Amazon is maneuvering to become a dominant player in direct-to-consumer healthcare services, beginning with its online pharmacy and telehealth services for its employees. It may acquire more healthcare delivery outlets, such as primary care and urgent care clinics. Entrenched industry players are watching carefully.

The news: Walmart partnered with health benefits company Transcarent to let Transcarent members access Walmart’s prescription benefits, retail clinics, telehealth services, OTC medications, and vaccines, among other health benefits. For context, Transcarent offers personalized, digital health benefits for self-insured employers.

Digital therapeutics (DTx) were gaining popularity as tools to help slash the US’ $3 trillion annual spending on chronic disease, and the pandemic has vaulted digital therapies into the spotlight. Now, the Teladoc-Livongo megamerger is heating up competition in the DTx space as players race to capture a slice of a market slated to reach $56 billion by 2025.