The News
Novo Nordisk will slash the price of its blockbuster weight-loss drug Wegovy for cash-paying patients, after American rival Eli Lilly discounted some of its Zepbound injections last week. The Danish drugmaker will sell Wegovy directly to patients through its own online pharmacy. Shares in the company, which also makes Ozempic, jumped on the news.
Since 2017, millions have turned to GLP-1 injections like Wegovy to lose weight and reduce their risk of heart attacks and stroke. Drugmakers are exploring other potential applications, including for Alzheimer’s, liver disease, and addiction issues.
SIGNALS
Pharma giants face growing competition in weight-loss market
Novo Nordisk’s announcement comes as growing competition between weight-loss drugmakers forces prices down: “With hundreds of challengers eyeing a vast market of potential users, obesity drugs are shaping up to be one of the biggest and fiercest battlegrounds in the history of pharmaceuticals,” The Economist wrote. According to Bloomberg Intelligence, global sales of weight-loss drugs could hit $80 billion in 2030. Novo Nordisk and Eli Lilly’s market share has come under pressure from surging demand and as cheaper versions of their drugs secure approval overseas, Reuters wrote. Competition will grow fiercer still when their patents expire — Novo Nordisk will see its patents expire in some regions as soon as next year.
Weight-loss drugs are not a silver bullet, experts warn
While many experts are excited by the potential for cheaper, more accessible weight-loss drugs to tackle rising levels of obesity and conditions like diabetes and heart disease, the drugs are not a panacea, experts warned. Weight-loss drugs can improve health outcomes, but they do not substitute for making healthier lifestyle changes, two epidemiology experts at Cambridge University wrote: “If we want to address high levels of obesity and weight-related diseases in our population, we need both to treat people living with those conditions and prevent more people developing them.”