Saturday, February 23, 2013

{8} The Patent Rat-Race

Unwired Planet purchased over 2,400 patents from Ericsson in January to help it compete against its various legal battles against Apple, Google, and RIM. The purchase increased Unwired Planet's stock by 20% and grew its 260 patent portfolio to 2400. Ericsson gets to share the portfolio to battle its own patent cases. Unwired Planet have gone so far as to sell off parts of there businesses to focus on their patent assets.
As quoted by TechCrunch:
"Ericsson, like Unwired Planet, is also involved in patent lawsuits, such as this one against Samsung, so access to an “enlarged patent portfolio” could prove to be a valuable exchange for the company. The pressure for successful returns on Ericsson’s patent assets is perhaps even greater considering the other problems the vendor is facing. Chief among them, Ericsson said in December it would be taking a $1.2 billion charge on its troubled ST Ericsson chipmaking joint venture."
Who wouldn't make the same move as Unwired Planet. When you can make billions in exchanging, trading, sharing, selling, and threatening by way of patents--there is very little motivation to innovate unless its innovation to create more patents.

No comments:

Post a Comment