Big Pharma Battles for a $150 Billion Weight-Loss Market
Beyond the traditional leaders, companies such as Pfizer have entered the market by acquiring biotech firms with promising drug candidates.
Quick overview
- The global obesity drug market is projected to reach $150 billion annually, attracting major pharmaceutical companies and biotech startups.
- Novo Nordisk and Eli Lilly dominate the sector, but new players like Pfizer are entering through acquisitions and developing innovative treatments.
- Emerging therapies focus on oral dosing and novel mechanisms, aiming to improve patient convenience and challenge existing market leaders.
- Despite excitement in the industry, challenges remain, including mixed trial results and the threat of generic competition.
Beyond giants such as Eli Lilly and Novo Nordisk, pharmaceutical companies like Pfizer have entered the space by acquiring biotech firms.
The global obesity drug market is experiencing a frenetic race between major pharmaceutical companies and biotech startups to capture a share of what is projected to become a business worth up to $150 billion annually over the next decade.
Historically dominated by Novo Nordisk and Eli Lilly, the sector has evolved rapidly—from today’s injectable treatments to a new generation of drugs that promise oral dosing, greater effectiveness, and improved tolerability.
The rivalry between these two companies has drawn intense interest from investors, patients, and competitors alike, turning the fight against obesity into one of the most lucrative areas of the pharmaceutical industry.
Companies with diverse pipelines
Novo Nordisk, the Danish drugmaker that popularized treatments such as Wegovy and Ozempic (semaglutide), continues to expand its portfolio with experimental drugs like amycretin and CagriSema, designed to deliver better outcomes and new modes of administration.
In mid-stage trials, amycretin achieved weight loss of up to 14.5% in patients with type 2 diabetes, with side effects that were mostly mild to moderate.
CagriSema, an injectable combination of semaglutide and another peptide that enhances weight loss, delivered more modest-than-expected results in recent trials. Still, the drug remains on track to seek regulatory approval in early 2026.
Eli Lilly, meanwhile, has seen its obesity treatment propel the company’s market capitalization beyond $1 trillion, underscoring the massive economic impact of these therapies.
The company is also advancing trials of new molecules and therapeutic strategies, including drugs that could offer additional benefits in terms of efficacy.
New pharmaceutical players and oral formats
Beyond the traditional leaders, companies such as Pfizer have entered the market by acquiring biotech firms with promising drug candidates.
Following its acquisition of Metsera, Pfizer gained access to therapies under development such as MET-097i, a once-monthly GLP-1 treatment that delivered weight loss of around 14% after 28 weeks in mid-stage trials.
This approach reflects a key industry trend: the push toward oral formulations or less frequent dosing, which could improve patient convenience and expand the market beyond those willing to undergo weekly injections.
At the same time, other emerging pharmaceutical and biotech companies are exploring novel mechanisms or complementary treatments to traditional GLP-1 therapies. These include drugs targeting alternative hormonal or metabolic pathways, as well as innovations based on RNA technologies and treatments aimed at specific types of body fat. If successful in clinical trials, these alternatives could directly challenge today’s market leaders.
Despite the enthusiasm, the path forward is not without obstacles. Several candidates have posted mixed trial results, and regulators continue to demand robust safety and efficacy data before granting approval.
In addition, the growing presence of generic versions and copycat drugs—particularly in emerging markets—could put pressure on pricing and reshape competitive dynamics worldwide.
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