U.S. Drug Prices Surge Due to Patent Loopholes: I-MAK Report Reveals

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TL/DR –

Americans are paying up to eight times more for critical anticoagulant and GLP-1 medications than patients in other developed nations as pharmaceutical companies extend patent protections and block affordable generics, according to I-MAK 2025 data. Extended patent strategies could cost U.S. healthcare systems over $200 billion in excess spending while delaying generic competition for years. The report calls for comprehensive patent reform, including revising the patent system to limit excessive patenting practices and reduce barriers to generic competition, to align U.S. pharmaceutical costs with international benchmarks.


American Patients Pay More for Anticoagulant and GLP-1 Medications

A new report reveals that Americans pay up to eight times more for essential GLP-1 and anticoagulant medications than patients in other developed countries. Pharmaceutical companies like Bristol Myers Squibb, Pfizer, and Novo Nordisk have been exploiting patent laws and blocking affordable generics according to I-MAK’s 2025 data brief.

Patent Extensions Increasing Drug Prices

Extended patent strategies could potentially cost U.S. healthcare systems over $200 billion in excess spending by delaying generic competition. In contrast, patients in other countries already access generic versions of these medications at a fraction of U.S. prices.

Case Study: Eliquis and Semaglutide

One example of these practices is seen in the anticoagulant drug Eliquis, whose patent was extended to 2026, delaying generic entry until April 2028. This is projected to yield an additional $50.7 billion in U.S. sales. Meanwhile, generic versions are available in Canada, the UK, and the EU.

Novo Nordisk has used similar tactics for semaglutide, the active ingredient in three of its top-selling drugs. With extended market exclusivity for GLP-1 drugs, it’s projected to generate $166 billion in extra U.S. revenue from 2026 to 2031. No generic versions are expected to reach the market before 2032.

International Price Comparisons

U.S. patients consistently pay exponentially more for the same medications than patients in other countries due to delayed generic access and weaker pricing regulations. For instance, Eliquis cost U.S. patients $521 per month in 2023, compared to $109 in Canada, $104 in the UK and $84 in Germany. Similarly, a monthly supply of Ozempic costs around $936 in the U.S., versus $169 in Japan, $147 in Canada and $69 in France.

Impact of Medicare Price Negotiations

While the Inflation Reduction Act’s Medicare Drug Price Negotiation Program could save Medicare up to $8.6 billion annually, it only offers limited relief to a small portion of Americans. Furthermore, it doesn’t address the underlying patent system, allowing brand manufacturers to continue to delay generic entry and manipulate exclusivity timelines.

Need for Comprehensive Patent Reform

Comprehensive patent reform is advocated as a feasible solution to address the root causes of inflated drug pricing in the report. Recommendations include revising the patent system to limit excessive patenting practices, reduce barriers to generic competition, and align U.S. pharmaceutical costs more closely with international benchmarks. The report warns that without these changes, Americans will continue to bear high healthcare costs and face delayed access to affordable medications.


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