Walgreens joins Microsoft to transform health care delivery

Microsoft logo.

San Francisco, Microsoft has signed a seven-year deal with Walgreens where it will provide its Azure Cloud services to help the second-biggest pharmacy chain in the US develop new health care delivery models, technology and retail innovations.

Microsoft will also deploy Microsoft 365 to Walgreens’ 380,000 employees and stores globally.

Through this partnership, the companies will deliver innovative platforms that enable next-generation health networks, integrated digital-physical experiences and care management solutions, Microsoft said in a statement late on Tuesday.

“Improving health outcomes while lowering the cost of care is a complex challenge that requires broad collaboration and strong partnership between the health care and tech industries,” said Microsoft CEO Satya Nadella.

The companies have committed to a multi-year research and development (R&D) investment to build health care solutions, improve health outcomes and lower the cost of care.

They will also explore the potential to establish joint innovation centres in key markets.

“We will work with Microsoft to harness the information that exists between payers and health care providers to leverage, in the interest of patients and with their consent,” said Stefano Pessina, Executive Vice Chairman and Chief Executive Officer of Walgreens.

Walgreens has become the fourth major retailer to partner with Microsoft in recent months, after Walmart, Kroger and Gap.