The company is reorganizing Amazon Health Services into six units, CNBC reported Friday (June 13), citing its interview with Neil Lindsay, senior vice president of Amazon Health Services.

“Our leadership team has been focused on simplifying our structure to move faster and continue to innovate effectively,” Lindsay told CNBC. “One of the problems we’re trying to solve is the fragmented experience for patients and customers that’s common in healthcare.”

Some of the new units will be headed by longtime Amazon leaders, while others will be led by executives from Amazon’s primary care chain, One Medical, according to the report.

The changes do not include broad layoffs, the report said.

The restructuring follows the departure of some health leaders in 2025, including the chief medical officer of Amazon Pharmacy, the CEO of One Medical and the chief medical officer of Amazon, per the report.

Lindsay said that the departures were part of the natural evolution of the business and that the organization has “no shortage of depth of talent,” according to the report.

The six new divisions of Amazon Health Services include One Medical Clinical Care Delivery; One Medical Clinical Operations and Performance; AHS Strategic Growth and Network Development; AHS Store, Tech and Marketing; AHS Compliance; and AHS Pharmacy Services, per the report.

Both Amazon and its rival Walmart are competing for not only retail dollars but also other infrastructure of daily living, including healthcare, media and cloud services, PYMNTS reported in May.

The company has been expanding its healthcare offerings such as virtual care and chronic condition management by forming strategic partnerships with companies like Teladoc and mental health providers, PYMNTS reported in January.

By integrating these services into its larger ecosystem, Amazon seeks to redefine healthcare access and challenge Walmart’s established position in the industry.

In November, Amazon added new health and beauty-related services to its healthcare offering by extending the Amazon One Medical Pay-per-visit telehealth service, which offers care on a range of different conditions and the option of on-demand messaging visits with clinicians.