Amazon Completes Acquisition of Primary Care Provider One Medical
On Feb. 22, Amazon closed its $3.9 billion deal to acquire One Medical, a network of boutique primary care clinics. This deal gives Amazon access to One Medical’s 815,000 members and 214 medical offices in 26 markets.
The One Medical buyout is a substantial step in the e-commerce giant’s plans to become a player in the healthcare industry. Amazon hopes to improve how people book appointments and enhance the experience of being seen by a physician. One Medical is a subscription-based health service that provides access to physicians with in-person visits and 24/7 virtual care. It offers customers direct care and partners with employers to deliver workplace benefits.
“Customers want and deserve better, and that’s what One Medical has been working and innovating on for more than a decade. Together, we believe we can make the health care experience easier, faster, more personal, and more convenient for everyone.”
- Andy Jassy, Amazon CEO
The closing comes after a deadline passed for the Federal Trade Commission (FTC) to challenge the Amazon deal. The FTC has reviewed the acquisition in-depth for several months. Some groups have been calling on the FTC to block the purchase, fearing it would endanger patient privacy and further entrench Amazon as a dominant force in the market. According to an agency official, the FTC sent a letter to the companies warning them that they were closing the deal at their own risk and that it still had specific concerns about the acquisition and could still decide to bring a case to unwind the merger.
Amazon’s latest acquisition deepens the retailer’s presence in health care, an area in which it has sought to expand by opening an online pharmacy, ramping up its telemedicine program, and, most recently, launching a subscription-based prescription drug service.
Even the healthiest adults need routine health care, as it can help identify and prevent problems before they develop. Healthcare accessibility has long been a barrier for Americans; however, this buyout may be another step to help make primary care more personal, accessible, and convenient.
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This article is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel for legal advice. © 2023 Zywave, Inc. All rights reserved.