Prometheus Rebound: Where Weak Patents Can Benefit Pharma

Biotech and pharma companies were disappointed when the Supreme Court limited patent rights surrounding personalized medicine. But the ruling may end up simplifying the path to adoption of targeted therapies by reaffirming a much more critical point: the therapeutic—not the diagnostic—is the dominant partner.

The Supreme Court’s review of the health care reform law threatens to undermine some of the foundations of pharma planning for the next several decades: a larger insured population with drug coverage, low out-of-pocket costs for drug patients, and substantial IP hurdles for biosimilar challengers. But at the same that the Court is making the Affordable Care Act provisions of the strategic picture more blurry, the court may be clarifying pharma’s continued dominance in the key new field of personalized medicine.

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