Technology

Amazon closes deal to buy primary care provider One Medical

Published

3 years ago

February 22, 2023

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A sign is posted in front of a One Medical office on July 21, 2022 in San Rafael, California.

Justin Sullivan | Getty Images

Amazon on Wednesday said it had closed its $3.9 billion deal for primary care provider One Medical.

Amazon agreed last July to acquire One Medical to deepen its presence in health care, and “dramatically improve” the experience of getting medical care. Amazon has long had ambitions to expand into health care, buying online pharmacy PillPack in 2018 for $750 million, then launching its own virtual clinic for chronic conditions, and prescription perks for Prime members.

The deal gives Amazon access to One Medical’s more than 200 brick-and-mortar medical offices in 26 markets, and roughly 815,000 members.

The purchase was the first major deal announced since CEO Andy Jassy took the helm from founder Jeff Bezos in July 2021, and Jassy has indicated he sees health care as a major area of expansion. In a statement, he said health care is ripe for disruption, citing long appointment times and the complexities of primary care.

“Customers want and deserve better, and that’s what One Medical has been working and innovating on for more than a decade,” Jassy said in a statement. “Together, we believe we can make the health care experience easier, faster, more personal, and more convenient for everyone.”

Amazon said it would discount One Medical memberships for U.S. users to $144 from $199 for the first year, regardless of whether they’re a Prime subscriber.

The closing comes after a deadline passed for the Federal Trade Commission to challenge the deal. The acquisition had been undergoing an in-depth review at the FTC for the past several months. Last September, the agency sent Amazon and One Medical a so-called second request for more information about the deal, according to securities filings.

While Amazon waited out the required period to close the deal, the FTC could still decide to bring a case to unwind the merger at a later point — a right it reserves in any deal it reviews. The FTC under Chair Lina Khan has sent out letters to some parties seeking to merge saying that while they can’t hold up the merger any longer because the deadline has passed, they are still investigating and could take legal action at a later date. Still, breaking up a merger is often more difficult in a practical sense once two businesses are formally combined.

“The FTC’s investigation of Amazon’s acquisition of One Medical continues,” said FTC spokesman Douglas Farrar. “The commission will continue to look at possible harms to competition created by this merger as well as possible harms to consumers that may result from Amazon’s control and use of sensitive consumer health information held by One Medical.”

The FTC sent a letter to the companies warning them that the parties are closing the deal at their own risk, and that it still has specific concerns about the deal, an agency official confirmed.

Amazon’s $8.5 billion deal for movie studio MGM also cleared regulatory hurdles last March. The company still faces an ongoing probe by the FTC into its Prime program, as well as its online marketplace. The agency is also reviewing Amazon’s $1.65 billion purchase of iRobot, which it announced last year.

Khan is one of Amazon’s biggest critics. She made her first big splash in antitrust circles with her 2017 Yale Law Journal article, “Amazon’s Antitrust Paradox.” The article, which she wrote while still a law student, argued that the popular antitrust framework focused on consumer welfare, was inadequate to assess digital giants like Amazon.

— CNBC’s Lauren Feiner and Mary Catherine Wellons contributed to this report.

Technology

How black boxes became key to solving airplane crashes

Published

9 hours ago

November 30, 2025

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How black boxes became key to solving airplane crashes

After the search for survivors and recovery of victims in tragic aviation accidents — like that of a UPS cargo plane shortly after takeoff from Louisville Muhammad Ali International Airport in Kentucky last month — comes the search for flight data and a cockpit voice recorder often called the “black box.”

Every commercial plane has them. Aerospace giants GE Aerospace and Honeywell are among a few companies that design them to be nearly indestructible so they can help investigators understand the cause of a crash.

“They’re very crucial because it’s one of the few sources of information that tells us what happened leading up to the accident,” said Chris Babcock, branch chief of the vehicle recorder division at the National Transportation Safety Board. “We can get a lot of information from parts and from the airplane.”

Commercial aircraft have become very complex. A Boeing 787 Dreamliner records thousands of different pieces of information. In the case of the Air India crash in June, data revealed both engine fuel switches were put into a cutoff position within one second of each other. A voice recording from inside the cockpit captured the pilots discussing the cutoffs.

“All of those parameters today can have a very huge impact on the investigation,” said former NTSB member John Goglia. “It’s our goal to to provide information back to our investigators who are on scene as quick as we can to help move the investigation forward.”

