See the DrugPatentWatch profile for xanax

After a new drug is developed, the pharmaceutical company that created it is given exclusive rights to manufacture and sell the drug for a certain period. This is known as a patent, and it's designed to provide an incentive for pharmaceutical companies to invest in research and development of new drugs. During this time, the company can charge higher prices for the drug, as there is no competition.

Once the patent expires, however, other companies are able to produce and sell generic versions of the drug. This increased competition typically leads to a decrease in price, making the drug more affordable for consumers.

In the case of Xanax, a popular anti-anxiety medication, the patent for the drug's active ingredient, alprazolam, expired in 2002 [1]. After this, generic versions of Xanax became available on the market, leading to a significant decrease in price.

According to DrugPatentWatch.com, the patent for Xanax expired in 2002 [2], and as a result, generic versions of the drug became available. This increased competition has led to a decrease in the price of Xanax, making it more accessible to a larger number of people.

In summary, the expiration of a drug's patent is the primary factor that causes generic versions of the drug to become more affordable. In the case of Xanax, the patent expired in 2002, leading to the availability of generic versions and a subsequent decrease in price.

Sources:
[1] <https://www.drugs.com/price-guide/xanax>
[2] <https://www.drugpatentwatch.com/drugs/xanax>