Executives at Amazon, Berkshire Hathaway and JPMorgan Chase are expected to select the CEO of their healthcare company within the next two months, a source familiar with the matter told Axios.
The search, reportedly led by Berkshire investment manager Todd Combs, includes various well-known CEOs and officials from across the healthcare industry, including former CMS Acting Administrator Andy Slavitt, former U.S. Chief Technology Officer and co-founder of Castlight Health Todd Park and former Aetna executive Gary Loveman.
The healthcare company will not be a nonprofit organization as previously reported by various media outlets. While the venture will initially offer healthcare coverage to employees across the three companies, officials plan to explore expanding the venture to other large companies.
Some healthcare industry experts have expressed reservations about the combined company and are skeptical of the speed at which the venture may affect the industry, according to Business Insider.
Venture capital firm Venrock surveyed 300 healthcare professionals, larger employers, investors and academics. Seventy-three percent of those surveyed said the Amazon, Berkshire and JPMorgan healthcare company will take longer than expected to disrupt the industry and will face significant challenges in doing so. Twenty-five percent of respondents said Amazon, Berkshire and JPMorgan "have no idea what they're getting into," Business Insider reports.