Posts Tagged: "Snap"

How big of a role does IP play in Silicon Valley deals? “In almost any size transaction involving a technology company, our client asks us to look carefully at the company’s IP and the agreements the company has entered into with third parties to secure rights in IP and to permit others to use that IP,” said John Brockland, a technology and IP transactions partner at Hogan Lovells. “Depending on how a transaction is structured, the terms on which IP is assigned or licensed between the parties in a deal can also be a critical area of focus for our client.”

Snap has attempted to remain competitive with new features, such as increasing the allotted time for video capture and introducing new drawing tools this May. But it hasn’t been able to gain a foothold against Facebook, a company which reportedly offered to buy Snap for $3 billion prior to Snap’s IPO… “If we are unable to protect our intellectual property, the value of our brand and other intangible assets may be diminished, and our business may be seriously harmed,” one of the section titles in Snap’s S-1 filing reads. Of course, in the current IP landscape, there is no real ability to protect that property, especially where it pertains to patents. And Facebook’s copying of features which are valuable on the Snapchat platform has been blatant.

Although it seems likely that Snap will seek to secure around $25 billion during its IPO, the company itself doesn’t engage in a great deal of patent filing activity compared to other tech companies. According to analysis of Snap’s patenting activities published last November by CB Insights, a total of 46 U.S. patent applications filed by Snap between 2012 and 2016 were identified; this total is likely short of actual Snap patent application filing numbers during those four years because of the 18-month period it takes before the U.S. Patent and Trademark Office publishes filed patent applications. Snap filed a total of 18 U.S. patent applications during both 2014 and 2015. 22 of Snap’s patent applications identified by CB Insights were directed at user interface and user experience inventions but other areas covered by Snap patent applications include automated content curation, network, spectacles as well as object, facial and audio recognition.