This crucial data can also help prevent future accidents. A crash can cost airlines or plane manufacturers hundreds of millions of dollars and leave victims’ families with a lifetime of grief.

But in some circumstances black boxes were destroyed or never found. Experts say further developments such as cockpit video recorders and real-time data streaming are needed.

“The technology is there. Crash worthy cockpit video recorders are already being installed in a lot of helicopters and other types of airplanes, but they’re not required,” said Jeff Guzzetti, aviation analyst and former accident investigator for the Federal Aviation Administration and NTSB. “There’s privacy and cost issues involving cockpit video recorders but the NTSB has been recommending that the FAA require them for years now.”

Watch the video to learn more.

— CNBC’s Leslie Josephs contributed to this report.

Technology

Stocks end November with mixed results despite a strong Thanksgiving week rally

Published

2 days ago

November 28, 2025

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Stocks end November with mixed results despite a strong Thanksgiving week rally

Technology

Palantir has worst month in two years as AI stocks sell off

Published

2 days ago

November 28, 2025

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Palantir has worst month in two years as AI stocks sell off

CEO of Palantir Technologies Alex Karp attends the Pennsylvania Energy and Innovation Summit, at Carnegie Mellon University in Pittsburgh, Pennsylvania, U.S., July 15, 2025.

Nathan Howard | Reuters

It’s been a tough November for Palantir.

Shares of the software analytics provider dropped 16% for their worst month since August 2023 as investors dumped AI stocks due to valuation fears. Meanwhile, famed investor Michael Burry doubled down on the artificial intelligence trade and bet against the company.

Palantir started November off on a high note.

The Denver-based company topped Wall Street’s third-quarter earnings and revenue expectations. Palantir also posted its second-straight $1 billion revenue quarter, but high valuation concerns contributed to a post-print selloff.

In a note to clients, Jefferies analysts called Palantir’s valuation “extreme” and argued investors would find better risk-reward in AI names such as Microsoft and Snowflake. Analysts at RBC Capital Markets raised concerns about the company’s “increasingly concentrated growth profile,” while Deutsche Bank called the valuation “very difficult to wrap our heads around.”

Adding fuel to the post-earnings selloff was the revelation that Burry is betting against Palantir and AI chipmaker Nvidia. Burry, who is widely known for predicting the housing crisis that occurred in 2008 and the portrayal of him in the film “The Big Short,” later accused hyperscalers of artificially boosting earnings.

Palantir CEO Alex Karp vocally hit the front lines, appearing twice in one week on CNBC, where he accused Burry of “market manipulation” and called the investor’s actions “egregious.”

“The idea that chips and ontology is what you want to short is bats— crazy,” Karp told CNBC’s “Squawk Box.”

Despite the vicious selloff, Palantir has notched some deal wins this month. That included a multiyear contract with consulting firm PwC to speed up AI adoption in the U.K. and a deal with aircraft engine maintenance company FTAI.

But those announcements did little to shake off valuation worries that have haunted all AI-tied companies in November.

Across the board, investors have viciously ditched the high-priced group, citing fears of stretched valuations and a bubble.

In November, Nvidia pulled back more than 12%, while Microsoft and Amazon dropped about 5% each. Quantum computing names such as Rigetti Computing and D-Wave Quantum have shed more than a third of their value.

Apple and Alphabet were the only Magnificent 7 stocks to end the month with gains.

Sill, questions linger over Palantir’s valuation, and those worries aren’t a new concern.

Even after its steep price drop, the company’s stock trades at 233 times forward earnings. By comparison, Nvidia and Alphabet traded at about 38 times and 30 times, respectively, at Friday’s close.

Karp, who has long defended the company, didn’t miss an opportunity to clap back at his critics, arguing in a letter to shareholders that the company is making it feasible for everyday investors to attain rates of return once “limited to the most successful venture capitalists in Palo Alto.”

“Please turn on the conventional television and see how unhappy those that didn’t invest in us are,” Karp said during an earnings call. “Enjoy, get some popcorn. They’re crying. We are every day making this company better, and we’re doing it for this nation, for allied countries.”

Palantir declined to comment for this story.

WATCH: Palantir CEO Alex Karp: We’ve printed venture results for the average American