Perpetual Innovation

Category: increased patent licensing

  • Revenue Per Patent A Longstanding Question of Value for Many

    In the world of IP, there is a list of questions that never seem to be answered to the satisfaction of all particularly when there is generational change in who is running the corporation.  Foremost among the questions is what is the revenue per patent and is it worth the time, energy and resources that must be applied not only for a patent but protect in the marketplace from infringement that may result in costly litigation.  IAM presents 20 corporations with extensive patent portfolios and the revenues per patent at  http://www.iam-media.com/blog/detail.aspx?g=d37195bc-4870-406d-81cc-f9e74c6e17b8.  Among the points worth noting is that Apple has the least number of patents among the 20, but blows all away in the revenue it realizes for each patent.

    All of those listed make sizable revenues.  It is clear that the effort to patent from beginning to end is of demonstrable value to the corporation.

  • Control of IP on Business Side of Corporation

    There’s a key point in this IAM magazine article by Joff Wild in the July 9, 2014, issue.  Note that the Chief IP Officer is not an attorney- he a business professional.  This is a significant change, a recognition that commercialization of Intellectual Property in a marketed product, a Patent Licensing Agreement with Royalties, a technology transfer or an outright patent sale is a business decision, not a legal one.  In some companies going back nearly 50 years, (AT&T, IBM, DuPont, Xerox to name a few) the decisions on IP were made by the business side.  But, for most, it has only been since the late 1980s that brought the marked change from predominantly physical assets in a corporation to intellectual assets that has prompted more and more corporations to view IP as a key revenue generator that has a place in the strategic plan.  The business development organization would be an appropriate place for decisions on IP revenue generation.