At the top of the entrepreneurial food chain lies not just the people we’ve heard of but also the ones who work quietly from behind the scenes. Drew Madden is one such legend, a man whose excellence in the healthcare IT segment of the medical industry has helped failing companies find their footing while successful ones have been propelled even higher. It’s important to take note of Madden because of his upcoming relevance in the battle between Amazon and CVS, the next target of its onslaught in the retail environment.
What’s happening is this: Amazon gained ground on licenses in a handful of states that allow the company to sell and distribute equipment for medical purposes. These items can be sold to clients or businesses alike. Now, that might sound like good news for CVS, but there’s an unseen part of the equation: what comes next. Amazon is now leveraging these licenses to open the way for the ability to sell prescription medications, which will require a separate licensing process with an uncertain resolution for the time being. It’s difficult to imagine drones delivering sensitive pills that might not arrive at their destination for one reason or another, but the fact is, Amazon has always found a way and will do no differently here.
Smaller companies that are focused on the medical industry in particular are threatened by this after the recent acquisition of Whole Foods and even more recent bankruptcy of Toys “R” Us, which was brought on in part by Amazon. CVS is now discussing the acquisition of healthcare compare Aetna in an effort to provide an all-in-one medical service that Amazon can’t provide at the moment, and in the process, they might work with the likes of Drew Madden to help lay out their back-end support for the servers and networking that’s required to piece it all together.
In so doing, healthcare IT will soon find itself much more relevant in the world as other companies like Rite Aid and Walgreen’s will follow suit. For now, Amazon has proven the world over that without leveraging web-based services, the odds of success move southbound, and CVS isn’t about to let that happen.