Patent parasite startups popping up everywhere in the US

[Jonas Maebe <jonas.maebe@elis.ugent.be>]

Hello,

<http://www.reuters.com/newsArticle.jhtml; 
jsessionid=WYFOLCELGASG0CRBAELCFFA? 
type=technologyNews&storyID=4798775&section=news>

These new companies, often run by former Silicon Valley executives, buy  
unused patents from companies, broker deals between buyers and sellers  
of patents, and act as patent "investment banks" to turn knowledge into  
new businesses.

...

Intellectual Ventures, a Bellevue, Washington, company founded by the  
former chief technology officer of Microsoft Corp. and the former chief  
software architect of Microsoft, describes itself only as a "private  
company focused on invention and innovation."

 But one Silicon Valley lawyer said the company has raised between $250  
million and $400 million to build up a war chest of patents that could  
then be used to extract fees from a range of big companies.

 "I'd say that the mathematics of their model are compelling and have  
instilled fear in a number of players," the lawyer, who spoke on  
condition of anonymity, said. "People know what they're doing and they  
are afraid."



Jonas