From Assets to Profits

Edited by IP communications expert Bruce Berman, and with contributions from the top names in IP management, investment and consulting, From Assets to Profits: Competing for IP Value and Return provides a real-world look at patents, copyrights, and trademarks, how intellectual property assets work and the subtle and not-so-subtle ways in which they are used for competitive advantage. Authoritative and insightful, From Assets to Profits reveals the most relevant ways to generate return on innovation, with advice and essential guidance from battle tested IP pros.

Autorentext

Bruce Berman (New York NY) is CEO of Brody Berman Associates in New York, a communications and management consulting firm focusing on innovative companies, assets and investors. Mr. Berman works closely with IP-rich companies, consultants and lawyers, as well as private equity firms and their clients to enhance patent value and facilitate transactions. In addition to this book, Berman is responsible for Making Innovation Pay: People Who Turn IP Into Shareholder Value (Wiley 2005). He also edited and contributed to From Ideas to Assets: Investing Wisely in Intellectual Property (Wiley 2002), a widely acclaimed book about the business of IP. His articles, reviews and chapters have appeared in many periodicals, including Nature Biotechnology, The National Law Journal and The Book of Investing Rules (Financial Times Prentice Hall, 2003), which The Motley Fool called one of ten all-time best investment books.

Klappentext

Praise for FROM ASSETS TO PROFITS COMPETING FOR IP VALUE & RETURN

"A timely collection of insights from a cast of leading experts whose experience spans the entire IP ecosystem. Mr. Berman's examination of IP assets and business modelsand their myriad dynamics and dependenciesprovides a compass that leads readers through a changing landscape."
Damon C. Matteo, Vice President & Chief Intellectual Property Officer, Palo Alto Research Center, a subsidiary of Xerox Corporation

"What is most impressive about Bruce Berman's new book is that it provides a holistic approach to IP management. For most patent holders, IP needs to serve the business, not be it. As many of the contributors to From Assets to Profits point out, considerations such as relationships, alliances, and competitive advantage provide most companies greater ROI than the siren song associated with patent royalties. From Assets to Profits is a welcome addition to the best thinking about managing intellectual assets."
Marshall Phelps, Corporate Vice President for IP Policy & Strategy, Microsoft

"From Assets to Profits provides a road map for helping IP holders move from an exclusionary strategy to a more inclusive one for creating meaningful profits. Bruce Berman's valuable book helps readers step seamlessly into the shoes of an IP chieftain, investor, broker, open-network innovator, litigator, and economist."
Bill Coughlin, President & CEO, Ford Global Technologies, LLC

"When it comes to articulating the value and importance of intellectual property, no one does it better than Bruce Berman. In his fourth book, From Assets to Profits, Berman continues this quest, demonstrating how to profit from IP with concrete examples and insights from the industry's foremost experts. Like his previous books, this is a must-read for all business and finance executives. Berman's books are as conceptually brilliant and as innovative as the people and content they cover."
Steve Lozan, Investment Manager & IP Sector Specialist, Smith Barney

Inhalt

About the Editor xix

Introduction xxi

Part one IP Business Models 1

**Chapter 1 Out of Alignment Getting IP and Business Strategies Back in Sync 3
By Dan McCurdy

Perspective 3

The CEO's Dilema 4

The Emergence of Patent Trolls and Their Impact on IP Licensing 7

In A Changing IP and Business Environment, What is the Correct IP Strategy? 8

The Need to Tie Intellectual Property Strategy to Overall Business Strategy 10

Using the Company's Intellectual Property to Improve Business Performance 13

Not Magic Just Hard Work 16

**Chapter 2 Evolution of the Technology Firm: IP Rights and the Business of Licensing 19
By Bryan P. Lord

Perspective 19

Introduction 20

The Past: The Integrated Industrial Economy 21

The Present: The Disaggregated Modern Economy 24

The Future? The Interrelated Open Economy 36

Conclusion 41

**Chapter 3 Reengineering the IP Ecosystem 45
By Kevin Rivette

Perspective 45

Strategy Before Tactics 46

Ecosystem ReengineeringWhat Is It? 47

Profit Pool Positioning: Show Me the Money 47

Advantaged Networks: Whom Do I Want to Play With? 50

Collaborative Innovation: How to Avoid Looking Over Your R&D Shoulder 54

**Chapter 4 IP Investing: Catalyst for Return or Recipe for Pain? 57
By Bruce Berman

Perspective 57

Agreeing to Disagree 58

IP Comes in Many Shapes and Sizes, So Does IP Value 61

Fewer than 5% of Patents Are Assets 63

Diverse Patent Holder Motives and Expectations 68

IP in Context: Toward a Broader Interpretation of ROIP 72

The CEO Challenge: Recognizing and Maximizing IP Assets 75

**Chapter 5 Making Sense of Recent Trends, Court Decisions, and Attempts at Patent Reform 81
By Irving Rappaport

Perspective 81

Too Much Litigation, Too Many Big Awards 82

Patent Competition 82

Myths Fostered by Those Claiming the Patent System Must Change 85

Emerging New IP-Based Business Models 86

Recent Supreme Court Decisions' Impact on Business 93

Patent Reform Legislation 93

Conclusions 98

Part two IP Performance 103

Chapter 6 Patent Valuation Contexts: Navigating Murky Waters 105
By James D. Woods

Perspective 105

Sounding the Shoals, Plumbing the Depths 106

Valuation Techniques 108

Sources of Value 113

Practical Application 121

**Chapter 7 Measuring and Conveying IP Value in the Global Enterprise 125
By Joe Beyers

Perspective 125

Introduction 126

Strategic Intent of IPA Changing Role 127

Structuring for SuccessIt Sounds Good but How Do You Get Everyone on Board? 129

Leveraging IP for Increased Valuebut What Kind of Value? 130

IP Cash/ValueWho Gets the Benefit? 132

Revenue RecognitionSo You Get the Cash, but Can You Count It? 132

Specific Business ModelsWhat Are Reasonable Financial Goals? 135

TradeoffsSetting the Goals and Measures of Success 137

Summary 139

**Chapter 8 Strategic Patents and Return On Investment 141
By Willy Shih

Perspective 141

With Patents, Cash is Not Necessarily King 142

Valuing a Patent versus Valuing a Technology 142

Strategic Use of Patent Portfolios 149

Is R&D Solely for the Purpose of Generating Patents a Sustainable Business Model? 151

Thinking Strategically about Patents 152

How Does a Firm Know if Its Patent Strategy Is Successful? 157

**Chapter 9 Patent Litigation: The Changing Economics of Risk & Return 161
By Ronald J. Schutz Persp...