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Tesla Plunges Most in a Year on Investor Angst Over AI Spending · Bloomberg Intelligence

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  Speaker 1: Bloomberg Audio Studios, podcasts, radio news. You're listening to the
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  Speaker 1: Bloomberg Intelligence Podcast. Catch us live weekdays at ten am
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  Speaker 1: Business App. Listen on demand wherever you get your podcasts,
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• 0:24
  Speaker 2: Tessa reported some numbers last night. The profit tumbled despite
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  Speaker 2: strong electric vehicle deliveries in the most recent quarter, and
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  Speaker 2: that's putting pressure on Elon musk Plant to refocus the
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  Speaker 2: company on artificial intelligence and robots. Kevin China joins us here,
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  Speaker 2: director of research for the Presidio Group who's been found
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  Speaker 2: in the auto industry for decades. Here, Kevin, I'm not
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  Speaker 2: sure Tesla's even an auto company anymore. How are you
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  Speaker 2: viewing what you heard last night from Elon and company.
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  Speaker 3: Yeah, Look, there was a lot of automotive type results
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  Speaker 3: in that release, right, and you talked about it. Volume
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  Speaker 3: that you buy is not necessarily demand, right, Like, that's
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  Speaker 3: spend and you saw mix deteriorate, right, and so margins compress.
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  Speaker 3: So selling more things at lower margin is not necessarily
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  Speaker 3: the way, although it is common in the auto industry
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  Speaker 3: for manufacturers, you know, over the decades, and that's how
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  Speaker 3: that happens. Best thing though about that is that you
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  Speaker 3: did not see them compress margins and not get the volume.
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  Speaker 3: At least they got the volume, but it winds up
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  Speaker 3: doing more harm than good to your pricing and your
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  Speaker 3: profit dynamics when that happens.
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  Speaker 4: Though Kevin Tessa has been promising for years a cheap
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  Speaker 4: or affordable EV, a lower cost EV. Does that even
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  Speaker 4: matter to the companies that are priority at this point?
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  Speaker 4: I mean, it feels like the company has so deemphasized
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  Speaker 4: its traditional auto business that people don't care about it,
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  Speaker 4: and I wonder if the company cares about it.
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  Speaker 3: Well, two things Scarlett like one I would say is that, look,
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  Speaker 3: if you're having problems with margins and mix, the answer
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  Speaker 3: is not a more affordable vehicle, right because fair material costs,
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  Speaker 3: input costs, production costs are all inflating. The answer is
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  Speaker 3: not to get to twenty five thousand dollars. That actually
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  Speaker 3: compounds the problem. But yeah, as a passenger car company,
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  Speaker 3: you know, I obviously the narrative is not that and
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  Speaker 3: it's probably not the way forward for this company going forward.
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  Speaker 3: So you know the idea of maybe more models they're
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  Speaker 3: going in the other direction, right models, Model X production
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  Speaker 3: is ceased. Now you're talking about three name plates, Y
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  Speaker 3: three and Cybertruck for what that's worth. So you know,
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  Speaker 3: not acting like an automaker that's putting product in all
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  Speaker 3: segments and able to grow volume that way healthy through
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  Speaker 3: more demand. It's really about mix, price reductions, discounting and
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  Speaker 3: exporting cheaper products to other parts of the world.
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  Speaker 5: Kevin.
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  Speaker 2: I read a really interesting article over the weekend, I
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  Speaker 2: think was in the New York Times about the kind
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  Speaker 2: of the US automakers, how they've pivoted back to what
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  Speaker 2: actually makes money for them, which are trucks and SUVs
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  Speaker 2: and de emphasizing their EV businesses. And while that's good
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  Speaker 2: for near term intermediate term profitability, they fall they run
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  Speaker 2: the risk of falling behind the rest of the world
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  Speaker 2: in terms of EV technology. How do you think the
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  Speaker 2: US auto companies are thinking about that EV strategy longer term?
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  Speaker 3: Yeah, Look, and the products are there, the technology is there,
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  Speaker 3: But to your point, the profitability is and look, and
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  Speaker 3: as a global manufacturer of really anything, you want to
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  Speaker 3: share as many platforms parts as you can. But the
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  Speaker 3: demand profile in each country, if not region, and it's
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  Speaker 3: not the same you know, where money is made here
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  Speaker 3: are on big trucks and SUVs, pickups and SUVs. The
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  Speaker 3: small products that work in maybe Europe or even in China, India,
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  Speaker 3: they don't make sense here and they don't make money.
