It appears you have not yet registered with our community. To register please click here...

Go Back [M] > Madshrimps > WebNews
Patent trolling cost the US economy $29 billion Patent trolling cost the US economy $29 billion
Register FAQ Members List Calendar Search Today's Posts Mark Forums Read

Patent trolling cost the US economy $29 billion
Thread Tools
Old 29th June 2012, 06:23   #1
[M] Reviewer
Stefan Mileschin's Avatar
Join Date: May 2010
Location: Romania
Posts: 96,350
Stefan Mileschin Freshly Registered
Default Patent trolling cost the US economy $29 billion

Rather than helping innovation, the US patent system is costing industry more than $29 billion a year in legal fees.

A Boston University study has been adding up the numbers and worked out that the legal action conducted by "patent trolls" cost US companies an estimated $29 billion during 2011.

During 2011, 2,150 companies mounted a total 5,842 defences in US cases against intellectual property companies that owned and licensed patents without producing any related goods of their own.

This means that the companies lost $29 billion in direct costs - legal and licensing fees.

The number was conservative and did not estimate indirect losses for defendants in things like delays in new products, loss of market share or the need to change products.

The figures have escalated since 2005, when the study found a total of 1,401 claims were $6.6 billion in direct costs.

Study authors James Bessen and Michael Meurer said increasing patent litigation in the US was a significant tax on investment in innovation.

To put the figure into perspective the total US spending on research and development is $249 billion in 2009 but it is still a big tax.

The report said that the costs of defending such legal action meant these organisations had less money to invest in their own research.

Bessen and Meurer said it was rubbish that asserting patents played a socially valuable role in enabling small inventors to realise greater profits from their ideas.

Their report said that patent lawsuits were a social loss and not a transfer of wealth as rights holders claim.
Stefan Mileschin is offline   Reply With Quote

Similar Threads
Thread Thread Starter Forum Replies Last Post
App Store hits 650,000 apps, 30 billion downloads, $5 billion doled out to developers Stefan Mileschin WebNews 0 12th June 2012 06:39
AOL and Microsoft Announce $1.056 Billion Patent Deal Stefan Mileschin WebNews 0 10th April 2012 06:57
Opera claims Apple patent trolling open standards Stefan Mileschin WebNews 0 13th December 2011 07:02
Microsoft 'Vista Capable' Settlement Cost Could Be Over $8 Billion jmke WebNews 1 26th January 2009 08:59
Seagate First to Ship 1 Billion Hard Drives; Expects Next Billion Within Five Years jmke WebNews 1 23rd April 2008 14:18
Microsoft hit with $1.5 billion patent verdict Sidney WebNews 2 24th February 2007 13:41

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are Off

All times are GMT +1. The time now is 08:10.

Powered by vBulletin® - Copyright ©2000 - 2018, Jelsoft Enterprises Ltd.
Content Relevant URLs by vBSEO