Apple is scaling back HealthHabit, an internal app the tech giant’s employees could use to track fitness, talk to clinicians and manage hypertension, according to reporting by Insider.

More than 50 workers spend a large amount of their time working on the app, and they could be laid off if they’re unable to find other work at Apple.

WHY IT MATTERS

Insider describes the move as “a setback for Apple's healthcare ambitions,” as HealthHabit was the biggest project to come from AC Wellness, the primary care group that works with Apple employees.

Employees that spoke to Insider said HealthHabit could have been available for consumers if it had been a success internally. But the app struggled with low engagement among employees, The Wall Street Journal reported. 

THE LARGER TREND

Workplace wellness programs, where employers provide resources for employees to exercise, stop smoking or access mental healthcare, are widely used by companies as healthcare costs continue to rise in the U.S.  

In 2019, 84% of employers with 200 or more workers that provided health benefits also offered a workplace wellness program, according to a survey from the Kaiser Family Foundation.

High healthcare costs have pushed some employers to provide their own internal care services for their workers. A survey of 122 large employers by the Business Group on Health found that 61% will offer some on-site health services, like mental health counselors or clinics, in 2021.

Amazon has pivoted its internal tools to outside workplaces. In March, the company announced its Amazon Care app-based services will expand to employers across the U.S., and its in-person service will expand in select areas.

Healthcare is a huge area of interest for Apple. In 2019, Apple CEO Tim Cook said the company’s “greatest contribution to mankind” will be about health. 

Earlier this summer, Apple announced several updates to health capabilities on iPhones and Apple Watches, including a feature that allows users to share data with some EHRs.