Amazon, Berkshire Hathaway, & JPMorgan Chase take aim at Aetna, Cigna, & US Healthcare partnering on US employee health care

Amazon, Berkshire Hathaway, and JPMorgan Chase on Tuesday announced plans to partner on ways to cut health care costs and improve services for U.S. employees.

The companies will launch an independent company initially targeting technology solutions, with the intention to be an umbrella firm that would be "free from profit-making incentives."

"The ballooning costs of healthcare act as a hungry tapeworm on the American economy," Berkshire CEO Warren Buffett said in a statement. "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."

Three top executives, one from each company, will take the lead on the project: Investment officer Todd Combs at Berkshire, Marvelle Sullivan Berchtold at JPMorgan, and Beth Galetti, a senior vice president at Amazon.

"The healthcare system is complex, and we enter into this challenge open-eyed about the degree of difficulty," Amazon CEO Jeff Bezos said in the statement.

"The three of our companies have extraordinary resources, and our goal is to create solutions that benefit our U.S. employees, their families and, potentially, all Americans," added JP Morgan CEO Jamie Dimon.

Shares of each company were little changed in premarket trading. The target companies? Not so much.


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