Merck Prepares for Patent Cliff with Robust Pipeline

Merck's diversified portfolio is expected to shield it from the impending patent cliff of its key oncology drug, Keytruda. The US patents for this high-margin treatment are set to expire in the late 2020s, but analysts anticipate that pipeline launches will mitigate sales declines during a two-year period between 2029 and 2030.

The company's recent shift in its drug development strategy has yielded promising new treatments. This change is likely to yield important new drugs and ensure strong returns on invested capital over the long term.