Chuck Kesler
Robert ReichModerna is planning to charge $130 for its COVID vaccine, but the vaccine only costs $2.85 to make.
Meanwhile, over the last two years, the company made over $19 billion in profits off the vaccine.
Folks, this is what corporate greed looks like.
Edward Kennedy@rbreich I totally agree with you about the disparity between cost to make versus the sale price. That being said, I am curious how much the research of the vaccine cost Moderna.
Krister Renaud@ekennedy80 @rbreich Moderna got over $1bn from operation warp speed and has sold a LOT of doses. There is no chance that they aren't already making a big profit.
@krenaud @rbreich That’s what I am thinking. The American people shouldn’t be gouged especially since we helped fund the rollout of the vaccine. I am more curious about the cost of the underlying technology, mRNA platform, that was researched for at least a decade before implementing a COVID vaccine.
@rbreich @ekennedy80 reading this it sounds like the companies should have been able to recover those costs too considering others have provided some of the research.
vakaren52@ekennedy80 @krenaud @rbreich government funded scientist contributed to the mRNA solution.
@dlenares@ekennedy80 @krenaud @rbreich
My understanding is that they were not investing in research on the underlying technology because infectious diseases were not profitable before COVID and Operation Warp Speed. The US government paid for the research.
My understanding is that they were not investing in research on the underlying technology because infectious diseases were not profitable before COVID and Operation Warp Speed. The US government paid for the research.
@ekennedy80 @krenaud @rbreich
I don't have a source for this but a friend is in research admin at Moderna and she mentioned it years ago.
I don't have a source for this but a friend is in research admin at Moderna and she mentioned it years ago.
Flip them all@krenaud @ekennedy80 @rbreich What I've never understood is why the government doesn't put the patent in the public domain whenever they've funded the R&D.
@rbreich @JYeo18 @ekennedy80 or even better, licence the tech for free, but requiring the licensees to give back to the public in some way.
WTF@JYeo18 @krenaud @ekennedy80 @rbreich
For the COVID vaccine in particular because the government paid for the development
For the COVID vaccine in particular because the government paid for the development
Jule@JYeo18
That is exactly what would be the right thing to do.
UdieA list of recent transactions by insiders, e.g. mainly officers and large share owners.
Zakyfarms@ekennedy80 @rbreich the govt funded the development I think.
LadyUnicornEJG@ekennedy80 @rbreich after the literal billions the government gave them? I doubt all that much out of their own pockets, so to speak.
Daniel Wurzbacher@ekennedy80 @rbreich Not much, that was (reasonably) funded by the government.
tjgillis@ekennedy80 @rbreich not American but I recall seeing that a couple of billion $ were given to moderna for them to perform the research needed. And I would be shocked if what they based their vaccine off wasn't publicly funded as well.
@ekennedy80 @rbreich It doesn’t matter. It should be free.
Dancingwiththebeloved@ekennedy80 @rbreich my understanding is that their research was funded by the government
LindaNYC2VT Ⓥ 🌊🐖🐄🐓🦃🐬🐝🦋🦇@rbreich It’s what a government owned and operated by greed and greedy corporations looks like. Until we get REAL campaign finance reform, nothing will change.
SellaTheChemist@rbreich Maybe they’re trying to turn their vaccines into Veblen goods.
lolonurse@rbreich
And we all thought they were humanitarians. Ha!
And we all thought they were humanitarians. Ha!
Shachihoko@lolonurse @rbreich Corporations would literally eat people if there was enough profit in it, so ...
@rbreich Curious what the pandemic will look like going forward as they restrict supply on vaccine availability through price. A lot of healtchare systems are struggling as it is.
Judeau (EatTheRich)@gonecanadien @rbreich This is the first thing that I thought of after reading Roberts toot.
I'm not sure what my healthcare provider is going to cover of that $130.00 cost.
If the price is not mostly paid up by healthcare, I could see many people deciding to not get the vaccine/ booster anymore.
chickenbert has moved@rbreich
yet the media will keep saying it's inflation, when the cost of everyday goods is driven by corporate greed.
yet the media will keep saying it's inflation, when the cost of everyday goods is driven by corporate greed.
