Penn Medicine has entered into a strategic partnership with Mark Cuban’s Cost Plus Drugs to improve the procurement of generic prescription medications, aiming to reduce costs and increase efficiency in pharmacy operations. This collaboration will focus on providing Penn Medicine with a selection of 100 commonly dispensed medications without the typical price markups that often burden healthcare systems.
By cutting drug costs, Penn Medicine plans to reinvest the savings into healthcare innovations, enhancing care delivery for patients. Cuban’s Cost Plus Drugs, launched in 2022 with co-founder Alexander Oshmyansky, operates as a public benefit corporation focused on transparent pricing to drive down the overall cost of medications. Cuban views this partnership as a significant step toward reshaping the future of healthcare by reducing financial barriers to essential drugs.
“This effort goes beyond savings—it empowers healthcare providers like Penn Medicine to offer better care by removing financial obstacles to necessary medications,” Cuban explained. “We’re excited to help Penn Medicine set a new standard for healthcare excellence.”
The partnership leverages the Cost Plus Marketplace, a platform developed in 2023 with GraphiteRx, which aids healthcare providers in sourcing medications at more affordable prices. This marketplace enables Penn Medicine to streamline its drug procurement, benefiting its 16 locations that fill over 1.5 million prescriptions annually.
Kevin Mahoney, CEO of the University of Pennsylvania Health System, emphasized the importance of creative cost-saving measures amid rising healthcare expenses. “We’re constantly exploring ways to be more cost-effective and simplify care delivery,” Mahoney said.
Additionally, the partnership enhances connectivity between Penn Medicine’s various pharmacy locations, enabling seamless collaboration between pharmacists and physicians. This improved coordination aims to optimize treatment plans and patient outcomes, while also strengthening the system’s ability to manage potential drug shortages in the future.
This collaboration follows Cuban’s prior discussions on the pharmaceutical industry’s pricing issues during a November 2023 fireside chat at the Leonard Davis Institute of Health Economics. Cuban’s ongoing advisory role with Penn’s blockchain accelerator program, which he has held since 2022, further solidifies his commitment to innovating within the healthcare space.
References:
- Penn Medicine News, 2025
- Mark Cuban’s Cost Plus Drugs Overview
- GraphiteRx partnership details
| Image Credit: Mark Cuban Cost Plus Drug Company | Public Domain |
