Patent trolls serve valuable role in innovation, expert says

Posted by Zenphamy 6 years ago to Technology
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An intertesting article challenging the public view of Patent Trolls. It demonstrates that they form an important part of the system between inventors and the large manufacturer.

"So-called patent trolls may actually benefit inventors and the innovation economy, according to a Stanford intellectual property expert.
Stephen Haber, a Stanford political science professor, suggests in new research that concerns about too much litigation involving patents is misguided.
A patent troll is a person or company that buys patents – without any intent to produce a product – and then enforces those patents against accused infringers in order to collect licensing fees. Some say the resulting litigation has driven up costs to innovators and consumers.
To the contrary, Haber said, his research with Stanford political science graduate student Seth Werfel shows that trolls – also known as patent assertion entities, or PAEs – play a useful intermediary role between individual inventors and large manufacturers."

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  • Posted by dbhalling 6 years ago
    In the late 1800s the chance of an independent inventor selling or licensing a patent once it was issued was around 85% according historical economist Zorina Khan. Today that number would be less 2%. It is not surprising that inventors turn to licensing companies.
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    • Posted by 6 years ago
      Yes, it looks like the opportunity for the inventor to capitalize his invention, particularly if he doesn't have the skill set to design the manufacturing process required or advantageous licensing agreements, or raw material or components sourcing, or just so many things. Hundreds of things it takes to take an invention to market, both small and large.
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  • Posted by khalling 6 years ago
    During the Civil War, there was a push against patents. Then, the anti-patent crowd, heavily funded by large corporations btw, called these groups "patent sharks." Now, the term "patent troll" has become almost household in usage and a new term emerges-"Patent assertion Entities" rises to prominence. The junk science on this issue abounds and the truth is self-evident. Most small inventors do not practice their own inventions. They sell. They also don't tend to sue over infringement due to the high cost of litigation. Large manufacturers are well aware of this and are happy to ignore the small inventor's patent. This provides an opportunity for companies which specialize in licensing. It's a legitimate industry and works efficiently.
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