FAQ: Why Amazon is getting Just one Health care for $3.9 billion


Amazon will significantly extend its overall health-care get to with its prepared $3.9 billion acquisition of 1 Health care, a major treatment service provider with 188 workplaces in 25 marketplaces nationwide.

The e-commerce large went huge: It presented $18 a share for 1 Medical’s dad or mum enterprise, 1Lifestyle Healthcare — 77 % higher than the earlier day’s closing rate. Sparks flew on Wall Road just after Thursday’s announcement, powering the inventory up practically 70 percent.

And even though it has grown swiftly, One Clinical has yet to change a gain due to the fact likely community in 2020. In the very first three months of 2022, losses topped $90 million.

So, why is Amazon shopping for Just one Health care? Here’s a short information:

What does One Health care do?

A person Medical is a membership-based mostly principal treatment supplier that leans into technological innovation to construct what it phone calls “a seamless blend of in-human being, electronic, and digital treatment companies that are easy to wherever individuals get the job done, store, and reside.” Headquartered in San Francisco, it operates in major metro locations like Atlanta, Boston, Chicago, Los Angeles, New York and the District.

Amazon will see you now: Tech large purchases wellness-care chain for $3.9 billion

How does One particular Medical get the job done?

At its main is an app and web site that associates can use to ebook appointments, observe wellness information and renew prescriptions. Sufferers who signal up on their individual are billed an once-a-year rate of $199 for a suite of services that include things like on-demand from customers video health consultations available at all hrs and other advantages.

Observers drew instant comparisons in between Primary, Amazon’s retail membership method, with the kind of all-encompassing overall health-treatment system offered by 1 Professional medical.

Amazon spokeswoman Angie Quennell declined to remark on irrespective of whether Just one Medical’s expert services will be built-in with any of Amazon’s other solutions, this sort of as Key, Pharmacy or Care.

(Amazon founder Jeff Bezos owns The Washington Submit.)

Why is Amazon investing so a great deal?

In a news launch announcing the acquisition, Amazon senior vice president Neil Lindsay stated health care is “high on the list of experiences that need to have reinvention.” The Seattle-dependent tech giant thinks it can increase and increase overall health care by a “human-centered and

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