The impact of the Inflation Reduction Act and the unprecedented drug price negotiations in the US on biotech investing was a major topic at the Financial Times US Pharma and Biotech Summit 2024 in New York. Darius Lakdawalla was joined by Johanna (Rodriguez) Grossman, PhD at NYSE, Harmeet Dhillon at GSK, Amit Sinha at Goldman Sachs on the panel, Soft Landing, Hard Problems. Oliver Barnes, US pharma and biotech correspondent for the Financial Times moderated. The stakes involved in getting launch prices right have never been higher, Darius shared. In the future, it will be harder to compensate for low initial prices with annual price hikes while setting the launch prices too high can result in access limitations. Despite that there are multiple strategies to sustain medical innovation through current market volatility. Darius pointed to dynamic pricing models and better recognizing the social value of innovation in healthcare economic models. These all hinge on modeling uncertainty accurately. The recently released PROVEN platform is the engine Darius and his team are using to accelerate analysis on this, test current thinking and refine our understanding of how pricing works and how to plan for a changing environment. The full video from the summit can be purchased from the event organizers here: https://lnkd.in/ebXx2jk #HEOR #Innovation #DrugPricing #BioPharma #HealthEconomics
Neal Masia
2mo
Insightful as always
Sorry I missed you when you were in NYC, Darius Lakdawalla! Next time we will get some pizza...