Amazon, Berkshire Hathaway, and JPMorgan Chase recently announced they will form an independent health care company for their U.S. employees. The news that three of the nation’s most influential corporations are partnering on a venture “that is free from profit-making incentives and constraints” sent the stocks of many health care providers plunging.
While the headline grabbing announcement was thin on details, it touched off a wave of speculation about what the new entity will look like. According to a joint press release, “the initial focus of the new company will be on technology solutions that will provide U.S. employees and their families with simplified, high-quality and transparent healthcare at a reasonable cost.”
Jeff Bezos, Amazon’s founder and CEO, said the group is not naïve to the challenges that lie ahead, “the healthcare system is complex, and we enter into this challenge open-eyed about the degree of difficulty. Hard as it might be, reducing healthcare’s burden on the economy while improving outcomes for employees and their families would be worth the effort.”
What do you think? Will the Amazon-Berkshire-Chase partnership reshape the healthcare industry?
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