Medical devices

In health care, it's still about the prices

Illustration of a price tag as an IV bag.
Illustration: Sarah Grillo/Axios

Health care executives gave no indication to bankers and investors at this year's J.P. Morgan Healthcare Conference that their pricing practices would change any time soon.

Why it matters: That sentiment comes the same week when three of the original authors of an influential 2003 article — which studied why health care is so expensive in the U.S.— published an update. Their conclusion was the same: "It's still the prices, stupid."

Abbott Labs forecasts "solid" business in China

The headquarters sign of Abbott Vascular.
Abbott makes numerous medical products, including heart devices. Photo: Smith Collection/Gado/Getty Images

Abbott Laboratories collects about 10% of its estimated $30 billion in annual revenue from China, and the health care conglomerate, known for its medical devices and infant formula, has no concerns about its Chinese business in light of Apple's relatively dismal fourth-quarter projections.

What they're saying: "We're not $1,400 iPhones," Abbott CFO Brian Yoor said at the J.P. Morgan Healthcare Conference. "Health care is a very sticky, very good place to be."

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