Amazon's healthcare partnership with Berkshire Hathaway and JPMorgan is reportedly ending soon
The three companies want to pursue their own projectsBy Cohen Coberly
In context: Remember Haven? If not, here's a quick refresher -- it was a healthcare venture started by three giant companies: Amazon, Berkshire-Hathaway, and JPMorgan. The goal of the partnership was to disrupt the healthcare industry and drive down costs for consumers.
Unfortunately for the three companies -- and, potentially, consumers -- Haven is now disbanding, after a mere three years of operation (it started back in January of 2018).
There are undoubtedly dozens of potential reasons for the company's closure, but a recent CNBC report offers a few plausible explanations; backed by facts obtained through its sources. According to the outlet, one of the "key" issues facing Haven was the lack of any real partnership structure.
Although the initial plan was for JPMorgan, Berkshire Hathaway, and Amazon to work together, that isn't what ultimately happened. Instead, the three founding companies "executed their own projects separately with their own employees," which essentially eliminated the need for Haven entirely.
Additionally, CNBC says, Haven discovered first hand the difficulties associated with penetrating American health care, which the outlet calls an "entrenched system of doctors, insurers, drugmakers and middlemen." Diving into that system is already a monumental task, but radically changing it through reduced costs and lower economic strain? That's a feat of herculean proportions, it would seem.
There is a silver lining here, though. While the joint venture known as Haven won't live to see another winter, the individual projects that have risen from its ashes will persist.
We have no idea what those projects are, but if they stay true to Haven's original goals, JPMorgan, Amazon, and Berkshire Hathaway might still have a chance to change the healthcare industry for the better; at least in some small ways.