Do Patents Facilitate Financing in the Software Industry?

Do Patents Facilitate Financing in the Software Industry?
83 TEXAS L. REV . 961
Bluebook cite
Ronald J. Mann, Do Patents Facilitate Financing in the Software Industry?, 83 TEXAS L. REV . 961 (2005)
Ronald J. Mann
83 TXLR 961

Item Type
Extensive article that talks about the limited value of patents to startups in the early phase and the limited cost/benefit of large patent portfolios for large companies. It examines empirical data and concludes that patent enforcement does not hinder innovation (i.e. debunks the "patent thicket" theory). It contrasts patent protections with those of trade secret and copyright, noting that the latter do not afford young firms much benefit. Next, the article discusses an alternative "middle ground" solution of registration similar to that of copyrights. Finally, the article discusses the cons of restricting the rights of patent trolls, noting that they provide a"useful function as specialized intermediaries" that "have a positive role in promoting innovation in the industry" by "exploiting the value of patents that cannot be exploited effectively by those that have originally obtained them."

Excerpts and Summaries

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