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  Speaker 3: So the idea that falling behind on EV necessarily matters
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  Speaker 3: if profit is the driver here. You know, I'm not
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  Speaker 3: sure why we need to go toe to toe on
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  Speaker 3: EV anymore than we already are or tried if the
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  Speaker 3: profitability isn't there. I get maybe it's technology shaming, you know,
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  Speaker 3: by the rest of the world that says you're not
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  Speaker 3: keeping up, But it's not what our demand profile in
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  Speaker 3: this country looks like. We're not going to out export China.
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  Speaker 3: We're not a low cost manufacturer. So the idea that
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  Speaker 3: we're going to overtake China in EV, in export or domestically,
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  Speaker 3: it's just not going to happen.
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  Speaker 6: To me.
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  Speaker 3: That fight is already over. So I think manufacturers probably
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  Speaker 3: for the time being, need to be doing what makes
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  Speaker 3: money and enables them to innovate from there.
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  Speaker 4: We already see it with people in California facing six
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  Speaker 4: dollars gallon gas, and now you have the iron war
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  Speaker 4: flaring up again. And oil prices are back up again.
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  Speaker 4: At some point the consumer behavior is going to tip over,
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  Speaker 4: isn't it.
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  Speaker 3: Well, the consumer can only buy what the manufacturer is
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  Speaker 3: building right and selling to the dealerships, and those products
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  Speaker 3: tend to be what makes the manufacturer money. This is
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  Speaker 3: really a push market on the supply side from the manufacturer,
• 5:35
  Speaker 3: and what you're talking about is the pull side. So ultimately,
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  Speaker 3: and the difference between say the US and China in
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  Speaker 3: terms of EV adoption is subsidizing your manufacturers, which we
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  Speaker 3: don't and probably won't do here. So if you have
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  Speaker 3: a manufacturer looking at an EV platform that loses i
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  Speaker 3: don't know, five figures ten, fifteen thousand dollars per unit,
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  Speaker 3: you just don't have the motivation to build it. Now
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  Speaker 3: the government makes you whole by subsidizing your losses. It's
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  Speaker 3: a different story, which is what happens with Chinese manufacturers.
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  Speaker 3: But ultimately, the automakers are going to go where their
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  Speaker 3: profit is, and evs, even for Tesla, have proven that
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  Speaker 3: they're just not there. We don't own any of the
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  Speaker 3: supply chain either, China does, so the idea that this
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  Speaker 3: gets more cost effective going forward is also a difficult
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  Speaker 3: case to make stay with us.
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  Speaker 4: More from Bloomberg Intelligence coming up after this.
• 6:33
  Speaker 1: You're listening to the Bloomberg Intelligence podcast. Catch us live
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  Speaker 1: weekdays at ten am Eastern on Apple, Cocklay and Android
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• 6:44
  Speaker 1: you get your podcasts, or watch us live on YouTube.
• 6:47
  Speaker 2: All right, let's talk technology. Google reported numbers after the close.
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  Speaker 2: The kids call it alphabet, but those of us who
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  Speaker 2: were there at the beginning, we're sticking with Google and.
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  Speaker 6: The Capex numbers.
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  Speaker 2: First of all, the operating numbs looked good to me,
• 7:00
  Speaker 2: don't know, but the Capex raised maybe spookings some people.
• 7:03
  Speaker 2: And Indh Sing he's part of that whole technology cabal there.
• 7:07
  Speaker 2: He runs it for Bloomberg Intelligence. And you give us
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  Speaker 2: your overview of kind of what you heard what you
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  Speaker 2: saw from Google last night.
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  Speaker 6: Yeah, I mean, the entire call was about Google Cloud
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  Speaker 6: and TPUs. Not even one question on the Core ads
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  Speaker 6: search business, which is surprising, you know, given how the
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  Speaker 6: calls used to be. But look, they talked about how
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  Speaker 6: supply constraints remain when it comes to AI data center capacity.
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  Speaker 6: They're actually renting data center compute from third party providers
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  Speaker 6: despite all this more compute than had Google for Yeah,
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  Speaker 6: but they want more because right now anybody who was
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  Speaker 6: early to invest in power and computing and data center
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  Speaker 6: capacity is looking like a genius.
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  Speaker 2: Who are those people?
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  Speaker 6: These hyperscalers?
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  Speaker 2: So Google's renting space from.
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  Speaker 6: From SpaceX potentially Meta. Again they didn't specify.
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  Speaker 4: But Meta has data centers to spare like, That's what
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  Speaker 4: I don't understand.
