Amazon reported that it has completed the purchase of One Medical parent 1Life Healthcare, sealing the $3.49 billion deal following the US Federal Trade Commission declined to challenge it.
The agreement gives the e-commerce giant a network of primary care physicians, Amazon’s biggest move to date in the healthcare industry. One Medical operates more than 200 medical offices in 26 markets in the US Customers pay a subscription fee to access their doctors and digital health services.
Bloomberg reported Tuesday that the FTC, which has been investigating Amazon’s market power for years, had decided not to challenge the settlement. Instead, the agency is issuing a letter advising Amazon and One Medical that the FTC investigation remains open. That paved the way for Amazon to finalize the acquisition.
“One Medical has set the standard for what a healthcare experience should look like. quality primary care, convenient and affordable,” said Neil Lindsay, head of Amazon Health Services, in a statement. “We are inspired by their human-centered approach to technology and excited to help them continue to grow and serve more patients.”
The other health offers of Amazon include Amazon Pharmacy, developed from the assets of pharmaceutical startup PillPack acquired in 2018, and Amazon Clinic, a referral service that directs patients to partner physicians for text chat consultations for treatment of common and relatively minor illnessessuch as hair loss and acne.
Amir Dan Rubin will remain CEO of One Medical and will report to Lindsay. The company said in a statement that it would offer discounted One Medical memberships for a limited time, offering new customers the package for $144 for the first year, down from the regular price of $199.
