New drugs and gene therapies designed to treat cancer, rare diseases, etc. are justifiably commanding high prices. However, if they don’t work, payments shouldn’t be required.
The real pressure caused by the presumed overabundance of cancer research falls on investors and decision makers who guide R&D portfolios.
“We’re in a journey to focus Novartis as a medicines company powered by data and digital,” chief executive Vas Narasimhan said on a conference call explaining the deal to analysts. “And already this year, we’re off to a strong start to realize that goal.”
Putting artificial caps on profitability for drugs that add real value to patients is not the answer.