Posts Tagged: "bankruptcy"

The time has now come for Kodak to attempt to shed its non-strategic patents with the sale of roughly 10% of the overall Kodak patent portfolio.  Without an acceptable initial bid already in place Kodak will roll the dice and angle for an auction that would take place in early August 2012, assuming more than one bidder emerges.

Just because a company has a patent portfolio and interesting technology does not mean that the portfolio, or the company behind the portfolio, will be able to tap into the “perfect storm” we are seeing in certain high-tech industries. “I’m not seeing how the Konarka situation exemplifies the ‘Perfect Storm Effect’ at the upper end of the current patent market,” Laurie says. “On the demand side, the multi-billion dollar portfolio valuations in the mobile device and social media markets are being driven by huge, and ever expanding, consumer demand, and large gross margins neither of which factors would seem to apply to solar.”

But how exactly do patents do all of these wonderful things for companies? Unlike trademarks and copyrights, patents are incredibly difficult to acquire. But a patent, once acquired, grants the holder a fairly long monopoly over their creation. No other individual or corporation can use the patent holder’s creation without negotiating a license (or some other arrangement). Thus, patent holders have a huge advantage over the competition via exclusive use or a profit from licensing. Because, the technology companies heavily market new and cutting-edge products, there is a constant need to acquire new patents to stay ahead of competitors.

By now you have probably heard that the United States Supreme Court lifted the stay Ordered by Justice Ginsberg late on Monday and the bankruptcy deal that will give Chrysler to Fiat, UAW workers and the US and Canadian governments is now clear to go through, most likely on Wednesday, June 10, 2009.  I will not call this deal a…