Watch: Nanox performed a live showcasing of its digital X-ray machine

[Pictured above: The first X-ray scan in the world (right), next to the palm of Nanox’s CEO, Poliakine]

The imaging start-up Nanox showcased for the first time the digital X-ray machine it has developed, conducting a live demonstration of its capabilities and function. The demonstration, held at the company’s headquarters in Neve Ilan, took place at the annual conference of the Radiological Society of North America (RSNA), one of the most important professional conferences in the world of radiology, held this year in an online format. During the demonstration, two-dimensional and three-dimensional X-ray scans of a hand, a phantom of a chest X-ray, and a broken bone of a lamb were performed using the device, which were then analyzed by two qualified radiologists.

The research firm Citron recently cast doubts about the company’s claim to revolutionize the world of medical imaging, as part of a scathing report it published titled “Nanox – A Complete Farce on the Market.” Nanox defined the demonstration successful and believes that it has succeeded in dismiss all doubts regarding the company’s technology. Nanox’s demonstration has also aroused great interest in the stock markets. Throughout the month of november, Nanox’s share has almost doubled and traded at a market cap of $2.6 billion ahead of its RSNA presentation.

The demonstration was moderated by the company’s founder and CEO, Ran Poliakine. At the opening of the demo Poliakine presented the digital X-ray source the company has developed as a replacement for the heated filament currently being used in X-ray machines. It is a MEMS chip that includes hundreds of millions of electron guns, each of which emits a single electron at every pulse, and whose operation can be controlled digitally.

Poliakine: “We’ve been working for a decade to perfect what Wilhelm Röntgen invented more than a hundred years ago. He invented a mechanism to produce a current of electrons that generate X-rays by heating a filament to a temperature of more than 1,000°C. We focused on creating a digital alternative which provides a new source of X-rays and operates at room temperature.”

Nanox’s ‘cold’ system constitutes a paradigm shift compared to “hot” imaging systems. The company estimates that the new technology will make it possible to produce more portable and compact CT systems for $10,000 per system, instead of at a price of about $3 million, which is currently the average price of CT scanners. “Our X-ray source can be mass-produced, at a very low cost, and shipped all over the world.”

Reaching closure with William Röntgen’s wife

The first scan during the demonstration was of Poliakine’s palm. It was a symbolic choice, since the first scan performed by William Röntgen, which ultimately became iconic, was of the palm of his wife, Anna. In the two scans, by Anna Röntgen and by Ran Poliakine, the wedding ring can be seen clearly. Following that they performed phantom scans of a thorax and of a broken bone of a sheep. The two radiologists who participated in the demonstration were Dr. Noga Shabshin of Sheba Hospital, and a member of the company’s advisory committee, Dr. Michael Hughes of Florida. The two examined the quality of the scan compared to scans made using traditional X-ray machines and conducted a discussion of the findings.

The company markets the system through collaborations with governments, hospitals and healthcare chains. The company has signed distribution agreements in 13 countries in the past year. It intends to offer the use of systems in a Pay-per-Scan model, thereby reducing the costs of equipping scanners.

SK Telecom CEO joins Nanox’s board

Park Jung-Ho, the CEO of SK Telecom, one of South Korea largest telecom operator and part of the SK Group, is joining the board of directors of the Israeli Nanox, according to Nanox Q3 earnings update for investors. Nanox, which has developed technology for the production of digital X-ray and CT devices that dramatically reduces their cost, was listed on the NASDAQ in late August, and is already trading at a market value of $ 1.7 billion.

SK Telecom is one of the main investors in Nanox. Last July, SK increased its holdings in Nanox with an additional investment of $ 20 million, adding to its initial $ 5 million investment made in 2018. The two companies have also established a joint venture in South Korea and signed a partnership aimed to deploy some 2,500 Nanox X-ray machines in Vietnam and South Korea, subject to obtaining regulatory clearance.

Commenting on the deal, Park Jung-ho said: “We passionately seek to revolutionize healthcare by leveraging innovative technologies. We see Nanox as one of the most promising companies to make a real difference for early detection of disease and higher standard of care to the humankind. We feel the Company is making significant progress towards its vision and want to help make it a reality.”

Nanox has developed a Digital Computed Tomography technology based on the production of X-rays using a MEMS instead of an incandescent lamp. The company’s estimates its technology allows for the production of CT systems at a cost of $10,000 each, instead of approximately $3 million – the current average price of CT scanners. CT scanners perform multiple X-rays from different angles. A computer program is used to fuse all these images into a single three-dimensional file that allows the exploration of the body and its organs.

