S2 #15: PBMs' Billions: FTC Report on Specialty Drug Markup

The Federal Trade Commission (FTC) report reveals that the three largest Pharmacy Benefit Managers (PBMs) earned over $7.3 billion from 2017 to 2022 by excessively marking up specialty generic drugs, sometimes by over 1,000 percent. This price inflation disproportionately affected medications for serious illnesses. The FTC also discovered that PBMs favored their own pharmacies over independent ones, suggesting potential manipulation of the market for increased profits. The ongoing FTC investigation seeks to address these practices and protect both consumers and independent pharmacies from unfair pricing. The report's findings highlight concerns about potential anti-competitive behavior within the pharmaceutical industry.