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Eli Lilly · Baricitinib

Olumiant: patented from NIH-funded research, then Medicare paid $35M for it in 2024

Columbia University New York Morningside reported 2 patents on this drug to NIH as inventions made with NIH grant money. Eli Lilly and lists them with the FDA as protecting Olumiant.
Patent reported to NIH as grant-funded

Medicare paid, 2024

$35M

before rebates

Medicare, 2020–2024

$123M

$22K per patient in 2024

Medicaid paid, 2024

$33M

before rebates

NIH grants behind the patents

$3.1M

whole-grant totals, not the drug's cost

The public record, link by link

  1. 1 · Public money

    2 NIH grants to Columbia University Health Sciences, $3.1M in all.
  2. 2 · Patent

    9737469, 11806555, reported to NIH under R01AR056016, R21AR061881.
  3. 3 · FDA approval

    Approved May 31, 2018, held by Eli Lilly and (NDA 207924).
  4. 4 · Public pays

    Medicare paid $35M in 2024 for 1,609 patients; Medicaid $33M.

What Medicare paid for Olumiant

Medicare Part D and Part B gross spending by year, before manufacturer rebates.
2020: $19M20202021: $19M20212022: $21M20222023: $28M20232024: $35M2024: $35M2024

The grants

Totals are everything NIH paid on each grant since 1985. A grant usually funded more than this one invention.
GrantResearchYearsNIH paid
R01AR056016

NIAMS

Genome Wide Association Studies in Alopecia Areata

Columbia University Health Sciences

2008–2012$2.7M
R21AR061881

NIAMS

Identification of Alopecia Areata Biomarkers in Skin and Blood

Columbia University Health Sciences

2011–2012$398K

The patents

Patents the FDA lists for this drug that were also reported to NIH as grant-funded inventions.
  • US 9737469

    Methods for Treating Hair Loss Disorders

    Reported by Columbia University New York Morningside

    FDA-listed expiry Nov 2, 2031
  • US 11806555

    METHODS FOR TREATING HAIR LOSS DISORDERS

    Reported by Columbia University New York Morningside

    FDA-listed expiry Nov 2, 2031

Eli Lilly's side

Drug makers pay for the clinical trials that take a compound from the lab to FDA approval, and they often license the patent from the university and pay royalties on sales. Those terms are not public. The FDA's approval records for Olumiant are linked above, and Eli Lilly's page shows its other drugs on this list. If Eli Lilly wants to add its account, we will publish it here.

How this is built. Universities and companies that use NIH grants must report the inventions those grants produce to NIH, under the Bayh-Dole Act. NIH publishes the patent numbers and the grants they were reported under. We match those patents to the patents drug makers list with the FDA for each approved drug (the Orange Book), then add what Medicare Part D, Part B and Medicaid paid for each drug. Only patents still listed with the FDA appear, so drugs whose patents have expired drop out, and biologics, which the Orange Book does not cover, are not here yet.

What the numbers mean. "NIH grants" is everything NIH paid out on the grants a patent was reported under, from 1985 on. A grant usually paid for more than the one invention, so it is not the cost of the drug. Medicare and Medicaid figures are gross spending before the rebates drug makers pay back, which are confidential. Companies also paid for the clinical trials that took these drugs to approval; each drug page links the company's own filings.

Sources: NIH RePORTER patents reported under NIH grants (from iEdison); NIH RePORTER project funding; FDA Orange Book patent and product files; Medicare Part D Spending by Drug; Medicare Part B Spending by Drug; Medicaid Spending by Drug. Updated 2026-11-05.