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Amazon just started selling a prefab hospital room for $285K

Posted on January 28, 2019


According to a report from CNBC, Amazon has started selling a prefab hospital room, developed by EIR Healthcare.

If there was still doubt about Amazon's intent when it comes to entering the healthcare market, those questions should be quelled as the company is selling a variety of items, including home health products, syringes, as well as medical supplies meant for hospitals and surgery centers.

The hospital room, dubbed MedModular, is selling for $285,000 per unit, which equates to $814 per foot. Each room comes standard with a bathroom and bed although the design is customizable.

Med Modular
MedModular Hospital Room

In a statement to CNBC, EIR Healthcare CEO, Grant Geiger, shared that the company is targeting hospitals and health systems to purchase the MedModular units. He added that there has also been in interest in hospitals purchasing the units for simulation labs or urgent case facilities.

While purchasing a prefab unit would be a nice option for hospital administrators looking to cut costs, large hospital systems are tied to group purchasing organizations (GPOs), which help negotiate prices for hospitals. However, while there are discounts when using GPOs, there is a lack of cost transparency.

If there are ways for hospital administrators to get around going through GPOs, having a MedModular unit could be a nice solution for systems to cut cost and drive efficiencies.