related investment, in the investment in the healthcare ecosystem. So when are we going to make profits? In our core business, where they are driven, when they bring profitability, you can actually see how much contribution healthcare is making, contribution to our core business. And also, we're saying, these companies do not have profit as the primary target. Good doctor, I would say, in our internet companies, in the fourth stage of development, from scenario to traffic, revenue and profits. Profit is the last step.
After you capture the market, just like Autoh ome. If you look at Auto Home, the entire sector was in decline, but Autoh ome maintained profitability. That is because we are in the leading position. We are in the fourth quadrant. Right now, Good Doctor is the third quadrant. So we're looking at a market size, revenue, the position in the market. As I mentioned, we invest even more. We are in no hurry for Good Doctor to be profitable because we are aiming at the long healthcare is probably in second quadrant right now. We are looking at the reason why we talk about. We didn't talk so much when we are making efforts, but you can see, Mr. Cao and Mr. Xie, they have talked about that we are already built robust, you know, propositions.
They are in this stage of bringing traffic and building revenues. So hence, my response to your question. Thank you, Jessica. Now, we have a lot of questions coming in. I have received quite a few online questions. Let me just read out the question in English. It's from online, Gig i from Citibank. The question is: Regarding your healthcare ecosystem and the synergy, how would the Ping An Group allocate resources to internet healthcare platform? And which resources will be the primary?
Now, the question is, just [Foreign language].
So the question is about the healthcare ecosystem and synergies. How would Ping An Group allocate resources to internet healthcare platforms? What are the prioritized resources to be allocated?
There are two ways to look at it. There's the actual financial investments that we made, as well as the channel and customer resources that we allocate.
... in the first one, just on the previous question, I mentioned that, in the past, our historical past 10 years, we've shared that we've spent about JPY 100 billion on new innovative investments, of which roughly about 20% is health-related. Going forward, we've always publicly discussed before that in the next 5 years, we'll spend another JPY 100 billion or so, of which 20%-30% is gonna be in the healthcare investments. Right? So this is one of the most important ecosystem amongst our 5. That's financial investments. In terms of resources, this is the ecosystem. As you can see, you know, there is, there is synergistic with our customer as well as channel resources. So as Weih ao mentioned, we actually make available our Ping An 210 million financial services customers.
We want it more, you know, want more and more, of our customers to have healthcare-related services. We're opening up... We, we have opened up, and continue to leverage our channel access. Channel access being what, Fang Weihao mentioned in our government access through smart healthcare, through our corporate customers. We have 4 million corporate customers, which is gonna be a key component of, providing more healthcare services and, and expenditure for their employees, through our own agents, right? Which is a very synergistic bundle between insurance product and health services. So I think the intangible resources is actually even much more significant than the scale of financial resources we'll invest in our health ecosystem.
Thank you, Jessica.
Thank you, Jessica. Next, the next question is from media friends from on-site.
The gentleman at back.
Thank you, management. I'm from VCBeat. VCBeat is a media focusing on internet and healthcare. My question is quite specific for Ping An Good Doctor. Why Ping An Good Doctor launched Ping An Doctor Home, which is a new brand of Ping An Good Doctor, and is there a new measure that you want to communicate with us, and what influence will it have on Ping An Good Doctor's business? Thanks for your question. I have actually briefly introduced our Ping An Doctor Home. Ping An Good Doctor... Well, in August 2019, Ping An Good Doctor launched Private Doctor product. This product, well, in the almost one year's time, since its launch, it has been well received by the market. Well, it's also supported by our, by our insurance channel. The sales volume exceeded CNY 420 million.
This is the data for the first half. It's indicating a growth of over 200% year-on-year. It's the revenue from membership products and also our. The satisfaction rate of our private doctor has reached over 95%, so it's well received by the market and has been very popular. But I have also mentioned currently, the market environment is very favorable, favorable, including government support, et cetera. That's why we decided to increase investment. The investment was mainly in that we upgraded the product of Private Doctor. So our Doctor Home is an upgraded product based on Private Doctor. We want to. We provide very clear positioning for the different products.
Private Doctor provide customized solutions for different types of patients, and also we provide very concrete, customized solutions and proposals for our patients, and to build trust between with our patients and users. That is the positioning for the products of Private Doctor. And also, through this product, we hope to get access to households and families to give them household-based medical services and health management products. That is our overall positioning for Private Doctor and also the positioning of Doctor Home. Another connotation for Doctor Home, in Chinese, Ping An Doctor Home, means a home for all the doctors. It's a family for the doctors. So it's not simply what our business have covered.
