Femtech Uses AI to Treat Infertility and Reduce Medical Costs... A Solution to Low Birth Rates

[Financial News] "Femtech, including Artificial Intelligence (AI) infertility treatments, offers a breakthrough to increase pregnancy success rates, address low birth rates, and reduce medical costs," an industry expert stated.
On the 30th at the National Assembly of the Republic of Korea, Lee Jun-young, Head of CHA Healthcare, delivered a presentation titled 'Femtech in the Age of AI: Overcoming Low Birth Rates and Strategies for Industry Growth' at the 'Forum on Addressing Health Inequality in Medically Underserved Areas and Femtech Medical Innovation.' He noted, "Last year, 16% of all newborns were born through infertility procedures. With the total fertility rate at a critically low 0.75, Femtech could be a game changer. If investment in Femtech improves women's health, it could boost Korea's GDP by $150 annually (about 21 trillion KRW)."
Femtech is a combination of 'female' and 'technology.' It refers to digital technologies aimed at improving women's health and wellness throughout their lives. With advances in AI, the sector is rapidly expanding. In 2022, the global Femtech market was valued at $29.3 billion (about 42 trillion KRW), and it is expected to grow at an annual rate of 17.4%, reaching $97.3 billion (about 139 trillion KRW) by 2030.
A key driver of this industry's growth is the potential of Femtech in infertility treatment. According to the Health Insurance Review & Assessment Service (HIRA), the number of patients undergoing infertility procedures has increased by 31% over the past five years, while related medical expenses have surged by 112%. In Korea, one in seven couples faces infertility, and one in three women who marry at age 35 experiences infertility.
If Femtech can increase pregnancy success rates by 10%, it could result in approximately 10,000 additional births annually. Considering that one cycle of in vitro fertilization costs about 7 million KRW per person, the estimated reduction in medical expenses could reach 70 billion KRW. Lee Jun-young explained, "Until now, infertility treatments have relied solely on the experience and knowledge of researchers who manually select and inject eggs and sperm. However, with AI robots now injecting sperm into eggs, the world's first AI-assisted test-tube baby has been born, and success stories are increasing. When predicting pregnancy potential in 90 embryos, embryologists alone had an accuracy rate of 38%, but with AI assistance, accuracy rose to 50%."
AI can automate and optimize the entire process of infertility diagnosis and treatment, tailored to individual characteristics. Lee Jun-young noted, "Global infertility AI companies in countries like Canada use AI to analyze microscopic images of eggs, scoring egg quality and predicting pregnancy success. In the United States, companies offer AI-based assessments of egg and embryo quality, as well as guidance on optimal medication timing and dosage."
However, in Korea, complex regulations such as the Medical Service Act and the Personal Information Protection Act hinder Femtech innovation. Restrictions on telemedicine, data usage, and insurance coverage also slow technological progress. Experts argue that regulatory reforms and increased corporate investment are essential. Lee Jun-young emphasized, "AI plays a pivotal role in improving public health and addressing low birth rates. With strong government support, Femtech development can accelerate and help resolve demographic challenges."
Kim Sung-won, a member of the People Power Party and co-chair of the K-Healthcare and Well-Dying Forum, who hosted the forum, stated, "Through legislation, we will work to simplify data utilization and medical device certification procedures, enabling the Femtech industry to grow without barriers and making it more accessible for the public."
Kim Sung-won also stressed the need to raise awareness of women's healthcare through Femtech.


kaya@fnnews.com Choi Hye-rim Reporter