Novo Nordisk Slashes Ozempic Prices Amid US Market Competition

GLP-1 weight-loss drugs such as Ozempic and Wegovy are significantly impacting various sectors beyond healthcare. Okava, in collaboration with Vivani Medical, is developing an implant to deliver exenatide for pets, addressing the high rates of obesity in dogs and cats, with a potential release by 2028 or 2029. The drugs are also reshaping the dining experience, prompting restaurants in the UK and US to offer smaller portion sizes to accommodate the reduced appetite of millions using these medications. However, these drugs pose challenges for the U.S. life insurance industry, as many patients discontinue use, causing a rebound in health risks that insurers fail to account for, leading to financial risks due to 'mortality slippage.' In response to increased competition and political pressure, Novo Nordisk has significantly reduced out-of-pocket costs for Ozempic and Wegovy in the US to stay competitive against rivals like Eli Lilly. These developments illustrate the broad societal and economic effects of GLP-1 drugs amid their growing popularity and adoption.