Walmart Inc. has announced its purchase of US telehealth provider MeMD, adding that it plans to offer nationwide virtual health care services.
The acquisition will allow Walmart to expand its Walmart Health service around the country, the company said. The retail giant didn’t disclose the financial details of the transaction.
The strategy comes in response to Amazon . com Inc.’s business model, Wall Street Journal reported. Amazon relies on profits from its cloud computing and advertising businesses to fend off competitors online with fast, but often less-profitable, home delivery of millions of products.
The MeMD deal pits Walmart and Amazon in another face off, as Amazon recently announced plans to provide its telehealth service, Amazon Care, to its nearly one million U.S. employees by summer. Amazon Care, which now serves company workers in Washington state, will also be offered to other employers.