Amazon reportedly restructuring health care offering
Amazon is reportedly making major operational changes to its health care business as it looks to simplify its structure.
CNBC reports that the online giant will divide Amazon Health Services into six separate “pillars” or units as part of an effort to simplify how it runs health care operations.
Amazon told CNBC the six pillars will consist of:
•One Medical Clinical Care Delivery, led by Dr. Andrew Diamond;
•One Medical Clinical Operations and Performance, led by Suzanne Hansen;
•AHS Strategic Growth and Network Development, led by John Singerling;
•AHS Store, Tech and Marketing, led by Prakash Bulusu;
•AHS Compliance, led by Kim Otte; and
•AHS Amazon Pharmacy, led by John Love.
Some executive shuffling has been going on as part of this transition. Dr. Vin Gupta, chief medical officer of Amazon Pharmacy, Trent Green, CEO of One Medical — a primary health care provider with brick-and-mortar offices Amazon purchased in 2022, and Dr. Sunita Mishra, Amazon chief medical officer, all recently left the company. Amazon VP of health care announced in an internal memo seen by CNBC that he will be leaving in the coming months.
"Our leadership team has been focused on simplifying our structure to move faster and continue to innovate effectively," Amazon Health Services VP Neil Lindsay told CNBC in an interview. "One of the problems we’re trying to solve is the fragmented experience for patients and customers that’s common in healthcare."
Amazon has been trying to make inroads into the health care market for the past several years, starting with its acquisition of PillPack in 2018 and the launch of its own online pharmacy in 2020. In 2022, it reversed course on its Amazon Care virtual health care program for employees, shutting down the program.
In addition, the company ]made Amazon Clinic available to customers in all 50 states and Washington, D.C. before changing it to Amazon One Medical with pay-per-visit and annual subscription options in November 2024.
Launched in November 2022 and previously only available in 32 states, the solution provides virtual care from licensed clinicians for more than 30 common health concerns.
And in November 2023, Amazon began offering Prime members unlimited access to 24/7 on-demand virtual care from One Medical, the membership-based primary health care provider it acquired for $3.9 billion in February 2023.
Read more CNBC coverage here.