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The Evidence Is In: Patent Trolls Do Hurt Innovation

Posted on July 26th, 2014 at 13:55 by Sueyourdeveloper in category: News -- Write a comment

Quote from here

There were six times as many patent lawsuits last year than in the 1980s. The number of firms sued by patent trolls grew nine-fold over the last decade; now a majority of patent lawsuits are filed by trolls…

The economic burden of today’s patent lawsuits is, in fact, historically unprecedented. Research shows that patent trolls cost defendant firms $29 billion per year in direct out-of-pocket costs; in aggregate, patent litigation destroys over $60 billion in firm wealth each year. While mean damages in a patent lawsuit ran around $50,000 (in today’s dollars) at the time the telegraph, mean damages today run about $21 million. Even taking into account the much larger size of the economy today, the economic impact of patent litigation today is an order of magnitude larger than it was in the age of the telegraph.

Where’s the pesticide?

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