IP strategy
Patents should be an investment asset
Dragsted Partners consider patents to be a strategic investment asset. We believe in the importance of carefully considering and planning how a patent portfolio should contribute to generating the desired return on investment. To that end, Dragsted Partners assist clients develop IP strategies focused on effective management of current and future intellectual property rights, including patents, design registrations and trademarks.
What is an IP strategy?
Put briefly, an IP strategy a plan outlining how best to protect, develop and commercialize your intellectual property rights/assets, typically patents, trademarks, designs and copyrights to support clients’ business goals.
An IP strategy is based on the specific situation of the business and should be tailored to the overall business strategies and goals. As patents have the potential to create value at several different levels, e.g., improving market position, strengthening competitiveness and increasing overall business value, a key element in formulating an IP strategy is to determine how patent investments can deliver value for money, the main purpose of the strategi typically being to ensure that innovation, brand and know-how support the business and create real value.
What rights should you invest in?
Another central aspect of an IP strategy is more tactical in nature: what rights to invest in – both in terms of what inventions, products or services to protect and where and how to protect them.
It may be worth considering if the expected gross margin and sales of a specific product justify investing in patents in many different countries. Sometimes, another type of protection, such as a design registration, may be the right choice. Often, filing for patent protection in only few strategically selected countries rather than in many potential markets can cut costs substantially.
Dragsted Partners guide clients on all aspects of developing an IP strategy – from initial strategic and commercial deliberations and tactical decisions to actual implementation and execution.
IP Due Dilligence
An IP due diligence analysis involves establishing the existence and validity of patents, identifying the rights of competitors (Freedom to Operate (FTO)) in specific business sectors as well as the strength and scope of patents.
Typically, a due diligence analysis is carried out for a potential buyer of a company or investors before a capital injection. A thorough IP due diligence analysis provides a solid basis for discussing and negotiating beneficial financial and commercial terms of an agreement.
In our experience, an IP due diligence analysis is a highly dynamic process, and the scope of the analysis should primarily be determined by the client’s needs. Therefore, we prepare carefully for every analysis and brief our client on the scope of the analysis before it is actually initiated. We have considerable experience helping companies strengthen their IP portfolio before a potential sale, considering many of the aspects of the IP due diligence process, which is also intended to identify opportunities for optimization of the portfolio.
Freedom to Operate (FTO)
Doing business in sectors and markets dominated by IP rights is associated with a potential risk of being dominated by competitors having patents or pending patent applications. Although a company has a number of granted patents, it is by no means certain that it will be able to freely market its products since both pending patent applications and granted patents may potentially be dominated by rights owned by other companies. The scope for action can be clarified by a Freedom-to-Operate (FTO) analysis.
To determine whether clients have freedom to operate, we identify relevant patents and applications and analyze their scope of protection, validity, status and geographical coverage as well as the likelihood that a dominant patent exists. We also assess clients’ options of working around existing patents, e.g., by using alternative technologies.
Dragsted Partners have extensive experience in preparing freedom-to-operate analyses, both within clients’ existing technologies and other fields of business. We offer clear recommendations charting the future course of action, with realistic guidance on risks, enabling clients to make confident strategic decisions.
Competitor monitoring
Monitoring competitors’ patent activities or specific technical areas provides useful insight into their inventions and products, both within their core business and new fields of business.
Regular competitor monitoring helps companies gain detailed information on competitors’ R&D activities and upcoming products, often before they reach the market. Competitor monitoring is therefore an effective tool for product development, IP strategy and marketing.
Dragsted Partners have extensive experience in setting up monitoring and presenting the results in a clear and accessible way in interactive documents, giving clients a quick overview without spending unnecessary time retrieving information from different databases.
Contact us if you want to know more, or let us send you an example of our reporting form, so you can see for yourself.
Portfolio management
Ideally, an IP portfolio underpins business strategies and contributes to achieving the stated goals. Accordingly, the composition of an IP portfolio should be considered when developing an IP strategy.
Since business goals and strategies change over time, so do the demands to be met by the IP portfolio. Therefore, it is important to carefully review the IP portfolio on a regular basis to assess what rights continue to generate value and how the portfolio can be strengthened.
Dragsted Partners take full responsibility for handling all aspects of our clients’ IP portfolio. We can help assess existing rights to identify those that no longer contribute positively, e.g., rights in outdated technology, identifying areas of the portfolio that need to be strengthened and ensuring that clients’ resources are used efficiently, e.g., by removing irrelevant rights and investing in new, strategically important rights.
Administration
The administrative tasks related to our clients’ IP portfolios are handled professionally by our team of highly competent and skilled paralegals. They have the knowledge required and always maintain the overview necessary to navigate and communicate in a complicated patent system. Dragsted Partners’ services include:
- Managing statutory deadlines
- Paying renewal fees
- Preparing instructions to our network of international associates
- Proofreading patent applications, replies to examination reports, etc.
- Filing patent applications , filing replies to examination reports with Danish, European and international patent offices
- Reporting to clients
- Updating and maintaining case files
This allows our clients to focus on their core business, while Dragsted Partners ensure that their portfolio is managed efficiently, kept up to date and aligned with strategic objectives.
How can we help?
Helle Rude Dragsted
Partner