AP

Amazon to shutter virtual health care service Amazon Care

Aug 24, 2022, 5:00 PM | Updated: Aug 25, 2022, 5:00 pm

NEW YORK (AP) — Amazon is shutting down the hybrid virtual, in-home care service it’s spent years developing, a surprising move that underscores the challenges it faces as it moves into health care.

The service, called Amazon Care, will end by Dec. 31, according to an email sent to staff by Neil Lindsay, senior vice president of Amazon Health Services.

Amazon Care was launched in 2019 for Seattle-based Amazon’s Washington state employees, who served as trial users before the company made it available last year to its workers in all 50 states.

The service connects patients virtually with doctors and nurses who can provide treatment 24 hours a day. It does not have physical locations, but offers in-person services for things like vaccinations and flu testing in several cities, including Seattle and Washington, D.C.

Amazon’s decision to pull the plug on Amazon Care is even more surprising given the company said in February it was planning to expand the in-person care service to include 20 additional cities. Last summer, Amazon also began offering the service to private employers nationwide.

In the email sent to staff, Lindsay wrote that Amazon listened to feedback from employers and worked to improve Amazon Care.

“However, despite these efforts, we’ve determined that Amazon Care isn’t the right long-term solution for our enterprise customers,” Lindsay wrote.

He added that Amazon Care “is not a complete enough offering for the large enterprise customers we have been targeting, and wasn’t going to work long-term.”

An Amazon spokesperson declined to say how many people will lose their jobs because of the shutdown of Amazon Care.

Amazon Care isn’t the company’s first failed health effort. The tech and retail giant was also part of a short-lived collaboration with JPMorgan and Berkshire Hathaway to improve health care costs. The three corporate giants formed an independent company called Haven to focus on improving care and manage expenses, but it dissolved last year.

Despite the setbacks, Amazon hasn’t relented on its focus on healthcare. Last month, it announced plans to spend $3.9 billion to buy the primary care organization One Medical, a membership-based service that offers virtual care as well as in-person visits. As of March, One Medical had about 767,000 members and 188 medical offices in 25 markets.

Neil Saunders, managing director at GlobalData Retail, said given that Amazon is now investing in other areas of health, it is taking a more aggressive stance on exiting things that are not delivering results.

“The closure underlines how hard making inroads into the health market is,” Saunders said. “It serves as a warning that even with acquisitions, Amazon’s bid to shake up the sector will be incredibly difficult and possibly expensive.”

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

AP

Republican presidential candidates, from left, former Arkansas Gov. Asa Hutchinson, former New Jers...

Associated Press

3rd Republican presidential debate is set for Nov. 8 in Miami, with the strictest qualifications yet

The third Republican presidential debate will be held in Miami on Nov. 8, a day after several states hold off-year elections.

3 days ago

During the equinox, the Earth’s axis and its orbit line up so that both hemispheres get an equal ...

Associated Press

The fall equinox is here. What does that mean?

The equinox arrives on Saturday, marking the start of the fall season for the Northern Hemisphere. But what does that actually mean?

3 days ago

Ray Epps Ray Epps, an Arizona man who became the center of a conspiracy theory about Jan. 6, 2021, ...

Associated Press

Ray Epps, an Arizona man who supported Trump, pleads guilty to Capital riot charge

Ray Epps, the target of a conspiracy theory about the Jan. 6, 2021, attack, pleaded guilty on Wednesday to a misdemeanor charge.

5 days ago

Former President Donald Trump repeatedly declined in an interview aired Sunday, Sept. 17, 2023, to ...

Associated Press

Trump refuses to say in a TV interview how he watched the Jan. 6 attack unfold at the US Capitol

Former President Donald Trump repeatedly declined in an interview aired Sunday to answer questions about whether he watched the Capitol riot.

8 days ago

This frame grab from video, provided by the Mexican government, shows Ovidio Guzman Lopez being det...

Associated Press

Mexico extradites son of ‘El Chapo,’ Ovidio Guzman Lopez to US

The son of notorious cartel leader Joaquin “El Chapo” Guzmán, Ovidio Guzman Lopez was extradited to the U.S. on Friday.

9 days ago

impeachments in US history...

Associated Press

A look at notable impeachments in US history, including Texas Attorney General Ken Paxton

Texas Attorney General Ken Paxton was acquitted Saturday on during his impeachment trial. Here's a roundup of impeachments in U.S. history.

9 days ago

Sponsored Articles

...

DAY & NIGHT AIR CONDITIONING, HEATING AND PLUMBING

Importance of AC maintenance after Arizona’s excruciating heat wave

An air conditioning unit in Phoenix is vital to living a comfortable life inside, away from triple-digit heat.

...

DAY & NIGHT AIR CONDITIONING, HEATING AND PLUMBING

Here are the biggest tips to keep your AC bill low this summer

PHOENIX — In Arizona during the summer, having a working air conditioning unit is not just a pleasure, but a necessity. No one wants to walk from their sweltering car just to continue to be hot in their home. As the triple digits hit around the Valley and are here to stay, your AC bill […]

...

SANDERSON FORD

Thank you to Al McCoy for 51 years as voice of the Phoenix Suns

Sanderson Ford wants to share its thanks to Al McCoy for the impact he made in the Valley for more than a half-decade.

Amazon to shutter virtual health care service Amazon Care