Most of today's top stories have something to do with high drug prices or the questionable use of delaying tactics to protect a developer's pharmaceutical market. There are two competing trends developing in the pharma world that are likely to collide head on: the shifting of costs to consumers and the rapid escalation of biotech drug prices. As the prices for Lucentis and Revlimid show, drug makers are moving fast to see just how high prices can go before the inevitable congressional backlash occurs. And angry voters stuck with a growing share of the bill are likely to make price reform a priority in the not-too-distant future. It's going to take more than free drug programs for the uninsured to avoid the coming battle over drug costs. Interestingly, we're seeing the big pharma companies launch a price war on the generics side of the business. The long-term impact on generic drug makers could be severe, but any price relief for consumers is welcome.
We're off tomorrow for the Fourth of July. Have a safe and happy holiday and we'll see you again on Wednesday. - John Carroll