Opinion: STAT+: Philanthropy can help create a healthier biotech ecosystem

Small, early-stage biotech startups are the heart of drug innovation in the U.S. Growing anti-competitive challenges threaten their work, but philanthropy may offer an avenue forward.

At the center of these challenges is the U.S. patent system and how it incentivizes anti-competitive behavior among the most powerful players. The argument is that patents — meant to spur innovation — are being gamed by drug manufacturers to extend monopoly profits and exclusivity, stifling competition. This behavior ranges from taking advantage of patent laws to downright illegal pay-for-delay schemes.

In short, patent gaming and anti-competitive practices, along with some other factors, have left small biotech companies with skyrocketing bankruptcies and increasingly less options for recourse.

Continue to STAT+ to read the full story…