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  Speaker 6: They don't have a model which is comparable to an
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  Speaker 6: anthropic or Gemini, And so right now they are following
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  Speaker 6: the SpaceX playbook, which is if you rent your one
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  Speaker 6: gigabot compute, you can generate up to a twenty billion
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  Speaker 6: dollars in rental revenue just by renting the compute, nothing
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  Speaker 6: by being a landlord, by being a landlord for your compute.
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  Speaker 4: Yeah, at what point is investing in all this too much?
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  Speaker 4: I mean, right now, investors have been following this guideline
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  Speaker 4: of as long as I see a return on this,
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  Speaker 4: as long as it's paying off. But at some point
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  Speaker 4: is it just too much and investors will walk?
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  Speaker 6: I think so we will hit that point. But Google
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  Speaker 6: also said they will be significantly raising their compute for
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  Speaker 6: twenty twenty seven, so there is a Foliar guide for
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  Speaker 6: twenty six by about ten fifteen billion dollars at the
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  Speaker 6: mid point, and then they said twenty twenty seven would
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  Speaker 6: be a significant increase. Now, my interpretation of significant is
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  Speaker 6: it's at least fifty percent, because this year was one
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  Speaker 6: hundred percent. Wow, their capex doubled in twenty twenty six.
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  Speaker 4: Fifty percent increase equals significant increase at least.
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  Speaker 6: Yes, So it's it's not changing anytime soon to your question. Yeah,
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  Speaker 6: all right.
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  Speaker 2: So I'm looking at the FA function on the Bloomberg terminal, folks,
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  Speaker 2: which gives you a financial analysis. That's what it stands
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  Speaker 2: for capex for this company Google in twenty twenty two,
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  Speaker 2: capex was thirty billion in twenty twenty six, expected to
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  Speaker 2: be almost call one hundred ninety billion going to too
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  Speaker 2: eighty next year. There ain't no free cash flow oft
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  Speaker 2: for this company, which was a free cash flow juggernaut.
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  Speaker 6: Yeah, they were negative free cash flow even for this quarter,
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  Speaker 6: first time ever, right, first time ever. So and they
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  Speaker 6: just did an equity raise eighty five billion dollars. So,
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  Speaker 6: and the justification is, we we'll invest significantly in training
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  Speaker 6: our own model Gemini for and you know, the cloud
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  Speaker 6: business really is super strong. So eighty two percent growth
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  Speaker 6: when you have one hundred billion dollar business, it's like,
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  Speaker 6: show me any other company that's growing eighty percent at
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  Speaker 6: one hundred billion dollar rundering.
• 10:19
  Speaker 4: Stay with us more from Bloomberg Intelligence coming up after this.
• 10:26
  Speaker 1: You're listening to the Bloomberg Intelligence podcast. Catch us live
• 10:30
  Speaker 1: weekdays at ten am Eastern on Apple, Cocklay and Android
• 10:33
  Speaker 1: Auto with the Bloomberg Business app. Listen on demand wherever
• 10:36
  Speaker 1: you get your podcasts, or watch us live on YouTube.
• 10:41
  Speaker 2: Let's switch gears towards the media space. Lots of news
• 10:43
  Speaker 2: there as always. We could talk to Githa rang Andathan
• 10:45
  Speaker 2: every day if we wanted to, but she's got a
• 10:47
  Speaker 2: day job. She covers the media stocks for Bloomberg Intelligence. Hey, Keith,
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  Speaker 2: let's just start with Comcast A they reported numbers here,
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  Speaker 2: give us like a couple of notes on on their quarter.
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  Speaker 2: But more importantly, what do you think the strategy is
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  Speaker 2: of the Comcast company going forward?
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  Speaker 5: Yeah? Thanks so much, Paul for Comcasts. Really, as you
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  Speaker 5: pointed out, it's more about the strategy than the second
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  Speaker 5: quarter results. But just a few you know, high points
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  Speaker 5: from the results. So remember they are the largest broadband
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  Speaker 5: provider in the United States, they have about a twenty
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  Speaker 5: five percent share of the market, but that share has been,
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  Speaker 5: you know, rapidly declining, and we continue to see that
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  Speaker 5: in the numbers today. So they again lost broadband subscribers.
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  Speaker 5: And really, I mean, I think what investors are focused on, Paul,
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  Speaker 5: is that you know, this story is not getting any better.
