Equities

Moderna vs. Pfizer in London Over mRNA Patents

Moderna sues Pfizer and BioNTech in London over mRNA vaccine patents, with billions in sales and future mRNA treatments at stake.

By Alex P. Chase

4/22, 00:11 EDT
BioNTech SE
Moderna, Inc.
Pfizer, Inc.
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Key Takeaway

  • Moderna sues Pfizer and BioNTech in London over mRNA Covid-19 vaccine patents, with trial implications for global IP disputes.
  • Financial stakes high: Moderna's $18.4B Spikevax sales vs. Pfizer/BioNTech's $37.8B Comirnaty revenue; outcome may affect profit shares.
  • Case could set precedents for future mRNA treatments, impacting development beyond Covid vaccines in areas like cancer and autoimmune diseases.

Patent Trial Commences

Moderna has initiated a legal battle against Pfizer and BioNTech in a London High Court over alleged patent infringements related to the mRNA technology used in their Covid-19 vaccines. The trial, set to begin on Tuesday, centers on two patents that Moderna claims were violated by its competitors in the development of their joint vaccine, Comirnaty. Pfizer and BioNTech counter that the patents in question are invalid. This case is part of a broader series of intellectual property disputes globally over the lucrative mRNA technology, which has significantly impacted the pharmaceutical industry's revenue streams.

Ana Santos Rutschman, a law professor at Villanova University, highlighted the dual nature of the trial as both a legal and public relations battle, emphasizing its importance in establishing a leading position in the mRNA field. The outcome of the London ruling could influence related litigation in other jurisdictions and affect the reputations of the involved companies.

Financial Stakes and Market Impact

The mRNA technology behind the Covid-19 vaccines has been a major revenue generator for Moderna, Pfizer, and BioNTech. Moderna reported $18.4 billion in sales from its Spikevax vaccine in 2022, while Pfizer and BioNTech, through their collaboration on Comirnaty, earned $37.8 billion and €17 billion, respectively. The legal dispute could potentially entitle Moderna to a portion of the profits from Comirnaty, compensating for the declining sales of Spikevax, which fell to $6.7 billion last year as demand for Covid-19 vaccines waned.

Christopher Sharp, an IP lawyer at Pinsent Masons, noted the significance of past damages due to the drop in vaccine sales, emphasizing the financial implications for both Moderna and BioNTech, which rely heavily on their Covid-19 vaccines as key products.

Broader Implications for mRNA Technology

Beyond the immediate financial implications, the patent battle has broader significance for the future development of mRNA-based treatments. The disputed patents cover foundational aspects of mRNA technology, including methods for reducing immune responses to mRNA treatments. This litigation could set precedents affecting a wide range of future products beyond Covid-19 vaccines, including potential treatments for cancer, autoimmune diseases, and other viruses.

The European Patent Office and courts in other jurisdictions have issued mixed rulings on related patents, with some decisions going against Moderna. These ongoing legal battles underscore the high stakes and complex landscape of mRNA technology development and patent rights.