Ozempic Shortage Exposes FDA Challenges—but Telemedicine Offers Hope

Last November, the New York Times asked, “What is Ozempic, and why is it getting so much attention?” Five months later, it answered its own question with the headline, “This is what a miracle drug looks like.”

It sure seems like it. Clinical trial results show that nearly 83 percent of patients lost clinically significant amounts of weight while using Ozempic. A quick Google search finds hundreds of success stories of patients losing weight and keeping it off. It even helps people with type 2 diabetes, who often battle hormonal issues while trying to lose weight.

No wonder over 25,000 patients started using Wegovy (the same drug as Ozempic, but dosed differently) every week by mid-2024. It is also unsurprising that all weight loss injection treatments have been in short supply ever since. By October 2024, the shortage left many patients in a “living hell” scenario. Some were unable to continue or finish their treatment—regaining weight, undergoing dangerous weight fluctuations (which can cause cardiovascular damage), and failing to meet BMI thresholds for surgical procedures. 

The government certainly has not helped an already challenging situation. First, the Food and Drug Administration allowed compound pharmacies to make “copy-cat” versions of weight loss drug injections. This decision was met with a lawsuit—which is still ongoing. The agency also decided to take Mounjaro and Zepbound (Ozempic substitutes) off their shortage list. Industry professionals criticized the decision for coming “without notice, without soliciting input from affected parties and the public, and without meaningful rationale.”

Even when drug producers can ramp up supply, confusion over whether “copy-cat” versions are prescribable and which brand-name drugs are actually available will continue to make life challenging for doctors, pharmacies, and patients. 

Fortunately, while the broader healthcare system and FDA flounder, telemedicine is hard at work—bringing pioneering medicine to patients. 

Direct-to-consumer telemedicine company Ro has developed a national GSL-1 (the weight-loss agent found in Ozempic) supply tracker to report which weight-loss drugs are available and at which locations. This impressive tool is available to everyone. Ro also provides customers access to nurses and other qualified professionals who can help guide medical decisions when treatment is interrupted or requires using a different drug.

Since Ozempic and similar treatments can cost nearly $1,000 a month without insurance or insurance coverage, other telehealth and telemedicine companies are helping patients afford lower prices. To name a few, HIMS, Lemonaid Health, Henry Health, and Sesame have partnered with compound pharmacies to provide patients with direct access to cheaper versions of Mounjaro and Zepbound. Amazon Clinic—the telemedicine service associated with Amazon Pharmacy—allows patients to compare prices for weight loss treatments by brand. 

As an indirect consequence of telemedicine’s ingenuity, some brand-name producers have lowered their prices. Facing greater competition to reach patients, Eli Lilly reduced the price of Zepbound by about 50% and began offering a single-dose vial option. The vials are often less cumbersome to use than auto-injector pens and easier to manufacture, allowing for quicker production. 

We do not know when these shortages will officially end, what the outcome of the “copy-cat” lawsuit will be, or whether these shortages will happen again as these drugs become even more popular. We do know when these and other problems arise, competition works to provide solutions. Telemedicine is doing exactly that. 

Raymond J. March is a Research Fellow and Director of FDAReview.org with the Independent Institute. He is also an Assistant Professor of Economics at Angelo State University where he is the Assistant Director of the Free Market Institute, Assistant Research Professor at Texas Tech University, Public Choice and Public Policy fellow with the American Institute for Economic Research, and an affiliated scholar with the Challey Institute for Global Innovation and Growth. His research has appeared in Health Economics, Southern Economic Journal, Public Choice, Research Policy, Food Policy, Journal of Institutional Economics, The Independent Review and other academic outlets. His popular articles have appeared in Fortune, Washington Examiner, National Interest, Washington Times, Sun Sentinel, The Hill, Real Clear Health, Medical News Daily. He earned his Ph.D. from Texas Tech University.
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