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  Speaker 5: So over the past four years, we've seen intense competition
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  Speaker 5: from the telecoms, both on the fixed wireless side as
• 11:37
  Speaker 5: well as fiber, and then now this year you have
• 11:40
  Speaker 5: this new competition with Starlink, and you know, just with
• 11:45
  Speaker 5: kind of the expansion in V three satellites next year,
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  Speaker 5: the expansion in broadband capacity, there is so much fear
• 11:52
  Speaker 5: on the street that Starlink is going to become another
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  Speaker 5: big competitor for cable, and so just the story doesn't
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  Speaker 5: get any better now. Comcast, what they've done is they
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  Speaker 5: have altered their go to market strategy by becoming much
• 12:06
  Speaker 5: more competitive in terms of broadband pricing. But that obviously
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  Speaker 5: has resulted in EBITDA getting crushed, and so we saw
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  Speaker 5: it again fall about six percent this quarter. Again they're
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  Speaker 5: pointing to the story getting slightly better in the second
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  Speaker 5: half but again it's a little bit of a wait
• 12:22
  Speaker 5: and watch longer term. I just don't think investors are
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  Speaker 5: optimistic about this cable broadband turnaround at all.
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  Speaker 4: Okay, so it's kind of like managing the decline of
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  Speaker 4: its business right now, it's main business. What's is the
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  Speaker 4: company offering up any kind of growth story for investors
• 12:40
  Speaker 4: to get excited about.
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  Speaker 5: Yeah, I'm glad you asked that. Actually they did that
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  Speaker 5: just three weeks ago, Scarletts. So you know, they are
• 12:48
  Speaker 5: an interesting company because they're a vertically integrated media company.
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  Speaker 5: So of course broadband makes up eighty five percent of
• 12:54
  Speaker 5: their ebit dah, but they do have a great media
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  Speaker 5: business with NBC. They announced plans just a few weeks
• 13:01
  Speaker 5: ago to actually separate out that media business, which is,
• 13:04
  Speaker 5: you know, the NBC NBC Universal business along with Sky,
• 13:08
  Speaker 5: into a separate company, which is supposed to happen sometime
• 13:11
  Speaker 5: next year. Now, the whole story here has been that
• 13:14
  Speaker 5: with you know, the whole Warner Brothers bidding war. Media
• 13:17
  Speaker 5: assets have actually they're actually being really played up. And
• 13:21
  Speaker 5: if you look at comcasts NBC for instance, you know,
• 13:24
  Speaker 5: just the collection of assets, it's it's a stellar collection
• 13:27
  Speaker 5: of assets. And it almost resembles a Disney, if you will,
• 13:30
  Speaker 5: because they are one of the few media companies that
• 13:32
  Speaker 5: actually has theme parks very similar to Disney. Has Studio,
• 13:35
  Speaker 5: has a broadcast network, you know, had some cable networks,
• 13:38
  Speaker 5: and has Peacock the streaming platform. And so the big
• 13:41
  Speaker 5: argument here was, you know, cable multiples have actually declined.
• 13:44
  Speaker 5: They've they've had so they've gone from you know, ten
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  Speaker 5: times EBITDA just about three four years ago to five times,
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  Speaker 5: and NBC, because it's being clubbed with Comcast, is suffering here.
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  Speaker 5: And so if you look at Disney, for instance, you know,
• 13:57
  Speaker 5: Disney trads it about nine ten times. And so the
• 13:59
  Speaker 5: question was, you know, why are we punishing NBC for
• 14:02
  Speaker 5: cable sport performance. So I think investors definitely are happy
• 14:05
  Speaker 5: about that because it now kind of shines NBC in
• 14:08
  Speaker 5: this new light and it definitely gives them some strategic
• 14:10
  Speaker 5: optionality as well.
• 14:12
  Speaker 4: Stay with us more from Bloomberg Intelligence coming up after this.
• 14:19
  Speaker 1: You're listening to the Bloomberg Intelligence Podcast. Catch us live
• 14:23
  Speaker 1: weekdays at ten am Eastern on Apple, Cocklay and Android
• 14:26
  Speaker 1: Auto with the Bloomberg Business app. Listen on demand wherever
• 14:29
  Speaker 1: you get your podcasts or watch US live on YouTube.
• 14:33
  Speaker 2: Looking at the healthcare space here, Eli Lilly, its next
• 14:37
  Speaker 2: generation weight loss shot, has cleared another hurdle that is
• 14:41
  Speaker 2: just a massive market that continues to show tremendous growth.
