Compared To China, Tech Billionaires’ New Health Initiative Is Actually Behind The Curve
Amazon, Berkshire Hathaway and JPMorgan are entering the health care field with a new project geared toward lowering overall costs for their employees. The initiative has been called game-changing, but in China big tech companies have been doing this for years.
The New York Times:
Amazon Wants To Disrupt Health Care In America. In China, Tech Giants Already Have.
Amazon and two other American titans are trying to shake up health care by experimenting with their own employees’ coverage. By Chinese standards, they’re behind the curve. Technology companies like Alibaba and Tencent have made health care a priority for years, and are using China as their laboratory. After testing online medical advice and drug tracking systems, they are now focused on a more advanced tool: artificial intelligence. (Wee and Mozur, 1/31)
The Wall Street Journal:
Amazon Is Now A $700 Billion Stock-Market Gorilla
Amazon.com Inc. is pushing its weight around in the stock market. The e-commerce giant’s rapid climb in recent years has only accelerated in 2018, pushing the company’s market cap above $700 billion for the first time on Wednesday. That puts it in rarefied territory alongside Apple Inc., Alphabet Inc., and Microsoft Corp. ... [It's rapid rise] is the latest sign of just how much weight Amazon has to throw around in the stock market. And recently it’s been doing just that. On Tuesday, it sent health-care stocks tumbling after the firm, along with Berkshire Hathaway and JPMorgan Chase, said it is creating a company to figure out how to reduce health-care costs. (Eisen, 1/31)
In other marketplace news —
Anthem Rebounds As 2018 Profit Forecast Calms Investor Jitters
Anthem Inc.’s stock rebounded after the health insurer’s forecast for a 2018 profit increase heartened investors who’ve been nervously watching big potential changes in the industry. The Indianapolis-based company’s earnings this year will exceed $15 a share, with the recent U.S. tax overhaul providing roughly a 15 percent boost to profits, Anthem said in a statement on Wednesday. That sent the stock about 3.7 percent higher, partly recovering from Tuesday’s drop on news that three corporate giants were starting a health company. (Tracer, 1/31)
The CT Mirror:
Cigna Says Tax Law Allows It To Raise Worker Pay, Increase Benefits
Bloomfield-based Cigna is the latest American company saying it is giving its workers a raise because of the recent GOP-led tax overhaul. In a statement released Wednesday, the health insurer said “the net financial benefits of United States tax reform will allow the company to further accelerate investments in our employees, our capabilities and our customers, clients, partners, and communities.” (Radelat, 1/31)