At present, PCR instruments and gene chip instruments in the middle reaches of molecular diagnostics have been partially localized. Domestic manufacturers include Xi'an Tianlong Technology, Seleqi, and Baiao Technology. The gene sequencing instrument is a high-tech equipment with extremely high technical barriers. It involves many fields such as the integration of electro-optics, molecular biology, fine chemistry, nanoscience and so on. The performance of the product is regarded as a hero, and the technology is upgraded rapidly (throughput, speed, Accuracy continues to improve, costs continue to drop), is currently monopolized by international giants, domestic companies including Huada Gene, Huayinkang, Hanhai Gene and many other companies are testing the waters. Given the domestic basic industry and scientific research and innovation level, it may be too early to directly challenge sequencing instruments in the short term. However, the high cost of purchasing reagents and sequencing instruments brought about by foreign monopoly has exerted heavy pressure on domestic downstream companies. Therefore, some Leading companies began to cooperate with international sequencing industry companies to produce (similar to OEM) sequencers. Typical representatives include BGI, Boao Bio, Darui Bio (based on the IonProton platform) and Illumina cooperating with ThermoFisher. Rui Gene, Annoyoda.

Compared with upstream and midstream businesses, we believe that genetic testing services will continue to be dominated by domestic companies for a long time. Domestic companies not only have huge advantages in channels, services, and hospital resources, but also because genetic testing services have a large amount of genetic data, which is a sensitive area. It is also difficult for companies to get involved, which is one of the reasons why domestic companies have achieved rapid development in the field of genetic testing services.