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Tuesday, Oct 15
Just how much pricing pressure will Myriad Genetics face?
- "Not everyone agrees that a race to the bottom is in the works," writes Forbes' Matthew Herper, regarding the contention that Quest Diagnostics' (DGX -0.9%) attempt to enter the BRCA testing market at a relatively low price point may mark the beginning of a trend towards sharply lower prices, a prospect that has some Myriad Genetics (MYGN -2.1%) shareholders spooked.
- "MYGN has ... other patents that were not touched by the Supreme Court decision, it controls a proprietary database of which variants in the BRCA1 and BRCA2 genes increase the risk of breast and ovarian cancer, and by how much, and it has developed a good reputation among cancer doctors and gynecologists," Herper notes.
- Nevertheless, some commentators, such as Stanford's Oncology Division Chief George Sledge maintain that "it doesn’t make much sense from a technology standpoint that [testing] should be this expensive."