> Why? If you apply game theory, one of the three will try to defect and undercut the other two. Because they're playing a repeating game. AbbVie and Merck ar

> Why? If you apply game theory, one of the three will try to defect and undercut the other two. Because they're playing a repeating game. AbbVie and Merck are big pharma companies. They don't particularly want to get into a price war. It would be different if a small biotech firm were coming in. They might not get a second shot at it for a long time, so they are much more likely to undercut on price. Also, three is a low number. Defection is more likely when the number of players goes up. Of course, they're not going to come in dollar-for-dollar identical to the pricing of Sovaldi and Harvoni. However, the insurance companies seem to be hoping for some really sharp drops in price, which are less likely.