• 14:44
  Speaker 2: Madison Muller joins us here. She's a healthcare reporter for
• 14:47
  Speaker 2: Bloomberg News. What's going on in Eli Lilly medicine.
• 14:50
  Speaker 7: We had an important update from Lily today about when
• 14:52
  Speaker 7: it plans to file for regulatory approval for its next generation,
• 14:57
  Speaker 7: next generation weight loss shot read a true Tide, which
• 14:59
  Speaker 7: is going to be a pretty big product for Lily
• 15:03
  Speaker 7: if it ends up being approved. Already, there are a
• 15:05
  Speaker 7: lot of people seeking out black market versions of this
• 15:08
  Speaker 7: drug just because they've heard about all of the potentially
• 15:11
  Speaker 7: incredible effects, everything from thirty percent up to thirty percent
• 15:16
  Speaker 7: weight loss to liver impacts and all of these other
• 15:19
  Speaker 7: potential health benefits like anti inflammation and all of these things.
• 15:24
  Speaker 7: So Lily said that they are going to apply for
• 15:26
  Speaker 7: FDA approval sometime in the first quarter of twenty twenty seven,
• 15:29
  Speaker 7: which is a little bit later than some analysts had expected,
• 15:33
  Speaker 7: but that's just because the data package and the filing
• 15:36
  Speaker 7: that they have to put together is so big.
• 15:38
  Speaker 2: So how will this be materially different or better than
• 15:42
  Speaker 2: what's on the market right now? Because people are getting
• 15:45
  Speaker 2: really substantial weight loss and it seems to be working already.
• 15:49
  Speaker 2: What's this new and going to do?
• 15:50
  Speaker 7: Yeah, that's exactly right. I mean zep Bound, which is
• 15:52
  Speaker 7: Lily's other weight loss shot, in Wagovi, which is a
• 15:54
  Speaker 7: Nova Noordisk product, are really good and like you said,
• 15:57
  Speaker 7: people are getting a lot of success with those. Now
• 16:00
  Speaker 7: read a true Tide, which that's the sort of generic
• 16:02
  Speaker 7: chemical name. It doesn't have a brand name yet because
• 16:04
  Speaker 7: it's not approved. Combines three different gut hormones, so it's
• 16:08
  Speaker 7: GLP one, which we've all heard so much about, plus
• 16:11
  Speaker 7: another one called glucagon and another called GIP. Basically, it
• 16:15
  Speaker 7: just supercharges the drug a little bit. It targets some
• 16:19
  Speaker 7: different receptors and is maybe better for things like removing
• 16:23
  Speaker 7: fat from the liver and other health impacts. And there
• 16:27
  Speaker 7: are a certain percentage of people that don't see success
• 16:30
  Speaker 7: on the currently available GLP one, So for people that
• 16:33
  Speaker 7: need that higher degree of weight loss, this is something
• 16:36
  Speaker 7: that could be a really good product for them.
• 16:38
  Speaker 2: Can you explain to me? I see the ads all
• 16:40
  Speaker 2: over the place, Serena Williams, How are these Are they generics?
• 16:45
  Speaker 2: Are they compounds? How are they different from the stuff
• 16:48
  Speaker 2: you have to get a prescription for.
• 16:49
  Speaker 7: Yeah, well, at one point, a lot of those ads
• 16:52
  Speaker 7: that you're seeing from companies like Row and Hymns and Hers,
• 16:55
  Speaker 7: those were for compounded products. So those are products that
• 16:58
  Speaker 7: are made by compounding pharmacies, and they're not exactly the
• 17:02
  Speaker 7: same as the drugs that the pharmaceutical companies sell. They're
• 17:05
  Speaker 7: not approved or reviewed by the FDA in sort of
• 17:09
  Speaker 7: the same way. But a lot of the telehealth companies
• 17:13
  Speaker 7: have recently moved into selling the brand name medications. They
• 17:16
  Speaker 7: were really pushing the compounded versions when there were supply shortages.
• 17:21
  Speaker 7: Now those supply shortages have ended, they've moved to selling
• 17:23
  Speaker 7: the brand name medications. However, there are still a lot
• 17:26
  Speaker 7: of compounding pharmacies and a lot of smaller telehealth companies
• 17:29
  Speaker 7: that have continued to sell these cheaper compounded ones, even
• 17:33
  Speaker 7: though the FDA has said that that's not allowed anymore.
• 17:35
  Speaker 2: Interesting, what's the where are we with the oral dosage
• 17:41
  Speaker 2: that's in the market now right?
