The White House Just Scrapped Its Big Drug Rebate Rule

Good afternoon, readers.

Busy times at the magazine this week, so unfortunately we’ll have to leave you with a short one. Back with more tomorrow.

Read on for some news below.

Sy Mukherjee, @the_sy_guy, sayak.mukherjee@fortune.com

DIGITAL HEALTH

FCC green lights rural telehealth pilot. The Federal Communications Commission has approved a new telehealth program focused on some of the regions that may benefit from them most—rural areas with a shortage of easily-accessible hospitals or physicians. Under the $100 million Connected Care pilot program, broadband services connecting doctors and patients would receive an 85% discount. (Healthcare Dive)

INDICATIONS

Trump administration abandons its big drub rebate rule. The Trump administration has decided to scrap one of its most hotly anticipated proposals meant to lower drug prices. The Department of Health and Human Services' drug rebate rule would have forced insurers to pass on savings from rebates negotiated with drug makers on to Medicare patients; the proposal was strongly supported by the drug industry. After the reversal, insurance company stocks shot up while pharma shares fell. (Reuters)