The company markets the system through collaborations with governments, hospitals and healthcare chains. The company has signed distribution agreements in 13 countries in the past year. It intends to offer the use of systems in a Pay-per-Scan model, thereby reducing the costs of equipping scanners.

Nanox to showcase its Digital X-ray Technology

Nano-x will present its digital X-ray platform to the medical community for the first time at the annual conference of the North American Association of Radiologists (RSNA), which will be held in Chicago from November 29 to December 5. RSNA is one of the most important conferences in the world of radiology. The company announced that during the conference it will exhibit its technology and perform a live demonstration of two-dimensional and three-dimensional scans, and also allow time for professional Q&A with the audience.

The exhibition, which will be broadcast live on the Internet, will be hosted by the company’s founder and CEO, Ran Polyakin. The company’s share jumped more than 50% last week on the heels of the announcement, which garnered wide anticipation in the medical community and capital market as Nanox claims its technology could distrupt the imaging systems market.

Nanox has developed a Digital Computed Tomography technology based on the production of X-rays using a MEMS instead of an incandescent lamp. The company’s estimates its technology allows for the production of CT systems at a cost of $10,000 each, instead of approximately $3 million – the current average price of CT scanners. CT scanners perform multiple X-rays from different angles. A computer program is used to fuse all these images into a single three-dimensional file that allows the exploration of the body and its organs.

The company markets the system through collaborations with governments, hospitals and healthcare chains. The company has signed distribution agreements in 13 countries in the past year. It intends to offer the use of systems in a Pay-per-Scan model, thereby reducing the costs of equipping scanners. Nanox was listed on the NASDAQ in late August and sparked much attention in the stock market.

Disagreements among analysts

The conference will also be an opportunity for Nanox to refute the serious allegations made against it by research firm Citron in a report released last month, entitled “Nanox – a complete farce on the market.” The Citron report raises a number of allegations. First, the authors of the report claim that to date the company has not presented any examples of real scans performed using its X-ray machine, with comparison to existing X-ray machines.

Nanox also reported that since its inception it has invested about $ 7.5 million in R&D, and Citron claims it is a miniscule amount in relation to the huge budgets spent by the imaging systems manufacturers such as GE and Siemens, especially in light of the pretense to revolutionizing the field. For example, in 2019, GE invested about $ 1 billion in R&D in its imaging segment. Citron also draws attention to the fact that Nanox has submitted an application to the FDA using the 510k form, an expedited approval procedure that does not involve conducting clinical trials but is based on a statement that the device “substantially resembles” an existing device already approved by the FDA.

On the other hand, the investment firm Oppenheimer Israel, which began surveying the company last month, actually expressed optimism about the company’s future. Oppenheimer noted that Nanox’s “cold” X-ray systems could lead to a reduction in scan costs to $ 40 per scan, compared to $ 300 per scan in traditional systems, allowing Nanox to distribute machines to smaller clinics, thus increasing access for diagnostic services. Oppenheimer estimates that Nanox revenue in 2022 will total $ 115 million and in 2023 will increase to $ 171 million.

However, Oppenheimer Israel held a neutral recommendation for the time being, since the company still has to prove its execution capabilities, i.e its ability to produce the system on a large scale and deliver the orders to customers. “Although this opportunity is exciting, it has not yet been validated in real world settings. The company must demonstrate consistent production” it said. In the Oppenheimer report.

Nanox raised $165 million in Nasdaq IPO

Nanox, the developer Digital CT devices and cloud-based diagnostic services from Jerusalem, has raised $165 million at NASDAQ IPO. Nanox issued 9.1 milion shares at a price of $18 per share. At its debut trading day, last Friday, its stock (Tickr: NNOX) jumped 20%. Nanox has developed a Digital Computed Tomography technology based on the production of X-rays using a MEMS instead of an incandescent lamp.

The company’s estimates its technology allows for the production of CT systems at a cost of $10,000 each, instead of approximately $3 million – the current average price of CT scanners. CT scanners perform multiple X-rays from different angles. A computer program is used to fuse all these images into a single three-dimensional file that allows the exploration of the body and its organs.

Pay per Scan

The development was carried out by a team of Israeli engineers and a team of Japanese engineers. The company is headed by the founder Ran Polyakin, former founder and CEO of the wireless charging Powermat. In additional to the lower price and size, Digital CT devices provide higher quality images, and having fewer errors resulting from relative movement between the scanner and the subject.

