Amazon is closing its telehealth service, Amazon Care, ending an ambitious plan to roll out its homegrown platform to “millions” of patients around the country
A memo sent to Amazon Care staff on Wednesday by Neil Lindsay, head of Amazon Health Services, said Amazon Care
which promised a doctor, nurse, or other health practitioner on demand, 24 hours a day
was not the right “long-term solution” for the external companies to which it had hoped to sell the service.
“This decision wasn’t made lightly and only became clear after many months of careful consideration,” Lindsay wrote, according to the memo seen by the Financial Times.
“Although our enrolled members have loved many aspects of Amazon Care, it is not a complete enough offering for the large enterprise customers we have been targeting.”
Analysts said Amazon Care’s closure, which will come at the end of the year, should not be seen as a retreat on its efforts to gain a foothold in the $4 trillion US health care sector
“This is not a sign of failure by any means,” said Natalie Schibell at Forrester Research. “It’s a strategic move.”
Amazon’s decision comes after its recent agreement to acquire One Medical, a large network of primary care providers, for $3.9 billion—its largest deal in the health care space.