It's, it's a super big virtual office for doctors, and to build a doctor ecosystem, to empower doctors to provide services more efficiently, more professionally, even a higher quality, and to get more support, and also to build a deeper, closer relationship with their patients. The ultimate goal is to empower the doctors, to provide support to them, so we give them a better career, and also to help them to provide services to patients more efficiently and with higher quality. So this is the empowerment to doctors in two aspects. The doctors can also have communication with other peers. They can communicate with their peers, famous doctor, renowned doctor from other hospital, other cities.
So this enable them to strengthen peer communication and to improve themselves, and also to have a better medical career, and also to provide better service to patients. So the launch of the new brand, Ping An Doctor Home, ultimately aims to provide trustworthy, professional, and convenient, easy-to-access services. Thanks for the detailed explanation and answer of Fang Zong. Well, the many questions are coming in from online, but according to a rule, let's give the next question to analyst from offline. Thanks. I'm Medic Tina from UBS. I have two questions for the management. The first question is about. Well, actually, we have first is, what are the synergy? We have heard a lot of the synergy between entities, but could you please give more color on the specific flow of the synergy? Is there any specific example?
Second question is that internet healthcare has witnessed the release of many supportive policies, but SHI payment is handled on provincial government levels. So I would like to know, for Ping An's health ecosystem, which encompass many separate entities, what support can the entities and the health ecosystem get from the support? Just to clarify for the second question. So like, how can our ecosystem of the Ping An Healthcare to tackle this kind of like a very fragmented system? I will give one example. So that you have the idea. Just an example of chronic illness management. I have mentioned there are 200 million people live with chronic illness in China. So when we age, well, around at the last 10% of our life, many of them live with chronic illness.
So chronic illness expenditure accounts for over 60% of China's medical expenditure. So how to address this pain point? We know that chronic illness is not covered by many insurance. So how can we handle the big expenditure from chronic illness management? An example is that we have three entities that collaborate to provide services on this front. This is just a forecast. Very soon you will see more specific things and products and services come up on the market. We use Good Doctor, Smart Healthcare, and another entity to provide chronic illness management. It is only covered by insurance company, where we can see there are many medical reimbursement insurance product on the market, but they don't cover chronic illness. Why?
Because the expense of chronic illness management is out of control, and it's hard to measure whether it's fully cured, whether it's fully covered. The expense or the gap between them is huge. So the cost of, the cost from chronic illness management cannot be fully covered by insurance. So we need to get other providers involved. We need to rely on SHI payment, which is social health insurance, which is provided by medical insurance provided by government. So, but Ping An Good Doctor provides some portion of the services. For example, we have online doctors and nurses that can provide services, which is only part of it, not all of the services. That's why we need a third part, which is Smart Healthcare. Well, Geoff and Guotong already mentioned this.
They provide, they involve government, doctors in the system to provide one-stop services, ranging from, smart disease forecast, smart diagnosis and treatment, and also follow-up management, et cetera. There are many, many different activities, over 175 parts of the activities for the whole process. And this is bundles of work in collaboration with insurance. This is the three parts. In dealing with chronic illness management, you see, the synergy is in three fronts. First is synergy in product pricing, because we have the data, we have the control, we have the management, and we can price products well. The second is synergy in channel. This is only a very simple example of the synergy within our health ecosystem. But... Well, it's because it's hard to replicate that it will become our mode, competitive mode.
Your second question is about the fragmented health care and SHI policy across different cities in China, and how we deal with it. We started Ping An HealthK onnect business in 2012. Indeed, the SHI payment policy is very complicated and different across different cities, and we have established a database encompassing-
... encompass the all of the different policies of different local governments. We have the huge database, and also different computing parameters to help government to control costs and to formulate annual budget. These services can only be provided by Ping An, because we have such a huge, massive database. And this is also in line with the DRGs policy that is being promoted by national government. It's very similar to super fast auto claim settlement. We have the data, and we know how to address the situation, different cases, different in a different way, and to provide customized solution. It's very similar to our smart auto claim settlement. We have built, for claim settlement, we have built database for different, parts. That's why we know how to accurately address, and handle auto claims. Now, last question will come from the media.
We'll reserve the last question from the friends from the media. Thank you, management. I'm journalist from China Economic Weekly. I have two questions. In the future, the healthcare ecosystem, how do they enable your life insurance, your, your insurance business? And the second is, what's the Ping An's view on the changes and opportunities from this COVID pandemic? In the future, what, what else, are you going to focus on in the future? I'll actually answer your first question. For our main business is about customer acquisition, improving stickiness, improving more share of wallet from customers. But for the empowerment or enabling, from ecosystem, I will leave it to, Geoff and, Guotong. You talk about after COVID, how do we work with cities? Am I, am I hearing you right?
