Insights

Amazon Will Acquire Online Pharmacy Startup PillPack

PillPack

Amazon announced plans to acquire PillPack, an online pharmacy, in a press release this morning. PillPack was introduced in 2013, giving customers that take daily medication a convenient, safe way to consume prescription drugs, over-the-counter medicine, and vitamins. “PillPack’s visionary team has a combination of deep pharmacy experience and a focus on technology,” according to Jeff Wilke, CEO, Amazon Worldwide Consumer. “PillPack is meaningfully improving its customers’ lives, and we want to help them continue making it easy for people to save time, simplify their lives, and feel healthier. We’re excited to see what we can do together on behalf of customers over time.”

This acquisition is another major step in Amazon’s entrance into the healthcare industry. Just over a week ago, Amazon, Berkshire Hathaway, and JPMorgan Chase released a few major details about their newly formed joint healthcare venture. Additionally, the PillPack announcement shows Amazon’s influence on the market: Pharmacy stocks in the US market plunged after the press release, including Walgreens dropping 9.2%, CVS dropping 8.1%, and Rite Aid dropping 3.1%.