Amazon has just announced the abandonment of its online health service, Amazon Care, from December 31, 2022. This decision reflects the difficulties encountered by big tech to interfere in the e-health sector, that they covet so much.
Efforts that were in vain
Amazon Care virtually connects patients with doctors and nurses who can provide treatment around the clock. The service has no physical locations, but offers in-person services for care like vaccinations and HIV testing. influenza. Launched in 2019 for Seattle-based Amazon employees in Washington state, who served as test users, it has since expanded to the e-commerce giant’s employees in all 50 US states. , as well as other companies like Hilton, Silicon Labs, TrueBlue and Whole Foods.
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At first glance, Amazon’s decision is surprising. Last February, the company wanted to expand its service to 20 more cities, but it seems that its efforts weren’t enough to keep Amazon Care afloat. ” We have collected and listened to extensive feedback from our corporate customers and their employees, and have evolved the service to continually improve the customer experience. However, despite these efforts, we determined that Amazon Care was not the right long-term solution for our business customers. said Neil Lindsay, vice president of Amazon Health Services, in a note to employees.
” This decision was not taken lightly and only became apparent after many months of consideration. Although our registered members appreciated many aspects of Amazon Care, the offer is not comprehensive enough for the large companies we are targeting and could not work long term. “, he continues.
Not the first failure for Amazon
This isn’t the first time the e-commerce giant has failed in an attempt to dabble in healthcare. For example, he participated in a collaboration with JPMorgan and Berkshire Hathaway to improve healthcare costs across the Atlantic. The three companies thus created an independent company called Haven, but it was finally dissolved last year.
As explained by Wall Street Journal, penetrating the world of health, even for a company as powerful as Amazon, is a real challenge as the path is strewn with pitfalls. This sector is indeed governed, rightly, by state and federal regulations, as well as by many companies and service providers with established relationships, particularly in the United States where almost the entire sector is private with giants like CVS or United Health Group.
Amazon continues to invest heavily and does not throw in the towel
However, the end of Amazon Care is not synonymous with the abandonment of e-health. Amazon CEO Andy Jassy is very vocal about it. As a reminder, the company acquired an industry behemoth last month for $3.9 billion. One Medical offers an annual subscription allowing its users to benefit from an application with access to on-demand telehealth services by video, and appointments guaranteed the same day or the next day in more than 125 medical practices. . Additionally, Amazon is now reportedly considering acquiring Signify Health, a company that makes technology for home healthcare.
The firm also acquired prescription delivery company PillPack in 2018 and now has its own pharmacy. The e-commerce giant, like other big techs, knows that health is a particularly lucrative field and tries by all means to access it. It remains to be seen whether its heavy recent investments will enable it to achieve its objective…