Just 3 Years After Making Huge Splash In Health Care, Haven Goes Kaput
The massive joint venture between Amazon, JPMorgan Chase and Berkshire Hathaway suffered from a poorly defined mission, strategic blunders and a failure to show measurable progress, Stat says.
Modern Healthcare:
Amazon, JPMorgan Chase, Berkshire Hathaway Disband Haven
Haven is ending about three years after Amazon, JPMorgan Chase and Berkshire Hathaway set out to improve outcomes and lower costs for their employees, the companies announced Monday. The independent company "free from profit-making incentives and constraints" aimed to improve employee satisfaction and reduce healthcare costs for Amazon, JPMorgan and Berkshire's around 1 million U.S. employees, but executives shared little detail about the joint venture. Haven will cease operations at the end of February, according to its website. (Kacik, 1/4)
Stat:
How Haven's High Hopes Of Redefining Health Care Came To A Crashing Halt
The dissolution of Haven marks one of the most stunning collapses in modern health care history. The venture, led by Amazon, Berkshire Hathaway, and JP Morgan Chase, was heralded immediately as a powerful new player to watch. Its January 2018 launch erased billions of dollars in value from health care companies within seconds. Even before it had a name, the company spawned a trade secrets lawsuit from the rival health care giant Optum. (Brodwin and Ross, 1/5)
Stat:
Haven, Ambitious Health Venture Backed By Amazon, To Shut Down
Haven will cease operations at the end of February, Haven spokesperson Brooke Thurston confirmed to STAT. “The Haven team made good progress exploring a wide range of healthcare solutions, as well as piloting new ways to make primary care easier to access, insurance benefits simpler to understand and easier to use, and prescription drugs more affordable,” she said. Thurston said the three companies will “continue to collaborate informally” on programs for their individual employee populations. (Brodwin, 1/4)
The Washington Post:
Haven Healthcare Startup Backed By Amazon, JPMorgan And Berkshire Hathaway Shuts Down
Haven demonstrated plenty of ambition when it debuted in 2018. At the time, the three prominent executives put their names behind the effort, garnering massive media coverage for their efforts to address one of the most intractable challenges in corporate America. Reducing costs was a primary objective. JPMorgan declined to say how much it spent on Haven, except to note that the costs were “immaterial,” spokesman Joseph Evangelisti said via email. In a letter to employees, Dimon pledged to build on Haven’s accomplishments, even though he didn’t specifically detail them. (Greene, 1/4)
