COVID-19 Vaccine Makers Under Fire for IP Rights Decision

Strategic Insights -

As the COVID-19 vaccination gap continues to widen between rich and poor countries, leading vaccine makers are facing mounting pressure to waive intellectual property rights on their shots. According to a new report by Amnesty International, AstraZeneca, BioNTech, Johnson & Johnson, Moderna, Novavax, and Pfizer have refused to waive IP rights, thereby "fueling an unprecedented human rights crisis." With the backing of the World Health Organization (WHO), Amnesty International is campaigning for 40% of people in low- and lower-middle income countries to be vaccinated by the end of 2021.

Key Takeaways:

  • The vaccination gap between rich and poor countries is widening, with 55% of people in rich countries being fully vaccinated, compared to less than 1% in low-income countries.
  • Vaccine makers have delivered 5.76 billion doses worldwide, but only 0.3% have gone to low-income countries.
  • Amnesty International is calling on the six companies to deliver 2 billion doses to low- and lower-middle countries before the end of the year.
  • Pfizer, BioNTech, and Moderna are set to collect $130 billion in revenues through next year, despite the vaccine Shortage.
  • The companies maintain that they are in the best position to produce large amounts of doses and that other companies would need to learn how to scale up their production procedures and compete for scarce raw materials.

U.S. President Joe Biden is set to unveil a plan to vaccinate 70% of the world's population by next September, and has privately urged Moderna and Pfizer to license their shots to make them more available in low- and middle-income countries. The New York Times reports that the administration has been in talks with the companies to resolve the issue.

Statistics:

  • 55% of people in rich countries are fully vaccinated (Amnesty International report).
  • Less than 1% of people in low-income countries are fully vaccinated (Amnesty International report).
  • 5.76 billion doses of vaccines have been delivered worldwide (Amnesty International report).
  • 0.3% of delivered vaccines have gone to low-income countries (Amnesty International report).
  • $130 billion in revenues are set to be collected by Pfizer, BioNTech, and Moderna through next year (Amnesty International report).
  • 2 billion doses are needed to meet Amnesty International's campaign goal for low- and lower-middle countries (Amnesty International campaign).
  • 70% of the world's population is set to be vaccinated under President Biden's plan (The New York Times).

Sources:

  • Amnesty International report (https://www.amnesty.org/en/wp-content/uploads/2021/09/POL4046212021ENGLISH.pdf)
  • FiercePharma article (https://www.fiercepharma.com/pharma/moderna-ceo-says-he-s-not-losing-any-sleep-over-biden-s-endorsement-for-covid-19-ip-waiver)
  • The New York Times article (https://www.nytimes.com/2021/09/22/us/politics/covid-vaccine-moderna-global.html)
  • BusinessWire article (https://www.businesswire.com/news/home/20210922005421/en/Pfierzeralditor-pharmac-uexpand-collaboration-with-u-s-to-prodives)