Amazon, Berkshire And JPMorgan To Form Healthcare Company "Free From Profit-Making Incentives"

In a move that might explain why Amazon has been quietly acquiring pharmacy licenses (not to mention hitting daily all time highs) the e-commerce giant - along with Warren Buffett's Berkshire Hathaway and JP Morgan Chase & Co. - announced on Tuesday morning that they would partner to form a new health-care venture.

 

As stated in the press release, "Amazon, Berkshire Hathaway and JPMorgan Chase & Co. announced today that they are partnering on ways to address healthcare for their U.S. employees, with the aim of improving employee satisfaction and reducing costs. The three companies, which bring their scale and complementary expertise to this long-term effort, will pursue this objective through an independent company that is free from profit-making incentives and constraints. 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."

And here, for once, we fully agree with Warren Buffett:

“The ballooning costs of health care act as a hungry tapeworm on the American economy,” Buffett said in the statement on Tuesday. “Our group does not come to this problem with answers. But we also do not accept it as inevitable. Rather, we share the belief that putting our collective resources behind the country’s best talent can, in time, check the rise in health costs while concurrently enhancing patient satisfaction and outcomes.”

In their release, the trio said they are working toward building an independent company focused on technology solutions “that will provide [their] US employees and their families with simplified, high-quality and transparent healthcare at a reasonable cost.” They will pursue this end through an independent company that would be free from profit making and other constraints.

They cited the "ballooning costs of health care" as the inspiration for their decision.

Here's more from the press release:

Tackling the enormous challenges of healthcare and harnessing its full benefits are among the greatest issues facing society today. By bringing together three of the world’s leading organizations into this new and innovative construct, the group hopes to draw on its combined capabilities and resources to take a fresh approach to these critical matters.

“The ballooning costs of healthcare act as a hungry tapeworm on the American economy. Our group does not come to this problem with answers. But we also do not accept it as inevitable. Rather, we share the belief that putting our collective resources behind the country’s best talent can, in time, check the rise in health costs while concurrently enhancing patient satisfaction and outcomes,” said Berkshire Hathaway Chairman and CEO, Warren Buffett.

The healthcare system is complex, and we enter into this challenge open-eyed about the degree of difficulty,” said Jeff Bezos, Amazon founder and CEO. “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. Success is going to require talented experts, a beginner’s mind, and a long-term orientation.”

“Our people want transparency, knowledge and control when it comes to managing their healthcare,” said Jamie Dimon, Chairman and CEO of JPMorgan Chase. “The three of our companies have extraordinary resources, and our goal is to create solutions that benefit our U.S. employees, their families and, potentially, all Americans,” he added.

The longer-term management team, headquarters location and key operational details will be communicated in due course, the companies said. According to the release, the project is still in its early planning stages, with the initial formation of the company jointly spearheaded by Todd Combs, an investment officer of Berkshire Hathaway; Marvelle Sullivan Berchtold, a Managing Director of JPMorgan Chase; and Beth Galetti, a Senior Vice President at Amazon.

UnitedHealth, Anthem and their managed-care peers ticked lower in premarket trading on the news, as did a handful of pharmacy names, including CVS (-3.1%) and Walgreens Boots Alliance (-2%).

While the plan is still in its early stages, analysts said the effort will be "complex, challenging and thorny and that will take time to bear fruit," Leerink analyst Ana Gupte writes in note. Furthermore, Gupte added that it is unclear if this means Amazon will accelerate its entry into the pharmacy supply chain.

Health-care spending was estimated to account for about 18% of the US economy last year, far more than in other developed nations.

Comments

fx American Psycho Tue, 01/30/2018 - 09:06 Permalink

You got it all backwards. While Amzn and TSLA have made little profits or huge losses, Bezos and Musk as shareholders have been rewarded with billions upon billions. The non-profit applies to their companies. not themselves.

So bezos and Dimon doing "god#s work" now? LOOL.

I actually believe that uncle warren is genuine about it. the other two crooks? Surely not!

In reply to by American Psycho

Delving Eye Pinto Currency Tue, 01/30/2018 - 10:43 Permalink

People's health would instantly improve if people were making a decent living, and retirees were getting a decent return on their savings. Economic prosperity yields far fewer sick people.

