News: Amazon called it quits from her telehealth business, Care for Amazon. The tech giant will no longer offer the service after Dec. 31 because it’s not “a comprehensive enough offering for the large enterprise customers it was targeting,” according to an internal memo.
The writing was on the wall: Since launching its B2B health business in 2019, Amazon has struggled to gain traction among employer customers.
As of 2021, it captured only a handful of partners, including Silicon Labs, True blue, HiltonAND Whole Foods Market (which Amazon already owns).
- However, that didn’t stop Amazon Care from making its service available in more cities.
- Last year, it announced it was expanding its virtual and in-person care services for employers to 20 new cities this year, including Chicago AND New York.
- But at that time, we decided that it was too early to call Amazon Care a virtual care disruptor especially since its client list had not expanded as widely as other employer-focused telehealth vendors.
Amazon redirects its focus to One Medical: Amazon’s latest A Medicine acquisition gives the tech giant far more B2B customers than it could ever score on its own.
One Medical’s services reach approx 8,000 employers in 25 US markets. Plus, One Medical already offers its own virtual care services in addition to in-person clinics. This means that running Amazon Care and One Medical would become redundant for Amazon.
Our opinion: We think Amazon has its sights set on carving deeper into the healthcare and home diagnostics space.
The acquisition of Amazon One Medical is just the beginning in Amazon’s healthcare playbook. In fact, last week, Bloomberg reported that Amazon too United Health Group submitted bids to assemble the value-based care and home health company Mark health.
- Signify Health is already an established provider of home health services, including home health assessments. This could fit well with Amazon’s other home health offerings, like that one Alexa together subscription for seniors.
- Plus, adding Signify Health to its roster could help Amazon significantly grow its physician network. Signify Health’s network now includes 200+ health systems, 100 federally qualified health centers (FQHCs), and 10,000+ primary care practices thanks to her last The health of the caravan PURCHASE.