Novo Nordisk announced a major restructuring plan cutting approximately 9,000 jobs, equivalent to 11.5% of its workforce, aimed at streamlining commercial execution and refocusing resources on its diabetes and obesity franchises. This decision follows significant market setbacks for the company, including fierce competition from Eli Lilly’s GLP-1 drugs and a halving of its market capitalization since mid-2024. Despite these challenges, Novo Nordisk’s semaglutide products, Wegovy and Ozempic, continue to generate substantial revenues, underscoring the strategic importance of the glucagon-like peptide-1 market segment. Analysts view the layoffs as painful yet necessary moves to maintain competitiveness in a rapidly evolving therapeutic landscape.