Teladoc Health (TDOC) is experiencing a decline in its stock due to the recent announcement that Amazon.com has expanded its telehealth marketplace, known as Amazon Clinic, to all 50 states in the U.S. and the District of Columbia. This news has garnered attention and is impacting the telehealth industry.
To provide these services, Amazon partners with third-party providers. Some of the current providers include Wheel Health, SteadyMD, Curai Health, and Hello Alpha (operated by Alpha Medical).
It’s important to note that Amazon Clinic operates on a flat fee basis and does not accept insurance. The fees for services are determined by the third-party providers and may vary depending on the type of service. Based on random checks conducted on the Amazon Clinic website, text-based consultations are priced in the range of $30-40, while video visits are priced between $70 and $80.
For example, a search for providers in California addressing sinus infections revealed three options for text-based advice: SteadyMD and Wheel charged $30, whereas Curai charged $40 but promised faster response times. Video visits were priced at $72 from Wheel and $74 from SteadyMD, with both providers offering wait times of an hour or less.
It’s worth noting that not all providers are licensed in every state.
The introduction of Amazon Clinic and its expansion has put pressure on telehealth companies, particularly Teladoc Health. As a result, Teladoc’s stock has experienced a 6.4% decrease, with shares currently trading at $27.87. Teladoc Health has not yet provided a comment on this matter.