Sep 28, 2017

Drug company settlement puts off competition for Humira

Humira won't have a biosimilar competitor until 2023. Photo: David Phillip / AP

AbbVie and Amgen have agreed to a deal in which Amgen won't start selling Amjevita, a cheaper alternative to Abbvie's blockbuster drug Humira, in the U.S. until 2023. All litigation between the two firms over the drugs also will be dropped, the drug companies said Thursday.

Why it matters: Humira is the top-selling drug in the world. The settlement grants AbbVie another five-plus years of monopoly pricing in the lucrative U.S. market, where drug costs continue to rankle the public. AbbVie released a statement this week saying it will "act responsibly with respect to drug pricing" even though executives recently told investment bankers they may go back to large, multiple price hikes per year.

Correction: AbbVie is granting a license to Amgen, not making payments. Terms of the deal aren't being disclosed.

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Mark Zuckerberg: Social networks should not be "the arbiter of truth"

Photo: Drew Angerer/Getty Images

Facebook CEO Mark Zuckerberg argued on CNBC's "Squawk Box" Thursday that social media platforms should not police political speech, and that "people should be able to see what politicians say.”

Why it matters: Zuckerberg was responding to Twitter's decision this week to fact-check a pair of President Trump's tweets that claimed that mail-in ballots are "substantially fraudulent." Twitter's label, which directs users to "get the facts" about mail-in voting, does not censor Trump's tweets.

House Democrats pull FISA reauthorization bill

Speaker Nancy Pelosi. Photo: Saul Loeb/AFP via Getty Images

House Democrats pulled legislation Thursday that would have renewed expired domestic surveillance laws and strengthened transparency and privacy protections amid broad opposition from President Trump, House GOP leadership and progressive Democrats.

Why it matters: The failure to reauthorize the Foreign Intelligence Surveillance Act (FISA) comes as Trump continues to attack the intelligence community, which he claims abused the law to surveil his 2016 campaign and Trump administration officials.

U.S. GDP drop revised lower to 5% in the first quarter

Data: Bureau of Economic Analysis; Chart: Axios Visuals

The U.S. economy shrunk by an annualized 5% in the first quarter — worse than the initially estimated 4.8% contraction — according to revised figures released by the government on Thursday.

Why it matters: It's the worst quarterly decline since 2008 and shows a huge hit as the economy was just beginning to shut down because of the coronavirus. Economists are bracing for the second quarter's figures to be the worst ever — with some projecting an annualized decline of around 40%.

2 hours ago - Economy & Business