Japanese tech giant aims to tap huge local demand for medical equipment

Japanese tech giant Olympus Corp will ramp up efforts in China's medical field such as related research and development and high-end manufacturing, a company official said.

The company aims to tap the huge local demand for medical equipment, including endoscopes, microscopes, and solutions for minimally invasive surgeries.

"China is of great significance for the group, and we have great confidence in the growth potential of the Chinese market," said Yang Wenlei, chief executive officer of Olympus China.

"We will enhance our efforts in medical, imaging and scientific solution sectors in China this year," Yang said. "The medical sector will be our main focus and we will pour more resources into the segment."

Olympus mainly concentrates on sales promotion in China. "In the future, we hope to build a comprehensive regional headquarters in China, covering R&D, manufacturing, service and training," Yang added.

"We attach great importance to the medical sector in China. Compared with Europe, the United States, Japan and other developed countries, China has huge potential demand for medical equipment, along with a fast-aging population," Yang said.

Olympus said its endoscopy products are used in over 90 percent of Chinese hospitals with 3A grade, the highest of China's three-tier grading system for public hospitals, while its pathology microscopes account for about 30 percent of market share.

Moreover, endoscopy treatments and minimally invasive surgeries in China offer an important opportunity for the company, according to Yang.

Since 2009, Olympus has established medical training centers officially called C-TEC in Beijing, Shanghai and Guangzhou to train medical doctors to run medical equipment and improve their operating skills.

As for the traditional imaging sector, the shipments of digital cameras have witnessed a decline in recent years due to the popularity of smartphones. But Yang said that with the consumption upgrade in China, the local consumers have an increasing demand for professional imaging equipment such as single lens reflex or SLR cameras.

"We will continue to exert our own advantage in the imaging sector to develop and manufacture related products catering to the demands of consumers," Yang added.

Founded in 1919, Olympus has been praised as a leader in precision technology. It introduced its first camera in 1936, kicking off an era for the imaging industry. In 2009, the company was the first to propose the concept of an interchangeable lens digital camera, and launched a number of such cameras.

Liang Zhenpeng, a consumer electronics analyst, said it was an inevitable trend that the camera market was shrinking and traditional camera makers had to seek new growth points, expand product chains and move toward diversified portfolios.