Prices for the miracle drugs that cure Hepatitis C are collapsing

When California based Gilead Sciences announced a breakthrough treatment in late 2013 that cures most kinds of Hepatitis C, people were outraged at the cost: $84,000 in total, or nearly $1,000 a pill.

There are more expensive drugs, but Gilead Science’s hepatitis drugs’—Sovaldi and Harvoni—combination of eye-popping price, sales, and patient population (100 million plus worldwide) is unprecedented (paywall).
But on February 3rd, Gilead announced in its quarterly earnings call that it expects to cut the price of its Hepatitis C drugs an average of 46% this year in the US. That’s double last year’s discount. Some government plans will pay less than half the list price for Harvoni (a Gilead follow up treatment that combines Sovaldi’s active ingredient with another drug).