IPs – A perspective

Muthu21-IV-2016

IP Monetization is the End of IP Lifecycle

Loop closure

Value – A mythical curve

commodities

product

service

user experience

User Exp Exs : iPhone, Avatar, Daabang, Enthiran,..Service : TCS, Infosys, Wipro, InMobi..Products : Tally, Onida-Thunder, MicroMax, iPhoneCommodities : Spirulina, Sunflower seed etc..

IP Valuation

• Min and Max• Development Cost * Factor• Demand-Supply• Time(Longevity)– Transient– Steady

• Free – is not really free• Unknown• IP coffins

IP Licensing models

• Business model driven– Usage based– Outright sale– Royalty• ThRu:- 2% of average sale price• Capping • What is opposite of Capping ?

• Exclusivity

IP value/revenue curves you may see

Value

Time

very likely

possible

eventually

IP Licensing – Other options

• Service augmentation

• Product differentiation

• Gambling

IP Licensing - Contrasting

• Vis-a-vis sale of goods• Visible v/s Invisible• Derive from Products

IP Licensing – Examples

• Give and prosper - ARM, Dolby, Philips(I2C,LED)

• Protect and prosper – Adobe

• Free and prosper – MPEG, HDMI

• A SFO based SW co(a few years back)– Dev centre in Sarjapur Rd– 5K LOC-Java – 1M$ (sold a few already!)

IP assessment – Tools

• Professional Platforms like Relecura, Vajrasoft– Very powerful tools to look for new domains to

build IP as well as assess/rank existing ones• Open/Free sites/tools like USPTO, Google

Courtesy: Relecura

File provisional patent application (optional)

File complete patent application (within 12 months if provisional is filed)

Patent application will be published after 18 months from the filing date (if early publication request is not

filed)

File examination request within 48 months from priority date

Patent application is examined by patent office

Examination report is issued by patent office

Patent applicant responds to the examination report (multiple iterations with patent office possible)

Patent is granted or rejected within 1 year from the date of issuance of the first examination report

Actions taken by patent applicant

Actions taken by patent office

Indian Patenting Process - snapshot

Courtesy:Karthik, InvnTree

Patent

Design

Trademark

Copyright

Trade Secret

Types of IP

Try to follow these, it helps• Ideas are the genesis of everything• When in doubt, file for an IPR if you can afford• Do not hire yourself, redundancy doesn’t help, encourage everyone to be

creative.• Leave paper trails/docs/write-ups on everything you/people do• Business and Capital are as important as Tech/Engg• Build as many associates and partnerships as possible• Do not hesitate to take help• Think “end ups” when you do start ups• Never go below (#employees*100K$) valuation• Never waste time, use the time to think/do IP activities• A good IP portfolio helps you always and surely during tough times

THE ENDthank you