This week, President-elect Donald Trump announced celebrity physician Dr. Mehmet Oz as his pick to lead the Centers for Medicare & Medicaid Services.
Dr. Oz is a surgeon who hosted a syndicated daytime television show from 2009 to 2022, and he also unsuccessfully ran for a U.S. Senate seat representing Pennsylvania in 2022.
Healthcare leaders have mixed feelings about Dr. Oz’s appointment.
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Can Americans be sure what Dr. Oz really stands for?
Anu Sharma — CEO of Millie, a startup offering hybrid maternal care — said she is “not sure what to make” of Dr. Oz’s nomination.
“He is a trained physician, yes. But he has also taken past positions on unproven treatments. He also said he believed in universal access to healthcare, but withdrew support for the ACA and has since signaled support for more privatized models like Medicare Advantage. So it’s hard to know what he really thinks,” she explained.
Dr. Oz has been criticized by healthcare experts in the past for spreading misinformation about unproven Covid-19 treatments, such as anti-malarial drug hydroxychloroquine. He has also come under fire for promoting questionable weight loss strategies — in 2018, Dr. Oz reached a $5.25 million settlement for endorsing unproven supplements for weight loss.
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Sharma said only “time will tell” whether Dr. Oz is a good choice for the agency responsible for the healthcare needs of some of the country’s most vulnerable citizens.
Could the U.S. healthcare system fully enter the digital age?
Pouria Sanae, CEO of healthcare technology platform ixlayer, noted that Dr. Oz’s appointment has caused more discussion than any previous CMS nomination ever has.
“Has a CMS appointment ever drawn so much attention in the past? Because it is Dr. Oz, we are all talking about it. Because of his celebrity, Dr. Oz is uniquely positioned to raise awareness and help Americans think more proactively about their health — which we all agree is still much needed. And, raising awareness among the American public about the role of the CMS and the politics around healthcare is a good thing,” he declared.
Sanae believes that Dr. Oz’s passion for longevity will lead him to embrace technologies that empower patients to take control of their health, including tools that make it more convenient for patients to access to doctors, testing and medications.
“Perhaps Dr. Oz is the forward-thinking physician who recognizes the need for America to bring its world-class healthcare system fully into the digital age,” he remarked.
Might Dr. Oz be a champion for food-as-medicine?
Ashley Tyrner-Dolce, CEO of food-as-medicine startup FarmboxRx, pointed out that Dr. Oz may be “working hand-in-hand” with Robert F. Kennedy Jr. Both are outspoken about the positive impact that a healthy diet can have on Americans’ health.
“This signals that the federal government will likely be allocating CMS dollars for food-as-medicine initiatives — with poor food and the chronic disease epidemic being top of mind for both men,” she stated.
In her view, using food as an engagement tool is an economically viable solution that has potential to mitigate food insecurity and improves people’s nutrition — which could in turn, provide tangible results when it comes to improving Americans’ health outcomes.
Will Dr. Oz’s appointment decrease access to weight loss treatments?
Brooke Boyarsky Pratt — CEO of knownwell, a primary care clinic specializing in obesity treatment — pointed out that more than 70% of the 100 million patients insured through Medicaid and Medicare are overweight or obese.
“Ensuring that these patients have coverage for evidence-based, effective obesity treatment is critical for not only these patients but for the health of the U.S. population at large. From their public statements, Dr. Oz and RFK Jr. appear to be heavily focused on non-medical interventions,” she said.
Pratt acknowledged that comprehensive care is important for treating the nation’s obesity epidemic — but in her view, medical intervention delivered by clinicians is required for immediate and sustained weight loss.
Could this nomination hurt pharmaceutical R&D?
Dave Latshaw, CEO of AI-powered drug development startup BioPhy, noted that Dr. Oz’s appointment could affect the pharmaceutical industry in a couple different ways.
“His stance on stricter cost controls in Medicare and Medicaid would compel drug developers to engage in more challenging price negotiations, potentially compressing profit margins across the sector,” he stated.
Additionally, the growing emphasis on Medicare Advantage is requiring pharmaceutical companies to demonstrate stronger cost-effectiveness and improved outcomes to secure coverage, Latshaw pointed out.
“While streamlined CMS processes could deliver expedited approvals and reimbursements, proposed privatization reforms could fundamentally alter the market dynamics, potentially favoring innovation while creating challenges for high-cost therapeutic options,” he declared.
From Latshaw’s perspective, these pricing pressures and regulatory changes could ultimately constrain investments in research and development, leading drugmakers to prioritize projects with higher probability of returns.
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