• 17:43
  Speaker 7: Yeah, it is, which was a big development this year, Wogov.
• 17:47
  Speaker 7: There's a Wogov pill. There's also another pill from Lily
• 17:50
  Speaker 7: called Fondeo. Both of those are selling really really well.
• 17:54
  Speaker 7: People are I mean, especially the Wogov pill has been
• 17:57
  Speaker 7: a huge product for Novo, which is something that really needed.
• 18:00
  Speaker 7: Novo has fallen behind Lily sort of in the weight
• 18:03
  Speaker 7: loss drug race, even though they were the ones that
• 18:05
  Speaker 7: really created this modern weight loss market with their products
• 18:08
  Speaker 7: so Zepic and WGOV. Lily leapfrogged them with some more
• 18:11
  Speaker 7: effective options and also just understanding how to sell products
• 18:15
  Speaker 7: directly to patients and build these sort of telehealth or
• 18:19
  Speaker 7: online infrastructures that were really appealing to patients. So they
• 18:22
  Speaker 7: saw that opportunity and moved into it quickly, helped them
• 18:25
  Speaker 7: sort of surpass Novo. But now Novo's come back with
• 18:28
  Speaker 7: this oral version of Agov that's extremely popular, and so
• 18:32
  Speaker 7: that's been helping them as of late. But it sort
• 18:34
  Speaker 7: of remains to be seen in the long run how
• 18:36
  Speaker 7: the pills will end up stacking up to the orals
• 18:38
  Speaker 7: because we are seeing or sorry to the shots, because
• 18:41
  Speaker 7: we are still seeing a lot of demand for the shots.
• 18:44
  Speaker 2: So it's almost I mean, who doesn't take a weight
• 18:49
  Speaker 2: loss drug that could in fact benefit from a weight
• 18:53
  Speaker 2: loss drug. What are the hurdles still?
• 18:55
  Speaker 7: Is it still cost or still is cost in the
• 18:59
  Speaker 7: sense that insurance companies are still not widely covering these
• 19:02
  Speaker 7: which is pretty different than other chronic conditions. So the
• 19:06
  Speaker 7: insurance landscape is still pretty tough for people, and that
• 19:09
  Speaker 7: can be a barrier if they I mean, the price
• 19:11
  Speaker 7: when you're paying out of pocket is still a couple
• 19:13
  Speaker 7: hundred dollars a month, So that's still unaffordable for a
• 19:15
  Speaker 7: lot of Americans, especially right now. And we've not seen
• 19:19
  Speaker 7: sort of the same insurance pickup that we would see
• 19:21
  Speaker 7: with other chronic health conditions and that we would sort
• 19:24
  Speaker 7: of expect in this market. So that's been a barrier
• 19:26
  Speaker 7: to entry. And one positive thing with that is that
• 19:30
  Speaker 7: Medicare recently started covering these drugs for people sixty five
• 19:34
  Speaker 7: and older with certain health conditions, so that's sort of
• 19:36
  Speaker 7: expected to open access to potentially millions more people. But
• 19:40
  Speaker 7: it's still like, you know, the number or the percent
• 19:43
  Speaker 7: of people that actually take these drugs that could benefit
• 19:45
  Speaker 7: from them is still pretty low.
• 19:47
  Speaker 2: Yeah, because I mean, you see somebody out on the
• 19:49
  Speaker 2: street that you would think could benefit and you wonder
• 19:51
  Speaker 2: why haven't they yeah, and I guess it's cost primarily.
• 19:55
  Speaker 2: Right now is the issue? Do the compounded Are they
• 19:58
  Speaker 2: maturely cheaper the compounds.
• 20:00
  Speaker 7: At this point? Not really. I mean at one point yes,
• 20:03
  Speaker 7: because people were paying out a pocket for the list
• 20:05
  Speaker 7: price of the drug, which drugs, which was over one
• 20:07
  Speaker 7: thousand dollars a month. The drug makers have substantially reduced
• 20:12
  Speaker 7: the cash pay costs, so now it's like two hundred
• 20:15
  Speaker 7: dollars a month and up, sort of depending on the
• 20:17
  Speaker 7: dose that you're on, which is much much cheaper. And
• 20:20
  Speaker 7: that's sort of around the same price as these compounded medications,
• 20:23
  Speaker 7: because usually for compounded medications, you're getting them from a
• 20:26
  Speaker 7: telehealth company, so you're paying a subscription fee plus the
• 20:29
  Speaker 7: cost of the drug ends up being sort of the same.
• 20:32
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