Also, they enable multi-spectral imaging, and real-time connectivity between the imaging system and the therapeutic devices, thus allows treatment to be performed under CT examination. The first commercial system, Nanox.ARC, comes with a cloud platform consists of AI-based assistive diagnostic tools and friendly user interface for the doctor.

The company markets the systems through collaborations with governments and health service organizations, and has signed distribution agreements in 13 countries. Nanox plans to offer the use of its systems in the format of a service: payment is determined according to the number of scans (Pay-per-Scan), thereby reducing the costs of acquisition.

Nanox has completed a $110 Million Funding Round

Above: Nanox founder and CEO, Ran Polyakin

Nanox, the developer Digital CT devices and cloud-based diagnostic services from Jerusalem, announced  the completion of a $110 million funding round. Among the prominent investors who participated in the round were Foxconn, Fujifilm and SK Telecom. The company has raised $137 million to date. Nanox developed digitalComputed Tomography technology based on the production of X-rays using a MEMS instead of an incandescent lamp.

According to the company’s estimates, the new technology will make it possible to produce CT systems at a cost of $10,000 per system, instead of approximately $3 million – the current average price of CT scanners. CT scanners perform multiple X-rays from different angles. Following the photography, a computer program is used to fuse all the images into a single three-dimensional file that allows the exploration of the body and its organs.

Business model of Pay-per-Scan

The development was carried out by a team of Israeli engineers and a team of Japanese engineers. The company is headed by the founder Ran Polyakin, former founder and CEO of the wireless charging Powermat. Aside from the lower price and size of the systems, digital CT devices provide higher quality images, and having fewer errors resulting from relative movement between the scanner and the subject.

Also, they enable multi-spectral imaging, and real-time connectivity between the imaging system and the therapeutic devices, thus allows treatment to be performed under CT examination. The first commercial, Nanox.ARC, comes with a cloud platform consists of AI-based assistive diagnostic tools and friendly user interface for the doctor.

The company markets the systems through collaborations with governments and health service organizations, and has signed distribution agreements in 13 countries. Nanox plans to offer the use of its systems in the format of a service: payment is determined according to the number of scans (Pay-per-Scan), thereby reducing the costs of acquisition.

Nanox Won 5,000 Units Orders for Digital X-ray CTs

Photo above: Ran Poliakine, Founder and CEO of Nano-X Imaging

Nano-X Imaging from Neve-Ilan, near Jerusalem, has signed an agreement to provide approximately 1,000 digital X-ray CT systems for medical imaging services across Australia, New Zealand and Norway. The company announced an exclusive distribution deal with The Gateway Group. Subject to receiving local regulatory approvals, the parties will collaborate on the deployment and operation of the Nanox.ARC and the Nanox.CLOUD.

The agreement guarantee a minimum service fee of $58 million per year for three years to Nanox. “We want medical imaging to be available in rural areas as well as major cities alike, and we look forward to working with the team at Gateway to help us realize this social agenda,” said Nanox, founder and CEO Ran Poliakine. This follows an agreement from February 2020 with Siemens Healthineers-backed USARAD. The companies will collaborate on the deployment of 3,000 Systems in the U.S., under Nanox’s MSaaS (Medical Screening as a Service) pay-per-scan business model.

Nanox System is comprised of the Nanox.ARC, a medical imaging system incorporating a novel digital X-ray source, as well as the Nanox.CLOUD, a companion cloud-based software that will be designed to provide an end-to-end medical imaging service expected to include image repository, radiologist matching, online and offline diagnostics review and annotation, connectivity to diagnostic assistive artificial intelligence systems, billing and reporting.

Nanox.ARC digital X-Ray imaging system
Nanox.ARC digital X-Ray imaging system

Nanox has built a novel “Electron Gun” based on a field emission array of a 100 million molybdenum Nano-cones (instead of the one metal filament used in legacy sources) enabling a controlled and steady generation of electrons using low voltage to achieve the same effect as the legacy X-ray source. The company estimates that its technology can significantly reduce the costs of medical imaging systems down to $10,000 per scanner.

According to a 2012 report from the Pan-American Health Organization and the World Health Organization, approximately two-thirds of the world population did not have access to medical imaging that year, while many people with access to medical imaging face substantial wait times for scanning. The availability of a lower cost device has the potential to substantially expand medical imaging availability and services across the globe.

In January 2020 Nanox has completed a funding round of $26M with participation of strategic investor Foxconn, bringing the total funds raised for the Nanox System project to $55M thus far. Foxconn joined Fujifilm, SK Telecom, and other private investors, who have previously invested in the company.