Big news as Amazon digs into the healthcare sector. According to one report on Thursday, Amazon has held meetings with drug makers Sandoz which is the generic drug for Novartis and Mylan.
According to one other report, the president of Sandoz “met and discussed with Amazon its plans for getting into the U.S. healthcare market.”
Discussions with generic drug makers might be indicating that Amazon is involved in either serving generic drug makers allotment to pharmacies or by marketing the generic prescriptions itself.
According to the sources, the company has had “high-level” meetings with pharmaceutical company Mylan and the Sandoz division of Novartis. These two companies produce a wide range of generic drugs.
However, many observers stated that the health care field is a highly controlled and multifaceted marketplace. Stefano Pessina, Walgreens Boots Alliance CEO, cited that Amazon “will not come in an industry so complicated as our industry,” and that “Amazon is not a retailer. It is a technology company.” Also, in some recent reports, it was mentioned that Sandoz doesn’t expect Amazon to have a “major impact” on its business.
Amazon failed to remark. Sandoz and Mylan also did not reply to a request for comment.
Many healthcare industries have shown contradictory views on Amazon’s desires in healthcare. If Amazon does want to enter the pharmaceutical industry, it would have to “buy or to team up,” Pessina mentioned.
It has also been noted that the shares of Mylan went up 3% on Friday, while the traders were a little down. It is indeed a subject of strong rumor on Wall Street and in the field of healthcare business. Also, numerous drug company executives, like the CEOs of Pfizer and Allergan, were enquired about the view of working with Amazon on their most recent quarterly earnings conference calls. Consequently, they all answered willingly but also indicated that no official discussions were held.