Transcarent's Struggles, Multi-state Licensing Mess, Mass General Layoffs

Hey all,

Happy Monday! I was very interested in hearing about the contracting struggles Glen Tullman is having with Transcarent since he’s always been a champion salesperson. Enjoy the rundown!

Jacob Brody (Co-Founder & CEO, ZorroRX)

(MedCity News) Glen Tullman Buys Accolade For Growth

Glen Tullman, once a vocal critic of care navigation companies, has acquired Accolade for $621 million, a move some see as contradicting his previous stance. The acquisition follows Transcarent’s struggles, including missing its 2024 sales target by a wide margin and facing industry pushback. While Tullman frames the deal as adapting to market realities, critics argue it exposes weaknesses in Transcarent’s model, drawing comparisons to his past Livongo-Teladoc merger. Whether the merger succeeds remains uncertain, though it provides Transcarent with much-needed scale. Full Article

(Robert Longyear) Do State-Based Medical Licensure Laws Achieve Their Goal?

State-based medical licensure laws, originally intended to protect patient safety, now create significant barriers to care, particularly in the era of telemedicine and increased patient mobility. These regulations prevent physicians from practicing across state lines efficiently, limiting access for rural populations, college students, and those with rare conditions. While the Interstate Medical Licensure Compact has streamlined licensing for some, it is still an incredibly painful process with numerous unnecessary and onerous steps. Full Article.

(STAT/Boston Globe) Mass General Brigham Announces Historic Layoffs 

Mass General Brigham, Massachusetts' largest private employer, has announced its largest-ever layoff, targeting hundreds of administrative and management positions to save $200 million annually. Despite posting positive margins and having substantial investments, MGB cites anticipated financial shortfalls and operational challenges across its 12 hospitals. The cuts, happening in two rounds through March, won't affect frontline clinical workers but come amid broader system integration efforts and recent unionization moves. The announcement follows a period of departmental consolidations and organizational restructuring. Full Article