5 ms·

The price they're asking is pretty reasonable. A couple thousand bucks for a few percent increased chance of survival is well below the benchmark set by drugs i

The price they're asking is pretty reasonable. A couple thousand bucks for a few percent increased chance of survival is well below the benchmark set by drugs in less public disease areas. If this was a cancer drug they'd be charging an order of magnitude more. Edit: ICER, which is a drug price watchdog, suggested using a value added analysis that the max price remdesivir could justify was 4500[1]. ICER is not pharma's friend, and they dont usually end up suggesting a max price twice what the pharma company charges[2]. [1]https://icer-review.org/announcements/alternative_pricing_models_for_remdesivir/ https://icer-review.org/announcements/alternative_pricing_mo... [2]https://www.fiercepharma.com/pharma/parp-drugs-from-az-clovis-and-tesaro-are-largely-overpriced-watchdog-says https://www.fiercepharma.com/pharma/parp-drugs-from-az-clovi...

fennecfoxen 6y ago
It's not just a good deal for survival, either, it's worth an accounting profit to the hospitals: > On average, the drug should help reduce hospital costs by $12,000 a patient, said [Chief Executive Daniel O’Day]. Gilead estimated the savings based on data showing that each day of hospitalization costs $3,000 and that patients taking remdesivir are discharged four days sooner than those receiving standard treatment, Mr. O’Day said. https://www.wsj.com/articles/covid-19-drug-remdesivir-to-cost-3-120-for-typical-patient-11593428402 https://www.wsj.com/articles/covid-19-drug-remdesivir-to-cos...
- SomeoneFromCA 6y ago
  You are do not live in developing world, like I do. Hosptal costs to treat a single patient here is below $3000. So Remdesevir here is completely unaffordable.
  - fennecfoxen 6y ago
    Well if you're in the developing world, you will benefit from Gilead's use of price discrimination. > The company said it has entered into agreements with generic manufacturers to provide the drug at a “substantially lower cost” in developing countries. — https://www.cnbc.com/2020/06/29/gileads-coronavirus-treatment-remdesivir-to-cost-3120-for-us-insured-patients.html https://www.cnbc.com/2020/06/29/gileads-coronavirus-treatmen...
  - vikramkr 6y ago
    Drug companies don't charge american prices outside of this country - they barely charge sticker price within this country. Whatever country you live in in the developing world, the price that Gilead sets for you will undoubtedly be used by politicians here in the US to attack Gilead for overcharging here, asking how it is that they charge thousands of dollars in the US while they only charge a few bucks or even zero dollars through royalty free licensing in [insert country here].
  - roywiggins 6y ago
    Trump has bought all the remdesivir produced in the next three months. https://www.theguardian.com/us-news/2020/jun/30/us-buys-up-world-stock-of-key-covid-19-drug https://www.theguardian.com/us-news/2020/jun/30/us-buys-up-w...
gridlockd 6y ago
> A couple thousand bucks for a few percent increased chance of survival is well below the benchmark set by drugs in less public disease areas. That indeed is the sad state of affairs. Plus, a significant amount of these more obscure drugs may simply be the result of (intentional or unintentional) P-hacking.

fennecfoxen 6y ago

It's not just a good deal for survival, either, it's worth an accounting profit to the hospitals: > On average, the drug should help reduce hospital costs by $12,000 a patient, said [Chief Executive Daniel O’Day]. Gilead estimated the savings based on data showing that each day of hospitalization costs $3,000 and that patients taking remdesivir are discharged four days sooner than those receiving standard treatment, Mr. O’Day said. https://www.wsj.com/articles/covid-19-drug-remdesivir-to-cost-3-120-for-typical-patient-11593428402 https://www.wsj.com/articles/covid-19-drug-remdesivir-to-cos...

SomeoneFromCA 6y ago
You are do not live in developing world, like I do. Hosptal costs to treat a single patient here is below $3000. So Remdesevir here is completely unaffordable.
- fennecfoxen 6y ago
  Well if you're in the developing world, you will benefit from Gilead's use of price discrimination. > The company said it has entered into agreements with generic manufacturers to provide the drug at a “substantially lower cost” in developing countries. — https://www.cnbc.com/2020/06/29/gileads-coronavirus-treatment-remdesivir-to-cost-3120-for-us-insured-patients.html https://www.cnbc.com/2020/06/29/gileads-coronavirus-treatmen...
- vikramkr 6y ago
  Drug companies don't charge american prices outside of this country - they barely charge sticker price within this country. Whatever country you live in in the developing world, the price that Gilead sets for you will undoubtedly be used by politicians here in the US to attack Gilead for overcharging here, asking how it is that they charge thousands of dollars in the US while they only charge a few bucks or even zero dollars through royalty free licensing in [insert country here].
- roywiggins 6y ago
  Trump has bought all the remdesivir produced in the next three months. https://www.theguardian.com/us-news/2020/jun/30/us-buys-up-world-stock-of-key-covid-19-drug https://www.theguardian.com/us-news/2020/jun/30/us-buys-up-w...

gridlockd 6y ago

> A couple thousand bucks for a few percent increased chance of survival is well below the benchmark set by drugs in less public disease areas. That indeed is the sad state of affairs. Plus, a significant amount of these more obscure drugs may simply be the result of (intentional or unintentional) P-hacking.