Amazon, Berkshire Hathaway and JPMorgan Chase announced on Tuesday they were partnering to cut health-care costs and improve services for their U.S. employees.
The three companies will initially target technology solutions and become an umbrella firm that would be “free from profit-making incentives.” Details weren’t announced yet with each company noting that the way it will work remains to be seen.
Berkshire CEO Waren Buffett said in a statement, “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.”
Analysts agree that the health-care system is outdated and now is a good time to pave the way for a new endeavor.