As for the efforts of these 3 biggies to offer "techno-healthcare" to the masses, it may seem gracious of them, but it's also a mere Bandaid on the essential wound -- income inequality, a state of being that is approaching the conditions of feudal times.

In reply to by Pinto Currency

Dilluminati Cognitive Dissonance Tue, 01/30/2018 - 08:58 Permalink

I think the answer is along these lines.

http://www.medicalcostshare.com/comparison-of-major-healthcare-sharing-…

I'm thinking of switching over and insuring with people who don't do fucking dope and drink their fucking livers out.  I have empathy for fools who are Opioid addicts, but I know that no matter what the drug that a certain percent of the populace will sniff glue.  You can't subsidize those determined to self-destruct.

I say it and it is a statement intended to incite: But some people love the sweet taste of shit.  

As coarse a comment that that is, it is nonetheless true.  But the Christian health plans that exclude coverage for dope heads and other stupid treatments is where I'm seriously considering going and effectively self-insuring.  Run a real high deductible.  

I'm surprised planet fitness hasn't created a plan, or the retired US military... who are in better health than most as a generalization.. but insuring with people who don't do drugs and alcohol will save you allot.

Yep some people love the sweet taste of shit, if they weren't vomiting from a hangover, week after week, like a dog returning to its vomit.. they would sniff glue..  better yet.. steal glue and sniff it.

 

In reply to by Cognitive Dissonance

pocomotion Dilluminati Tue, 01/30/2018 - 09:22 Permalink

under communism and fascism the populous will consume much more illegal drugs and alcohol than a free society, like Russia. 

Expect healthcare to CRUMBLE no matter what patches they apply.  Pointing fingers at the people doing these things is not getting to the problem or offering any solutions.  My guess is, you are in your 30s, employed and like your new house and family, but, you live far far from the section 8 areas.  Like you, I was an intellectual punk myself once, in my younger years...

In reply to by Dilluminati

Dilluminati pocomotion Tue, 01/30/2018 - 09:48 Permalink

I discussed that this morning: 

http://www.baltimoresun.com/news/maryland/crime/bs-md-ci-gttf-opening-s…

and this

http://www.newsweek.com/pennsylvania-opioid-crisis-guns-rights-groups-7…

And I had to spell out that that wasn't virtue signaling but that if a Baltimore cop offered to sell me drugs I'm not buying.

It is eligible under Obama Care

http://www.chministries.org/

But if you submit a claim for something "lifestyle" your not covered, submit a claim for treatment at a drug facility.. not covered.

But I'm not a customer of the dope pushers.. just saying, dollars and cents.

And it is not moralizing to observe that even if helplessness is the cause, or lost hope, fixed corrupt system... I'm still not a fucking customer of dope!  And finally if I can legally avoid subsidizing the costs of dopes doing dope.. I'm looking out for me as the consumer "not fucking judging."

Now to the intellectual punk.. I'll not bail out a fucking boat that isn't mine and certainly bail out another boat that that captain is actively sinking!   Fuck that.. fuck you.

I want you to educate yourself to what gun laws and dope laws are about and why you shouldn't fucking do dope.  

We went from just say no to well. that depends.. and now you have cops snatching guns and selling dope!

And for people not into that.. well that doesn't fucking cut it and that isn't my problem, a problem I don't fucking want or need.

In reply to by pocomotion

pocomotion Dilluminati Tue, 01/30/2018 - 10:38 Permalink

The link I looked at was for medi-share comparisons...  Look down at "shares in alternate and natural treatments"  Nope...  So it's all part of the Rockefeller AMA BS.  Did you know that marijuana Heals the liver?  Did you know that Balion Vodka with NTX does not damage the liver?  Did you know that natural cures abound, but your new provider won't tough it?  Here, you want to knockout a bad bacterial infection like the flu?

Using a juicer

2 cloves of garlic

1/2 small onion

1 piece of turmeric ( 1 inch or 1/4 tsp ground )

1 piece of ginger ( 1/2 inch or 1/4 tsp ground)

1 lemon

1/2 small jalapeno or cayenne pepper

1 oz of apple cider vinegar

1 dash of ground black pepper

Optional:  1 piece of horseradish ( 1/2 inch)

Optional:   1 tsp of raw honey

Grind it all up ( Must peel garlic and lemon)

chase with water

 

No doctor visit required....

