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Daily Briefing

Around the nation: Microsoft prepares to bring on Amazon as customer for cloud tools


Microsoft is preparing to bring on Amazon as a customer of its 365 cloud productivity tools in a $1 billion deal, in today's bite-sized hospital and health industry news from Illinois, Ohio, and Washington.

  • Illinois: Walgreens last week announced it is planning to shut down 60 of its VillageMD clinics and exit five markets next year as it looks to cut at least $1 billion in costs. The drugstore chain released a fourth quarter earnings report last week showing a net loss of $3.1 billion for 2023 compared to net earnings of $4.3 billion in 2022. Interim CEO Ginger Graham said the company is "intently focused on accelerating our profitability in the U.S. Healthcare segment," which will include closing 60 VillageMD clinics that are underperforming in 2024. (Asser, HealthLeaders Media, 10/13)
  • Ohio: Adena Health has paused its cardiac surgery program following two alleged deaths during cardiac procedures and multiple alleged instances of sexual misconduct brought forth in media reports, social media posts, and a defamation and wrongful termination lawsuit. According to a post on Adena Health's website, the decision to pause the program was "mutually agreed upon" by system leadership and two surgeons, as well as two advanced practice professionals who have "decided to part ways" with the hospital. (Henderson, MedPage Today, 10/17)
  • Washington: Microsoft is preparing to bring on Amazon as a customer of its 365 cloud productivity tools, according to an internal document and a person familiar with the situation who spoke to Insider. Amazon has committed to more than $1 billion over five years to acquire over one million Microsoft 365 license seats — spots expected to be used both by Amazon's corporate employees and workers in frontline roles. The new systems are expected to begin setup in November and the full move is expected to happen in early 2024. (Stewart, Insider, 10/17)

What health systems need to know about technology vendors

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