Frost & Sullivan and Shenzhen Lachesis Mhealth Jointly Release the " Physical AI x Intelligent Agent: Reshaping the Value Chain of the Medical Industry and H2H New Ecology Report "

Frost & Sullivan and Shenzhen Lachesis Mhealth jointly release the “Physical AI x Intelligent Agent: Reshaping the Value Chain of the Medical Industry and H2H New Ecology Report”Frost & Sullivan and Shenzhen Lachesis Mhealth jointly release the ‘Physical AI x Intelligent Agent: Reshaping the Value Chain of the Medical Industry and H2H New Ecology Report’

Frost & Sullivan and Shenzhen Lachesis Mhealth jointly release the “Physical AI x Intelligent Agent: Reshaping the Value Chain of the Medical Industry and H2H New Ecology Report”

Global healthcare systems are facing three structural challenges: cost control, resource misallocation, and quality variability. Traditional information technology and point-based AI have reached their capabilities. An aging population and DRG payment reforms are pushing hospitals to shift from scale expansion to refined operations, necessitating systematic technologies that can perceive, act, and close the loop.

Lachesis Mhealth proposes a full-stack “Physical AI x Intelligent Agent” architecture, which integrates three types of terminals—ward, pharmacy, and operating room—with vertical fine-tuned large models to create a five-layer closed loop: Perception–Memory–Decision–Act–Feedback. This system reduces physician workload, automates nursing tasks, ensures medication safety, and optimizes operating room scheduling within hospitals, delivering measurable operational benefits.

Driven by DRG payment reforms, the H2H (Hospital to Home) model smoothly transfers patient trust to home settings, covering the entire post-discharge process through chronic disease management, telerehabilitation, and long-term care services. The business model evolves from device sales to AaaS, VaaS, and RWE data services. The H2H market is expected to exceed RMB 170 billion by 2035, with Physical AI and Intelligent Agents becoming key drivers in reshaping the healthcare value chain.

Global healthcare systems face triple structural contradictions—cost pressure, resource misallocation, and quality variability—while traditional IT and point-solution AI have reached their capabilities. Aging populations and DRG payment reforms are forcing hospitals to shift from scale expansion to refined operations, urgently requiring systematic technologies that can perceive, act, and close the loop.

Lachesis Mhealth proposes a full-stack “Physical AI x Intelligent Agent” architecture, deeply coupling three types of terminals (ward, pharmacy, OR) with vertical fine-tuned large models to build a five-layer closed loop: Perception–Memory–Decision–Act–Feedback. This system delivers quantifiable operational value within hospitals, including physician workload reduction, automated nursing, medication safety, and OR scheduling optimization.

Driven by DRG reform, the H2H (Hospital to Home) model smoothly transfers inpatient trust to home settings, covering the full post-discharge continuum through chronic disease, telerehabilitation, and long-term care services. The business model evolves from device sales to AaaS, VaaS, and RWE data services. The H2H market is expected to exceed RMB 170 billion by 2035, with Physical AI and Intelligent Agents becoming core engines reshaping the healthcare value chain.

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If you have further research needs on the Chinese medical service ecosystem market, please contact us:

Mr. Gabriel Lu, Frost & Sullivan

E-mail: gabriel.lu@frostchina.com