Amazon’s two largest purchases in history have been Whole Foods ($13.7 billion) and the recently completed purchase of MGM ($8.45 billion), but if the deal goes through, a $3.9 billion buyout of One Medical will be the third addition on that list. One Verge employee who is considering joining up for the firm’s $199 primary care provider subscription (in addition to insurance, just like any other doctor) referred to the company as “healthcare for millennials.”
One Medical’s presentation includes an app, 24/7 access to on-demand telehealth treatments by video, and guaranteed same- or next-day appointments available through more than 125 offices. It is backed by Alphabet’s GV unit (previously Google Ventures). Slick YouTube videos promise doctor’s offices that have been “reimagined” with more comfy furniture.
This latest acquisition provides Amazon with even another entry point into the healthcare business, which has been a recent focus for the company. “We believe health care is high on the list of experiences that require reinvention,” said Neil Lindsay, senior vice president of Amazon Health Services, in a statement. “We see lots of opportunity to both improve the quality of the experience and give people back valuable time in their days.” “Booking an appointment, waiting weeks or even months to be seen, taking time off work, driving to a clinic, finding a parking spot, waiting in the waiting room then the exam room for what is too often a rushed few minutes with a doctor, then making another trip to a pharmacy – we see lots of opportunity to both improve the quality of the experience and give people back valuable time in their days
Amazon has already established an infrastructure to compete with existing healthcare market behemoths, launching Amazon Pharmacy in 2020 and recently expanding its Amazon Care telehealth program nationally. With the acquisition of One Medical, they have access to the primary care market as well.
“There is an enormous possibility to make the health care experience more accessible, cheap, and even pleasant for patients, providers, and payers,” said One Medical CEO Amir Dan Rubin in the transaction announcement. We look forward to working together to innovate and improve access to high-quality healthcare services.”
