Study: R&D just 22 percent of spending by largest drug makers
The largest U.S. pharmaceutical and biotech companies spend just 22 cents out of every dollar on research and development, according to an released today by the Campaign for Sustainable Rx Pricing. The study, conducted in partnership with GlobalData, combined publicly available financial disclosures with market research on sales and marketing spending for the 10 largest U.S.-based pharmaceutical and biotech companies for which prescription drug sales represented at least half of revenue. 鈥淏ig Pharma likes to hide behind R&D as an excuse for price-gouging American patients and exploiting monopolies, but the math just doesn鈥檛 add up,鈥 said CSRxP Executive Director Lauren Aronson. 鈥淏ig Pharma is investing more boldly in profits, advertising and corporate overhead than in researching new cures.鈥 The AHA is a founding member of CSRxP.