Microsoft, Walgreens Boots Alliance Launch Digital Health Care Project

The companies will focus on connecting people virtually to Walgreens stores.

Microsoft Corp. and Walgreens Boots Alliance Inc. have established a strategic partnership to develop ways of delivering health care through digital devices.

The seven-year agreement will begin as a pilot project in 12 Walgreens stores with “digital health corners,” which will feature the sale of health-care related hardware and devices. The companies will also explore creating joint innovation centers to research best practices.

The agreement also calls for Redmond-based Microsoft to become Walgreens’ cloud provider.

“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.

Microsoft’s deal comes on the heels of Amazon’s big splash into health care. The Seattle company – the world’s largest online retailer – last year partnered with Berkshire Hathaway and JPMorgan Chase to launch a health initiative and bought online pharmacy PillPack for $753 million, according to SEC filings.

Financial details of the Microsoft-Walgreens agreement were not disclosed.

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