Hims & Hers CEO Andrew Dudum responded on Tuesday to a Federal Trade Commission lawsuit that alleges the telehealth provider shared patient data with advertisers and mishandled prescription billing.
Regulator’s accusations and company’s rebuttal
The complaint, filed jointly by the FTC, Los Angeles County and Utah, says the firm gave health information to platforms such as Meta and Snap, charged for prescriptions before a clinician review and made subscription cancellations difficult.
During an exclusive interview on the outlet’s “Squawk Box,” Dudum said the allegations stem from a misunderstanding of how the business is reshaping health delivery.
He added that they have spent years walking the regulator through the model and that the lawsuit “wanted more of a headline than a real agreement here.”
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Data‑sharing practices under the microscope
The FTC’s filing claims that user health records were used to target ads on social media, a practice the company denies.
Shift from compounded to branded GLP‑1 drugs
Separate from the data dispute, the company recently altered its approach to weight‑loss medications. During shortages, it sold compounded versions of GLP‑1 drugs at lower prices.
When supply normalized, Novo Nordisk sued for patent infringement. The Danish manufacturer later dropped the case, and the provider agreed to offer Novo’s branded products.
Dudum said the shift was meant to “apply pressure to the system if we believe it’s best for the consumer.” He predicts cash‑pay prices could fall to $40‑$50 per month from the current $150‑$200 range, depending on formulation.
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The earlier compounded offerings demonstrated that these medications can be brought to consumers at a price that everyone can afford.
Artificial intelligence is another focus for the firm. Dudum said the company is moving away from third‑party AI tools to build its own systems, aiming to become “AI native.” He believes AI will dramatically transform health delivery, though he cautioned that the core models, independent of a closed‑loop data set, are not that valuable.
For now, the company continues to operate while the lawsuit proceeds through the courts, maintaining that its primary goal is to expand access to affordable health services.
