There is a popular number being circulated in the press right now stating that, in 2011 alone, businesses were estimated to have paid out approximately $29 billion in litigation fees for patent infringement cases. This estimate is based on findings from James Bessen and Michael J. Meurer’s “The Direct Costs from NPE Disputes” study last year.   

Is $29B the Point?

There is another study by David L. Schwartz and Jay P. Kesan, “Analyzing the Role of Non-Practicing Entities in the Patent System” that calls the $29 billion number into question based on a number of factors, not the least of which is the study’s methodology and definition of NPEs.  

For Intellectual Ventures’ point of view on this issue, check out two recent blogs, and an interview from our founder and vice chairman, Peter Detkin:

Mr. Detkin Goes to Washington

The Red Herring of Transparency

Gametime IP: “Do NPE’s “Cost” Us $29 B? Intellectual Ventures Co-Founder Peter Detkin Sets The Record Straight


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