+

Cookies on the Business Insider India website

Business Insider India has updated its Privacy and Cookie policy. We use cookies to ensure that we give you the better experience on our website. If you continue without changing your settings, we\'ll assume that you are happy to receive all cookies on the Business Insider India website. However, you can change your cookie setting at any time by clicking on our Cookie Policy at any time. You can also see our Privacy Policy.

Close
HomeQuizzoneWhatsappShare Flash Reads
 

BUFFETT: The JP Morgan-Amazon-Berkshire Hathaway healthcare venture 'is going for something bigger than shaving a few percent off costs'

Feb 26, 2018, 19:31 IST

Berkshire Hathaway CEO Warren BuffettSteve Pope/Getty Images

Advertisement
  • Warren Buffett told CNBC Berkshire Hathaway's new healthcare venture with Amazon and JPMorgan will be "something that other people can pick up on."
  • Additionally, Buffett said his relationship with Amazon CEO Jeff Bezos and JPMorgan CEO Jamie Dimon will help make the venture smoother because "we trust each other."


Warren Buffett has some big ambitions for Berkshire Hathaway's new healthcare venture with Amazon and JPMorgan.

In an interview with CNBC on Monday, the legendary investor said the recently-announced venture between Berkshire Hathaway, JPMorgan, and Amazon to address healthcare costs can grow and become "something that other people can pick up on."

While the details around the venture are still vague at best, Buffett said the initiative is an attempt to get the private sector to do more about skyrocketing healthcare costs.

"My healthcare venture with Bezos and Dimon is going for something bigger than shaving a few percent off costs," Buffett said of Jeff Bezos and Jamie Dimon, the CEOs of Amazon and JPMorgan.

Advertisement

"It isn't difficult to shave a little bit off here, the question is whether we can come up with something better," he continued. "I'm hopeful but don't expect any miracles."

Buffett also said the venture should have its own CEO within a year and picking the right person is the "first and most important job" that will set the direction of the partnership.

Additionally, the Berkshire CEO said his relationship with Bezos and Dimon should help make big changes easier for the new initiative.

"Our companies are big and we can still make things happen," Buffett told CNBC. "We don't have bureaucratic problems or constituency problems that some others might and we like we each other, we trust each other."

Despite the massive amounts of capital the three companies have, Buffett said the venture is not looking to acquire any healthcare-specific firm to grow the business.

Advertisement

Buffett's stated goals for the venture echo what Dimon told Business Insider earlier in February.

"There are ways that, when you face this, maybe we can change things to make it much better for everybody," Dimon said. "We want happier employees, better medical outcomes, and I do think at the end of the day that'll actually be cheaper."

NOW WATCH: Why North Korea sent hundreds of cheerleaders to the Olympics

You are subscribed to notifications!
Looks like you've blocked notifications!
Next Article