Quote:
Originally Posted by Rick Lee
Saying it used to cost $1/tablet is pretty misleading. The first tablet usually costs upwards of $1 billion to bring to market. The second one and the rest then sell for $1. If they sell a billion of them (think Viagra or Crestor), then they get their investment back and make a profit. Making an orphan or otherwise rare disease drug is a lot different than the common stuff, which is why they usually get a much longer-term patent. They need more time to recoup their investment.
But if no one wants to bother making a generic copy of this one that just went to $750/tablet, then the price might not yet be high enough.
Anyone else out there willing to put up nine or ten figures for a drug everyone thinks should be priced according to public opinion instead of market economics? I wouldn't touch that.
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I didn't say it cost a $1, I said it was produced and sold for a $1. Big difference. This was a quote from the news article.
Also read how big pharm stops generic drugs from being produced. " Though some drugs may have multiple patents – for the formulation, the chemical compound, the coating, or a new use among others – brand name companies will be permitted to sue a generic that wants to make their drug that is emerging from patent protection only once, instead of multiple times. Multiple litigations have been used to delay the ability of generics to enter the market."
Big Pharm sues on the formulation. They don't care if they win because it take a year or two before the case works it's way thru the courts (the longer the better) as this stops the generic production. Then they sue on the chemical compound. Same results, just a stall tactic for another year or two. Then the coating and then new use. If done right this process can extend the patent for 10 years.