How do we actually structure an open, free-market patent exchange?
(1) How would patent assets be placed on the exchange? (2) How would they be classified? (3) How many shares would be attributed to a given patent within a technology class? (4) How would we initially value them? (5) What market forces would affect value of the patent shares? (6) If I own a technology share (used interchangeably with patent share), what exactly do I own and what can I do with it? (7) What would drive trading on the patent shares? (8) What would incentivize collaboration amongst market players?
In this post, I’ll be discussing (6) share ownership.
If you own a share of a technology class, then you are a shareholder of that portion of the class. If you own 100% of all the shares, then in theory you could dedicate the entire technology class to the public and liquidate all its assets.
This raises a question regarding control of the technology class. Who will make controlling decisions for the technology class? Should it approach a company for licensing discussions? Should it sue? Should it settle? What products and services are being produced on the technology class? Should there be more research and filing directed to a technology class?
Similar to a public company, shareholders may collectively elect directors to make high-level decisions for the technology class.
And similar to public company stock, shares may be categorized as voting and non-voting shares. We will be discussing this more in later posts.