By: Alex Tame
In an increasingly global economy, even startups need to consider where their companies fit in internationally. Entrepreneurs wear many hats — operations, marketing, engineering and sales among them — but few tout themselves as patent law experts. Often the last thing on their minds is an intellectual property (IP) strategy — but this can be costly in the long term.
Patent assertion entities (PAEs, also referred to as “patent trolls”) are a growing threat to companies in the UK. Patent trolls are companies whose primary revenue model is to acquire patents for the sole purpose of using them to sue other companies. They’re a big problem in the US, where they have resulted in more than 60 billion GBP in lost wealth annually, and where many UK startups look as a secondary market. They’re a growing problem in the EU, as German courts have proven to be favourable to trolls.
Startups doing business in these markets expose themselves to patent troll risk — and the cost of defending against those lawsuits — to the tune of 2.4 million GBP per suit — can easily put an early stage company out of business. Because of these risks, nearly 50 UK-based companies have joined LOT Network, including well-known names like Ocado and Boots.
Read more >> http://www.theuknewspaper.co.uk/why-startups-need-to-have-a-global-ip-strategy/
