Haven Startup — Backed by Warren Buffett, Jeff Bezos and Jamie Dimon — Goes Bust

By Adriaan Brits Tuesday, January 5, 2021

Haven, the joint venture focused on offering affordable healthcare solutions, will disband this month. The startup, formed by some of the most powerful and successful businessmen in the world, has already started informing employees that it will shut down by the end of February.

A Three-Year Project Comes to an End

Haven confirmed on Monday that will stop existing at the end of the next month. Most of 57 employees are expected to be placed in companies that helped create the startup in the first place — Amazon, Berkshire Hathaway, and JPMorgan Chase.

″The Haven team made good progress exploring a wide range of healthcare solutions, as well as piloting new ways to make primary care easier to access, insurance benefits simpler to understand and easier to use, and prescription drugs more affordable,” Brooke Thurston, a spokeswoman for Haven, told CNBC.

The statement adds that the founders of Haven “will leverage these insights and continue to collaborate informally to design programs tailored to address the specific needs of our individual employee populations and locations.”

Three year ago, CEOs of Amazon, Berkshire Hathaway, and JPMorgan Chase (Jeff Bezos, Warren Buffett, and Jamie Dimon, respectively) announced plans to offer services based on lower costs and better-quality health care solutions.

“The health care system is complex, and we enter into this challenge open-eyed about the degree of difficulty. Hard as it might be, reducing health care’s burden on the economy while improving outcomes for employees and their families would be worth the effort,” Jeff Bezos, Amazon’s founder and chief executive, said in a statement.

It is so far unclear why three powerful billionaires decided to pull the plug. Shares of major healthcare companies initially fell on the announcement, before racing higher to close in the green.

“The problem of healthcare costs in the U.S. boils down to political will and political power. The healthcare lobby comprises hospitals, physicians, pharmaceutical companies, device manufacturers and health insurers. All have an interest, individually and combined, to fight efforts to cut their take of the pie,” Michael Hiltzik, a business columnist for LA Times, wrote in his column.

Summary

Haven, an ambitious company founded by CEOs of Amazon, Berkshire Hathaway and JPMorgan Chase, will disband at the end of February three years after its launch.

About the Author


Headshot for author Adriaan Brits
As an analyst of global affairs, Adriaan has an MSC from Oxford, with diverse interests in the digital economy, entertainment, and business. He is a specialist trainer in Advanced Analytics & Media.

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