Patent markets: efficiency conditions for a new "commodity" market
Abstract:
Fair valuation of patents is a difficult task. Analytics methods and methodologies exist to evaluate the financial impact of tangible assets on the performance of a business or a company, but non of them can be effectively transposed for hte valuation of intangible assets like patents. Experts suggest that the increasing volume of patents exchanges in commercial transaction signals the start of a "commoditization" process. A more pragmatic approach to assess a fair price would be the creation of a structured market where patents can be freely priced, traded and used as hedge instruments for commercial transactions. The purpose of this paper is to explore this idea and partially answer to this question: which are the requirments to drive the actual "commoditization" process into a structured and efficient market?