Slowly, Amazon continues to expand into new areas that go beyond electronic commerce. Recently, it was revealed that bought primary care provider One Medical for $3.49 billion.
In this way, the company aims to expand the presence of virtual care and add some physical services, such as doctor’s offices.
Cash deal heralds growth in Amazon’s healthcare sectoras it piloted virtual care visits for Amazon employees in Seattle in 2019 before offering such services to other employers and in other cities under the Amazon Care brand.
Separately, Amazon also bought online pharmacy Pill Pack in 2018 and partnered with Teladoc Health to help connect with doctors virtually through Alexa.
“We believe healthcare is high on the list of experiences that need to be reinvented”said Neil Lindsayvice president of Amazon Health Services.
The Amazon and One Medical deal makes sense because “the combination of virtual and in-person care is fundamental to the strategy of One Medical and Amazon Care”commented Daniel GrosslightCiti analyst.
Amazon agreed to pay $18 for each share of One Medical, representing a 76.8% premium over the health care company’s last closing.
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