Competitive Landscape: 5 Major Healthcare Players in a Struggle for the $100 Billion Weight-Loss Market

Competitive Landscape: 5 Major Healthcare Players in a Struggle for the $100 Billion Weight-Loss Market

The anti-obesity market is on track to reach a substantial $100 billion by 2030, as forecasted by Goldman Sachs analysts. The industry is witnessing increased interest from several prominent healthcare companies, intensifying competition and prospects for significant market share. Examining the landscape, let’s delve into key players and potential contenders in the weight-loss segment.

Leaders in the arena

Eli Lilly (NYSE: LLY) and Novo Nordisk (NYSE: NVO) stand as leading figures in the current weight-loss market. Eli Lilly produces Zepbound (tirzepatide), while Novo Nordisk is recognized for Ozempic (semaglutide), typically used for diabetes but also for weight loss, and Wegovy (semaglutide), specifically designed as a weight-loss drug.

These GLP-1 agonists effectively curb appetite and are gaining traction in popularity. Initial findings indicate that Zepbound, marketed as Mounjaro for diabetes, could potentially drive more weight loss than Wegovy. Clinical studies revealed tirzepatide aiding patients in shedding 26.6% of their body weight over 84 weeks, surpassing Wegovy’s 15% reduction over a 68-week period.

While the landscape is evolving, these drugs and companies appear poised to dominate the weight-loss market in the coming years.

Companies on the rise

Pfizer (NYSE: PFE) and AstraZeneca (NASDAQ: AZN) are poised as contenders vying for weight-loss supremacy. Although lacking weight-loss drugs that match Wegovy or Zepbound presently, both are actively developing potential market contenders.

Pfizer recently halted a twice-daily weight-loss drug due to significant adverse effects but remains focused on a once-daily version of danuglipron, aiming for reduced side effects. An oral pill could attract patients seeking a convenient alternative—both Wegovy and Zepbound are injectables. Eli Lilly and Novo Nordisk are pursuing oral weight-loss treatments, and Pfizer’s successful development of a safe, effective pill could propel its market standing.

AstraZeneca, despite discontinuing the GLP-1 candidate cotadutide, isn’t abandoning weight-loss endeavors. Recently, it acquired the license for ECC5004, an anti-obesity drug, from Eccogene, a Chinese-based company, with a potential value of $2 billion.

The drug’s promising aspect lies in its perceived lower side-effect profile compared to existing injectables. Entering phase 2 trials, it represents a possible underdog in the race. Although early in development, ECC5004 is a notable prospect warranting observation.