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Talkspace Expands Therapy Access Through Amazon

In a strategic move to bolster its business presence in the virtual mental health arena, Talkspace has partnered with retail giant Amazon. This collaboration creates a significant entry point for Talkspace, allowing Amazon users to easily discover their therapeutic offerings directly on Amazon’s website. The new integration includes a feature that helps users check their insurance coverage, which Talkspace claims reaches approximately 150 million covered lives. Positioned alongside Omada—a company specializing in diabetes and chronic disease management—Talkspace finds itself featured prominently on a dedicated landing page for employer-sponsored programs.

Interestingly, it appears that Amazon has not included direct links to Talkspace’s cash-pay services, which allow clients to pay without insurance. This omission could reflect a shift in Talkspace’s business model; years ago, the company pivoted from a direct-to-consumer approach to a strategy focused on securing insurance coverage for its services. The partnership with Amazon highlights Talkspace’s ongoing commitment, often discussed during earnings calls, to reach the millions of people with health insurance who are unaware of the mental health resources available to them. Meanwhile, Amazon continues to reinforce its identity as a predominant online retailer.

Shakeup at 23andMe: Board Members Resign

Tensions at 23andMe reached a breaking point as CEO Anne Wojcicki now finds herself as the sole remaining member of the company’s board following a mass resignation. Former board members cited fundamental disagreements about the strategic direction of the company, stating in their resignation letter, “… because of your concentrated voting power, we believe that it is in the best interests of the Company’s shareholders that we resign from the Board rather than have a protracted and distracting difference of view with you.” Well-known for its genetic testing and ongoing development of experimental pharmaceuticals, the company faces significant challenges.

Earlier this year, Wojcicki attempted to take the company private, a proposal that was swiftly rejected by the board. Since its public debut in 2021, the company’s stock has suffered a notable decline. Wojcicki has argued that privatizing the organization would shield it from the short-term pressures often associated with public markets, a perspective fueled by the company’s recent financial struggles, which include dwindling revenues and increasing losses as reported at the end of the last fiscal year. Despite these issues, as of June, 23andMe still reportedly held $170 million in cash reserves.

HHS Hosts Exclusive AI Symposium

This past Wednesday, the Department of Health and Human Services convened an invitation-only meeting that attracted key figures from industry, academic settings, and the government. STAT reporters, including Casey Ross, revealed details about the agenda, which featured prominent voices such as HHS health IT and AI leader Micky Tripathi, senior officials from HHS agencies like the Food and Drug Administration, and executives from the electronic health records company Epic Systems. Notably, the event was closed to the press, heightening the intrigue surrounding the discussions.

The meeting was said to be focused on exploring “cutting-edge AI applications” and discussing potential future trends that could propel AI-driven advancements in healthcare. However, multiple attendees later reported that no new developments were disclosed, leaving questions about the HHS leadership’s plans and its commitment to integrating new technologies into health protocols.

If you attended the symposium, I’d like to hear your thoughts. What aspects impressed you? Who did you network with? Feel free to share your insights via email: [email protected]. For further details, take a detailed look at the event’s agenda.

Congress Advances Telehealth Legislation

In legislative developments on Wednesday, a House committee made significant strides by advancing legislation aimed at extending Medicare telehealth flexibilities as well as a longstanding home hospital program that was launched amidst the pandemic. I collaborated with STAT’s Rachel Cohrs Zhang to cover the unfolding events.

The proposed bill would temporarily expand access to additional telehealth services for Medicare beneficiaries, enabling them to receive these essential services in their homes across the country until the conclusion of 2026. Additionally, the legislation seeks to prolong, for five more years, a program that sanctions approved hospitals to provide inpatient care within patients’ homes.

This legislation received unanimous approval from the House Energy & Commerce Committee, and it is garnering close attention from industry stakeholders and regulatory bodies. Several healthcare organizations have preemptively formulated contingency plans in the event that lawmakers fail to secure the proposed extensions by the deadline.

While not the focal point of the discussion, several lawmakers took the opportunity to voice concerns over the prescription of controlled substances via telehealth, particularly regarding stimulants like Adderall and medications intended for opioid dependence. These regulations were loosened temporarily by the Drug Enforcement Administration during the pandemic, and the agency is expected to finalize a new policy before the year concludes. Many stakeholders remain apprehensive about the potential for stricter regulations. If you’re privy to the conversations influencing the DEA’s policy decisions, STAT would love to hear from you.

For more insights regarding the advancing telehealth legislation, check here.

Cautious Optimism Among Providers Regarding New Technologies

A recent survey conducted by NEJM Catalyst reveals that a substantial one-third of clinicians, clinical leaders, and executives believe their organizations are slow to adopt emerging technologies. Another one-third of the 773 respondents indicated they prefer awaiting sufficient evidence supporting new technologies before they make any moves. Even amid the buzz surrounding artificial intelligence, the proportion of healthcare organizations actively employing this technology in clinical applications remains low. Nevertheless, a striking 85% of those surveyed expressed confidence that AI would yield a “major impact” on healthcare within the next three years.

These findings are part of a broader Catalyst issue that is focused on the advancements in digital health technologies.

Ascension Hack: The Financial Fallout

The recent cyberattack on Ascension has left a staggering impact on the nonprofit hospital system, resulting in losses that are estimated to be around $1.3 billion, as reported by STAT’s Bob Herman.

This incident is noted as one of the most expensive cyberattacks on record. To put things into perspective, UnitedHealth Group has estimated that a ransomware attack on its subsidiary, Change Healthcare, incurred costs amounting to $1.9 billion after taxes.

In calculating the immense financial loss, Bob conducted an analysis of the operating losses experienced over the past 10 months, which concluded in April 2024. While Ascension initially reported losses of $332 million, this is a smaller fraction of the striking $1.9 billion loss they booked during the same timeframe in 2023. However, when May and June—months significantly affected by the cyberattack—are included, Ascension’s operating loss swelled to $1.8 billion for the 2024 fiscal year. After accounting for various impairment losses, Bob arrived at the estimated financial repercussions tied to the cyber breach. For in-depth coverage, click here.

What We’re Reading

• FDA Recognizes Devices for Heart Surgery and Smart Knee Implants as ‘Breakthroughs’, STAT
• A Deep Dive into the 120+ AI Legislative Bills Currently in Congress, MIT Technology Review
• This Device Is ‘Proven’ to Protect Athletes’ Brains. Yet the Science Is Facing Scrutiny, Chronicle of Higher Education
• Exploring Social Determinants of Health and Insurance Claim Denials for Preventive Care, JAMA Network Open