I grew up in PG county, MD.  I've earned my battle wounds.  Oh, cops run in my family.  It's a tough job and the new recruits are not what they used to be.  So, Keep your kids safe, teach them well, and vote Republican.

The pharmaceutical industry needs a good kick in the teeth, then they will lower their prices to match what they charge the rest of the world.  Monsanto, Bayer and other agricultural seed companies is your biggest killer and cost driver.  They simply make you sick and kill you.

 

In reply to by Dilluminati

Sokhmate Wang Dang SP Wed, 01/31/2018 - 01:54 Permalink

His recipe boosts the immune system, which fights the virus. I've been using a similar mix for years. When a flu hits me it leaves in 24 hours. Family members with chronic sickness (not just flu) who relied heavily on allopathic poisons that switched to similar remedies now experience the same: flu's gone in 24-48 hours.

In reply to by Wang Dang SP

Dilluminati pocomotion Tue, 01/30/2018 - 11:21 Permalink

If the natural cures work well good for you.  Medicinal marijuana I'm actually ok with that.  My whole thing is the extras and unnecessary shit.  You look at billing and see a 89 year old doing a hip replacement, other charges just too fucking ridiculous to mention.  I don't know, but looking at the costs I want catastrophic care and then care for myself, and though I do care about others I don't care to the point where I want to underwrite the corporations.  

This is really a backdoor tax on the young and healthy because the aging baby boomers lack the fucking integrity to look in the mirror and admit they voted for all sorts of free shit they didn't pay for. 

The younger and healthy, those who have an education and can contribute are soooo fucked.  Free shit or any scheme that someone else manages your money always ends badly.  The smaller or more focused that effort, hence the plans I linked the better options and why they cost less.

I bought a jeep, there were many jeeps, not all the jeeps had shit I was interested in.  Obamacare is like a jeep that looks like communist party clothing from the Chicoms in 1970 and that grey furniture moving pad look was a fail.. even the fucking chicoms abandoned that dumb shit.

 

In reply to by pocomotion

Chupacabra-322 TeethVillage88s Tue, 01/30/2018 - 09:49 Permalink

“Technology & Solutions”

 

Yea, so as long as that can monitor your food purchases.  

 

“Mr. Smith, you’ve exceeded your monthly quota for beer consumption.  Being that your in the high risk category for Type II diabetes’s we are declining your purchased of Budweiser.”

 

Here’s the Globalist Psychopath Business Model:

 

Control every aspect and future aspect of human behavior & decision making. 

 

In reply to by TeethVillage88s

mkkby loves the truth Tue, 01/30/2018 - 15:48 Permalink

These clowns know EXACTLY what's wrong with health care -- no competition, no price discovery.

You go to a doc or hospital and THEY REFUSE to disclose their prices.  Instead you have to agree up front to pay any and all charges.  Then when you leave you get your surprise, which of course is an ass raping.  This kind of abuse was taken out of auto repair 4 decades ago.  They have to quote a price up front and stick to it.  You can go to 100 garages and find the lowest cost, if that's what you want.

Force service providers to publish prices and costs will roll back 80%.  Quickly.  The bad or expensive docs will go out of business fast.  Capitalism is always the answer.  But don't expect con artists like Buffet to say the obvious.

 

In reply to by loves the truth

CheapBastard Debt-Is-Not-Money Tue, 01/30/2018 - 08:08 Permalink

There is no doubt Americans need:

1) cheaper but still good health care;

2) need some sort of affordable dental care.

 

I see so many older people with most teeth missing it's sad. Then their health goes down and medical costs go up. Who can afford a $1,200 root canal + $1,2000 crown? Forget about implants! Perhaps medicare should offer some reasonable dentures for these folks?

 

It's crazy Americans have to fly to Thailand for their surgery or drive to Mexico. wtf?!

In reply to by Debt-Is-Not-Money

CheapBastard YUNOSELL Tue, 01/30/2018 - 09:21 Permalink

I don't know too much about dentures but at least they can put them in, eat some relatively solid food, then remove them if they don't like wearing them.

 

i mean, what are their other alternatives? Gumming their soft food?

Maybe they can live on tofu and beans but there must be some modern dentures that are not that bad.

i don't know enough about them.

In reply to by YUNOSELL