So what's your view on the opportunity presented by the COVID pandemic, and what else are you going to, you know, deploy into this healthcare industry? Well, maybe Mr. Fang can chip in later. So we work with many governments, like Health Commission. After the COVID, we have seen three type of changes. Firstly, we talk a lot about they are being more open and accepting and encouraging to internet healthcare. Because as of last year, many healthcare commission, they are big concerned of the risk with internet, you know, healthcare. But with the COVID, people are not going to hospital. They don't want them to leave their home, so they have to go to online, particularly for chronic diseases.
They have seen that indeed, after making it available, the experience are great, and the risks are also are being well managed, so they're being more open. And also, they are trying to make up for the you know, disadvantages or the some of the weak links in the system, because we have CNY 45 billion of the funding from central government to address some of the weak links. Well, in this COVID pandemic, our actually medical you know healthcare system, they haven't really played a role very effectively. So some of the community level primary care, they have done... They haven't done enough to prevent and control the pandemic. Therefore... So therefore, like primary care, community care, they need-- they have to set up a fever clinic. They need to have a diagnostic capability.
They need to have some of the capabilities, the venue and ITs at a primary care level. So the government is interested in boosting primary care, and also, thirdly, digitalization and IT to fight the COVID pandemic. We've been dealing with several provinces and cities about extending the data further to school data, pharmacy data, clinic data, and this data can be used as an early warning. If we see more sales of fever drugs, paracetamol might be a problem. So if you look at the school data, a lot of students are asked for sick leave. We have to look at why. In the past, we had to rely on reporting, but you have a very narrow coverage. So therefore, they want to use AI for prediction, so machine can help with the digitalization.
So with this pandemic, the government is more tolerant to the online practice. This is my observations. Okay, thank you for the questions. Well, time permits, we don't have further time for questions. Jessica, would you wrap up? Well, I'd like to just thank you, those of you in presence or online, who are sacrificing your valuable sleeping time. I just have three points to make. We spent quite a bit of time today, but I hope you're gonna see the healthcare ecosystem has huge potential. And we do this... You see, we do this with passion, and we find this highly meaningful. It benefit the country, it benefit the nation, it benefit the people, and it benefit ourselves. If we do it well, just like the media's question, if we do it well, it solve many problems.
It solves the problem for government, for healthcare providers, doctors, and even saving patients' lives. Then for the ordinary citizen, 10% of disposable income are spent on healthcare. This is a huge number, and every year, the expenses continue to grow by 15% per annum. So how do we control the expenses while maintaining quality? This is difficult. It's not- it cannot be done easily. So first of all, this is a huge market, and it's a meaningful cause, and it helps our core business. It's tremendously helpful of customer acquisition, improving stickiness and improving value and share of wallets. And secondly, to do this, it's not nothing- it's not easy. Of course, we want to get the value, but value do not just come from the sky. We spent 20 years starting from insurance, medical services to the ecosystem. We took the trouble.
I think we were the only company in China who took the trouble on doing a such large scale with 12 entities, with so much investment, because we are convinced of the value, and the value has to come as certain efforts. We have to address the core and root issues. You have to approach the issue from the five aspects. But you can already sense great values, the value coming from contribution to our, our core business and the value from the healthcare itself. Now, thirdly, whatever we say, this is probably the first sharing, you know, not just the Good Doctor, but also the ecosystem. But we only talk about two out of the 12 entities. There are still 10 entities who are not being fully represented today. But it's not just about empty talks.
What we show you today should be enough to convince you that our robust competence in the healthcare, not just in revenue, you're gonna see more revenue coming from Good Doctor, from other entities, but more importantly, it comes from the value extraction from the entire ecosystem. We're convinced that in the financial ecosystem and healthcare ecosystem, we are one of a kind. So thank you so much for coming here in person or dialing in, so showing great support and interest in the development of the group and in healthcare. We're confident we can do great, and I hope, looking forward to receiving more of your comments and inputs to do a better job in this healthcare endeavor.
Okay, thank you for all of you who come to this venue onsite and dialing in on the internet and showing your interest in the healthcare ecosystem. We do not have time to answer more questions, but if you do have further questions, feel free to reach out to our IR and PR colleagues. We're willing to take any or all of your questions. Thank you again.