SK Telecom looks to chase Japanese pet market with AI offering

Industry

Published: 03 Oct. 2023, 16:16

SK Telecom looks to chase Japanese pet market with AI offering

SK Telecom's chief development officer Ha Min-yong, left, and Anicom Holdings' founder and CEO Nobuaki Komori, pose for the photo after signing a partnership at SK Telecom's headquarters in Jung District, central Seoul, on Sept. 20. [SK TELECOM]

SK Telecom, a leading telecommunications carrier, has formed a partnership with Japanese pet insurance company Anicom Holdings to launch its AI-powered pet health care business overseas.

The signing ceremony was held in SK Telecom’s headquarters in Jung District, central Seoul, on Sept. 20, the company announced on Tuesday.

SK Telecom’s medical AI service for animals, dubbed “X Caliber,” is currently utilized by some 300 veterinary clinics in Seoul. The service analyzes dog X-rays and can detect seven musculoskeletal disorders and 10 cardiothoracic symptoms. The service will expand to cats by the end of this year.

SK Telecom and Anicom Holdings will collaborate to research and develop pet health care services utilizing the former’s AI technology and the latter’s data on animals. SK Telecom plans to distribute X Caliber to veterinary clinics in Japan through a partnership with electronic medical record (EMR) software company Anicom Pafe, a subsidiary under Anicom Holdings.

Anicom Holdings holds the largest market share within Japan’s pet insurance sector — 46 percent — and runs a variety of pet-related businesses.

“Japan’s animal health market surpassed three trillion won [$2.2 billion] in 2021, which is twice the size of Korea,” SK Telecom said in a statement. “The pet population and the number of animal medical centers is 16 million and 12,000 respectively, and Anicom Holdings has partnership with some 6,000 clinics in Japan. Anicom Holding’s business network and competitive edge in distribution will help SK Telecom expand X Caliber within the country.”

SK Telecom’s propulsion into medical AI for animals is part of its business strategy to focus on the AI sector and veering away from its mainstay telecommunications business.

AI pet health care was tapped to hold high market potential by SK Telecom CEO Ryu Young-sang last month, along with the company’s Korean large language model, A dot, and urban air mobility, at a press event to introduce SK Telecom’s future AI strategy last month.

BY LEE JAE-LIM [lee.jaelim@joongang.co.kr]