KanaMaunaAnd that is how you keep a pandemic going indefinitely. May their board reap what they sow.
johnnyrsj@rbreich this the American Dream-yes you can ‘make it’ but that will undoubtedly be at the expense of others
Lawrence Of Alaska@rbreich let’s make a nasty virus, release it and sell the vaccines, makes sense
littlebigfred@rbreich "but the vaccine only costs $2.85 to make."
But they spent a bit of money on R&D to come up with the vaccine.
It takes a second to cut with a scalpel, but twelve years to become a surgeon
Doga@littlebigfred @rbreich Are you referring to public as “they” given most of the R&D funds were provided via federal grants?
Roy Brander🍁Reich didn't say they made $19B gross; he said they made $19B *profit* ... that's after you subtract the development cost.
The pure research cost was donated to Moderna by the government, in effect.
Murray 🇪🇺 
@RoyBrander
Is $19B the profit from worldwide sales? If so, how many people worldwide have been vaccinated using Spikevax? There are 8Bn people on the planet. If just 1Bn have received at least 2 shots that would give you a profit of $9.5 per person vaccinated. More people having more than 2 courses would reduce that still further.
Whether profit should be made on medicine is another argument altogether.
@littlebigfred @rbreich
Is $19B the profit from worldwide sales? If so, how many people worldwide have been vaccinated using Spikevax? There are 8Bn people on the planet. If just 1Bn have received at least 2 shots that would give you a profit of $9.5 per person vaccinated. More people having more than 2 courses would reduce that still further.
Whether profit should be made on medicine is another argument altogether.
@littlebigfred @rbreich
@littlebigfred @rbreich they got about 10 billion from the US government already, much of which to cover that R&D.
Justin@rbreich how much did Moderna take from the U.S. government? If they took any $ then the deal should have been structured to give the money back plus adequate returns.
🇺🇦PsiPhi 🦉🔬@rbreich
To be a little bit fair they have to account for the R&D for all the drugs that flop and end up losers. They have to have make up for that, pay their overhead and still turn a profit. Obviously greed/ profit motive is there, they’re not a charity, but without such big rewards companies won’t risk the billions needed to create such complex vaccines in the first place. Don’t know what a fair price should be for the risk. Too low & companies won’t enter the market & no vax.
To be a little bit fair they have to account for the R&D for all the drugs that flop and end up losers. They have to have make up for that, pay their overhead and still turn a profit. Obviously greed/ profit motive is there, they’re not a charity, but without such big rewards companies won’t risk the billions needed to create such complex vaccines in the first place. Don’t know what a fair price should be for the risk. Too low & companies won’t enter the market & no vax.
@rbreich
There are competitor vaccines that people can buy that ought to keep prices down in a competitive market.
And how long does this patent last?
Once it’s up generics will likely come on the market and the price for this specific vax will drop unless there are constant mutations.
This is a bit different than say insulin needed constantly or a one of a kind drug that cost $60k per treatment.
where I live in the Czech Republic the state sets caps on drug prices and pharma companies still do very so, there’s that too. You have to balance what’s moral with what maintains a healthy market.
We have the luxury of being a small market sort of free riding on research and profits from profits of international companies though.
The government funds like all investors should be treated fairly and given appropriate returns on investments and because it’s a medicine, recipients shouldn’t be exploited/ extorted. It’s oversimplified but these are the basic ethics we should be able to agree on.
@ladyunicornejg @rbreich
And of course the governments provide all sorts of infrastructure and services that benefit these companies so taxes and mutual benefit must be ensured
And of course the governments provide all sorts of infrastructure and services that benefit these companies so taxes and mutual benefit must be ensured
Old profile, new has B+W picThis is capitalism in action.
This is why the world is burning down while poverty spreads like a terminal cancer
Almad@rbreich How much was the research?
@rbreich after a quick Google search, Moderna took a cool $1 billion in research funding. Then the U.S. paid to get hundreds of millions doses. I can think of umpteen structures for the benefit of the taxpayers.
TC Won't Give In To Lies@rbreich
But...but...inflation ...
But...but...inflation ...
Tom@rbreich No, this is what lack of competition looks like. We shouldn’t shame companies for being greedy: that’s just the way they work. We should rather shame our governments for not having good enough competition policies.
Packets and Bolts@Sosialliberal @rbreich The corporations run the government. It is called regulatory capture. The agencies "watching over them" are run and funded by the industry and industry insiders. We live in an oligarchy. The people need to elect real people and not the typical politicians we keep in office...