Compounded Solutions Face Market Challenges

Digital health companies are leveraging compounded GLP-1 medications for weight loss, significantly undercutting traditional prices and competing effectively against brands like Ozempic. However, as Eli Lilly and Novo Nordisk work to expand their supply and enforce patents, the viability of these compounded alternatives is threatened. While some startups, like him's and her, aim to maintain their compounded supply due to owning the supply chain, others, like Sesame, express legal concerns and plan to transition to brand-name drugs when available, which will come at a higher cost. The future of this market remains uncertain as regulatory and supply factors evolve.