Will One Medical Change after Losing Google Contract?

The recent news that Amazon’s primary care subsidiary One Medical will lose its long-standing contract with Google at year-end created quite a buzz about how this might impact the provider’s business.

After all, Google’s roughly 180,000 employees who received discounted medical care under the contract, accounted for about 10% of One Medical’s revenue in 2020. That figure dropped slightly in 2021, according to media reports. One Medical stopped publicly sharing financials after it was acquired by Amazon in 2022, so it is difficult to know the impact this will have on One Medical’s revenues going forward.

For its part, Google has stated that the decision to end the One Medical contract had nothing to do with Amazon’s ownership of the primary care provider. Existing One Medical locations on Google’s campuses now have transitioned to Premise Health, which provides digital and in-person health care and wellness services for employers.

4 Takeaways on How One Medical Will Be Impacted by Google’s Move

1 | One Medical will remain an in-network provider for Google.

The key difference is that Google workers will need to pay for their own memberships after this year.

2 | One Medical recalibrates its client strategy.

For 2024, the company will focus on midsize clients while developing and building a better strategy for large corporate customers, according to an internal document that Business Insider (BI) obtained.

3 | The focus on employee communications will change.

One Medical plans to improve its direct-to-employee communications with more health-benefit data, BI reported. One Medical wants to contractually require enterprise customers to deliver employee contact information to facilitate direct communication, which typically results in higher usage.

4 | The focus on wellness will increase.

The document obtained by BI also indicates that One Medical hopes to boost the percentage of annual wellness visits by enterprise members from 16% to 28% to a total of 160,000 per year.