Fabric Buys Walmart’s Telehealth Business and Stitches AI Into Digital Healthcare

Telehealth has evolved from a niche service to a central element of healthcare, a shift accelerated by the COVID-19 pandemic. This evolution reflects a broader move toward digital health solutions that fundamentally change patient care.

“We’re creating that on-demand experience for patients to get care through a more omnichannel lens,” Aniq Rahman, founder and CEO of Fabric, explained to PYMNTS in an interview. “We want to give great care virtually so people don’t have to leave their homes.”

Fabric’s care enablement system integrates virtual and in-person services through conversational AI and adaptive interviews. This system, designed by clinicians, enhances care quality, accelerates workflows up to tenfold, reduces call center volume by 15%, and improves appointment slot utilization.

The PYMNTS interview comes on the heels of Fabric’s acquisition of Walmart’s telehealth business, MeMD, in June. The acquisition adds 30,000 employers and 5 million members, enhancing Fabric’s employer strategy.

Previously, telehealth primarily involved video consultations, which, despite their innovation, did not fully address the need for a seamless consumer experience. Current efforts are focused on creating a more integrated, omnichannel approach that includes chat-based consultations, asynchronous interviews, and direct-to-consumer services such as RO, HIMSS, and Amazon Clinic .

“Part of what we’re trying to do is also help triage patients earlier to know if they may need to go to the emergency department or go to urgent care,” Rahman noted.

Leveraging technologies like conversational AI, telehealth platforms now offer a more cohesive care experience by streamlining information transfer into virtual care platforms, reducing redundant data entry and enhancing accuracy.

“We’re optimizing that experience and really streamlining it,” Rahman said. “Our average physician work time is only about a minute and a half to do most of those visits. So, it’s really efficient and quick for the providers, and then it allows them to see more patients in a given day.”

Telehealth technologies address the shortage of healthcare providers and nurses by improving operational efficiency and increasing patient throughput. This helps alleviate pressure on healthcare systems and ensures timely care.

“We’ve built a product that allows a patient to go through and do their whole intake experience while they’re sitting in the waiting room on their phone,” Rahman explained. “We’ve been fortunate. We’ve grown through deep integrations with the tools that providers use.”

A recent case study from WellNow, a major urgent care provider, demonstrated that telehealth increased productivity for video visits by 2.11 times compared to traditional methods, thus expanding patient access and enhancing provider performance.

“Technology can be a great enabler improving the patient experience, improving the provider experience, and improving operational throughput,” Rahman said.

Rahman’s motivation for founding Fabric stemmed from a personal healthcare experience involving his father, which highlighted inefficiencies in the system. His prior success with Moat, a digital marketing analytics firm acquired by Oracle, provided a foundation for Fabric’s development.

“It gave me an appreciation for the modern healthcare system,” Rahman said. “I saw some of the inherent complexity and chaos of the healthcare system.”

Following Fabric’s acquisition of Zipnosis last year, Rahman reported that it led to significant cost savings, with a reduction of $17 per member per month after 120 days of using the virtual care experience. “If you just imagine a plan with a million members, that’s $17 million that you’re saving on a monthly basis,” he said.

As the healthcare sector evolves, Fabric is working to integrate technological developments into patient care. “We’re really focused on continuing to expand on our capabilities on the virtual care side and technology side,” Rahman said.