Agile Digital Transformation

Agile Digital Transformation

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Agile Digital Transformation Authors: Liz McMillan, Kevin Benedict, Roger Strukhoff, Jason Bloomberg, Pat Romanski

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Amazon effect: Aetna-CVS deal a symptom of retail giant’s penchant for disrupting entire industries

By Jeff Mordock

The Amazon effect has rocked bricks-and-mortar retail. Now it’s moving in on the health care market.

Analysts say CVS Health Corp.’s $69 billion bid for Aetna Inc., marking the first time a large pharmacy chain has merged with a major health insurer, is a direct result of Amazon’s plan to enter the prescription drug market.

“Everything Amazon does is disruptive; sometimes it’s just not clear how,” said Jason Bloomberg, CEO of Intellyx, a digital transformation consultant business.

The online retail giant made pharmacy chains nervous in October when it was revealed that Amazon had secured licenses to distribute prescription medicines in 12 states. CVS is believed to be making the Aetna deal to withstand a potential challenge from Amazon by creating a “one-stop shop” where consumers can get prescriptions, insurance coverage and treatment in one location.

By forcing CVS into the largest merger announced this year, Amazon is showing its might, analysts said. But they are unsure how Amazon will disrupt the health care sector — perhaps by acquiring a pharmaceutical manufacturer or by launching its own pharmacy benefits manager, or PBM.

Mr. Bloomberg said he wouldn’t be surprised if patients one day are treated at Amazon hospitals.

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More Stories By Jason Bloomberg

Jason Bloomberg is a leading IT industry analyst, Forbes contributor, keynote speaker, and globally recognized expert on multiple disruptive trends in enterprise technology and digital transformation. He is ranked #5 on Onalytica’s list of top Digital Transformation influencers for 2018 and #15 on Jax’s list of top DevOps influencers for 2017, the only person to appear on both lists.

As founder and president of Agile Digital Transformation analyst firm Intellyx, he advises, writes, and speaks on a diverse set of topics, including digital transformation, artificial intelligence, cloud computing, devops, big data/analytics, cybersecurity, blockchain/bitcoin/cryptocurrency, no-code/low-code platforms and tools, organizational transformation, internet of things, enterprise architecture, SD-WAN/SDX, mainframes, hybrid IT, and legacy transformation, among other topics.

Mr. Bloomberg’s articles in Forbes are often viewed by more than 100,000 readers. During his career, he has published over 1,200 articles (over 200 for Forbes alone), spoken at over 400 conferences and webinars, and he has been quoted in the press and blogosphere over 2,000 times.

Mr. Bloomberg is the author or coauthor of four books: The Agile Architecture Revolution (Wiley, 2013), Service Orient or Be Doomed! How Service Orientation Will Change Your Business (Wiley, 2006), XML and Web Services Unleashed (SAMS Publishing, 2002), and Web Page Scripting Techniques (Hayden Books, 1996). His next book, Agile Digital Transformation, is due within the next year.

At SOA-focused industry analyst firm ZapThink from 2001 to 2013, Mr. Bloomberg created and delivered the Licensed ZapThink Architect (LZA) Service-Oriented Architecture (SOA) course and associated credential, certifying over 1,700 professionals worldwide. He is one of the original Managing Partners of ZapThink LLC, which was acquired by Dovel Technologies in 2011.

Prior to ZapThink, Mr. Bloomberg built a diverse background in eBusiness technology management and industry analysis, including serving as a senior analyst in IDC’s eBusiness Advisory group, as well as holding eBusiness management positions at USWeb/CKS (later marchFIRST) and WaveBend Solutions (now Hitachi Consulting), and several software and web development positions.