The world of weight loss drugs is undergoing a seismic shift, with the United States at the epicenter of a transformation that could alter the landscape of obesity treatment for decades to come. On November 6, 2025, the Trump administration announced a landmark agreement with pharmaceutical giants Eli Lilly and Novo Nordisk, aiming to slash the monthly prices of GLP-1 weight loss medications by hundreds of dollars—a move that could make these highly effective drugs accessible to millions more Americans. But as the U.S. government and industry heavyweights push to increase access, experts caution that cost reductions alone may not be enough to stem the nation’s obesity epidemic.
Obesity remains one of the most pressing public health issues in the United States. According to the Centers for Disease Control and Prevention, about 40% of U.S. adults—more than 70 million people—meet the criteria for obesity, defined by a body mass index (BMI) greater than 30. The consequences of this crisis are profound, driving up rates of diabetes, heart disease, and other chronic illnesses, while straining the health care system and the economy.
For years, Americans have been bombarded with weight-loss solutions, from fad diets to miracle supplements, most of which lack any scientific backing. However, the emergence of GLP-1 medications—originally developed to treat Type 2 diabetes—has dramatically changed the equation. These drugs mimic the natural hormone glucagon-like peptide-1, which regulates blood sugar and suppresses appetite, leading to significant weight loss. Extensive research shows that GLP-1 drugs can help people shed about 15% of their body weight within six to twelve months, a result that far outpaces what’s typically achieved through lifestyle changes alone. In contrast, traditional lifestyle modifications such as calorie reduction and increased physical activity generally result in a 5% weight loss over the same period, while metabolic and bariatric surgery can lead to a 30% reduction after about 18 months.
The problem? Until now, cost has been a formidable barrier. GLP-1 drugs have carried price tags exceeding $1,000 per month for patients without insurance coverage, and many insurance plans have refused to pay for them. Unsurprisingly, a November 2025 poll from the Kaiser Family Foundation found that only 1 in 8 U.S. adults have tried a GLP-1 medication—far short of the tens of millions who could benefit. Even among those who start the drugs, more than half stop taking them within six months, most often because they simply can’t afford to continue. And the stakes are high: research indicates that stopping GLP-1 therapy typically leads to regaining the lost weight, meaning the benefits are only sustained with ongoing use.
The Trump administration’s new deal with Eli Lilly and Novo Nordisk is intended to break down this cost barrier. Beginning in early 2026, select GLP-1 drugs will be available for $350 per month or less through a government-run online marketplace, with some options as low as $150. Certain Medicare patients will pay just a $50 co-pay. Novo Nordisk is also offering its weight-loss drugs at a direct-to-consumer price of $349 per month, although the highest doses of Ozempic will cost $499. These price cuts, while significant, are still substantial for many Americans—especially those from lower-income backgrounds, who experience higher rates of obesity and are often juggling other costly health conditions.
The impact of this agreement is already reverberating across the pharmaceutical industry and the broader health care landscape. The global weight loss drug market is booming, with Morgan Stanley projecting growth from $15 billion in 2024 to a staggering $150 billion by 2035. About 11% of the 1.3 billion eligible people worldwide are now taking weight-loss drugs, including 20% of eligible patients in the U.S. and 10% elsewhere. The expansion is being driven not just by consumer demand, but also by growing employer drug coverage and clinical evidence that GLP-1 drugs may help prevent or treat other diseases, such as heart and kidney disease.
Industry experts are quick to point out that the sector is entering a new phase. Nazar Hembara, CEO at All Clinical Trials, likens the current moment to the smartphone market of 2015-2016. "The obesity drug market is still growing, but the novelty phase is ending and the focus is shifting to execution, scale, cost-control, and ecosystem," he explained to Benzinga. With more drug candidates entering late-stage trials and manufacturing ramping up, companies face mounting pressure to deliver at scale and keep costs sustainable. Employers and payers are increasingly scrutinizing whether the drugs can reduce downstream disease costs or if spending will simply keep rising.
The competition among pharmaceutical companies is fierce. Novo Nordisk, despite a 46% drop in share price this year, is betting on expanded access through retail partners like Costco and WeightWatchers, and is offering robust dividends to investors. Eli Lilly, meanwhile, has seen explosive growth with its Mounjaro and Zepbound drugs, reporting $10.1 billion in revenue for the third quarter of 2025—more than double the previous year. The company recently surpassed a $1 trillion market cap, a first in health care, and analysts remain bullish on its prospects. Upstarts like Viking Therapeutics are also making waves, with its VK2735 drug showing strong results in phase two trials and awaiting phase three clearance.
Yet, for all the optimism surrounding these medical advances and the government’s pricing push, experts warn that medication alone won’t solve America’s obesity problem. As one clinician and researcher put it in The Conversation, "This reduced price tag alone may not make a meaningful dent in rates of obesity in American adults without additional policy changes." The United States lacks a comprehensive national plan to prevent and treat obesity, relying instead on a patchwork of state-level initiatives and often narrowly targeted policies. Broader strategies—such as regulating ultraprocessed foods, restricting harmful ingredients, limiting marketing to children, and expanding nutrition education for health professionals—are needed to create environments that support healthy choices.
Moreover, the financial burden of long-term medication use remains daunting for many. Even with prices reduced to $150 or $350 per month, the cost adds up quickly, especially for those who must take the drugs indefinitely to maintain their weight loss. As the market matures and competition intensifies, some hope that further price drops and expanded insurance coverage will follow. But without systemic policy changes, the benefits of these drugs may remain out of reach for many who need them most.
The battle against obesity is far from over, but the recent agreement between the federal government and leading drug manufacturers marks a pivotal step. As the market expands and new therapies emerge, the challenge will be ensuring that innovation translates into real, lasting health improvements for all Americans—not just those who can afford the latest breakthrough.
