Each patent and application are analyzed to assess their ability to be out-licensed. We first look at the claims and assess whether they are broad enough to provide meaningful coverage for licensees operating in other industries. If so, we develop a list of potential extra-industry license opportunities and estimate possible licensing royalty revenue for each. We then make a Technical Probability assessment of what barriers to successful licensing exist, such as, the presence of any economic/technological/manufacturing hurdles to commercialization, and whether or not suitable licensees exist that have the ability to overcome any such hurdles. Based on the foregoing we then calculate a Licensing Potential Value Score. Making a licensing value assessment for your patent portfolio is an essential first step in generating world class portfolio returns. In addition to a substantial income stream, a good licensing program also allows you to meet and partner with other excellent companies which can lead to new product lines and other new business opportunities. Knowing the existing or future licensing potential of your patents also helps in making decisions regarding the payment or not of maintenance fees. With respect to new technology, this data can help in determining if the expense of initiating a patent filing or continuing the prosecution of a filed case is warranted.
© 2008 Pinnacle Patent Management