To compensate the people who originally developed the intellectual property that led to the creation of the drugs that they sell, pharmaceutical companies pay about $10 billion annually in the form of royalties, typically some percentage of the revenues created by the drug in question.
Pharmaceutical companies pay about $10 billion annually in the form of royalties some percentage of the revenues. This was typically. This was to compensate the people who originally developed the intellectual property that led to the creation of the drugs that they sell. These revenues are created by the drug in question.