Google initiated a marketplace for other firms to sell patents late in April this year. Now, the search giant is opening up its own patents that new startups can access for free.
Google expanding its patent program
To minimize resistance from the patent market, Google organized an experiment in the form of the Patent Purchase Promotion. With the marketplace, Google opened a streamlined portal from May 8, 2015 through May 22, 2015, allowing patent holders to tell the internet firm about their willingness to sell their patents and their desired price. Google then reviews the information and redirects it to the concerned buyers.
Chris Hohn the founder and manager of TCI Fund Management was the star speaker at this year's London Value Investor Conference, which took place on May 19th. The investor has earned himself a reputation for being one of the world's most successful hedge fund managers over the past few decades. TCI, which stands for The Read More
The internet firm now wants to expand the scope of this market, notes TechCrunch. “Today, the search and mobile giant is expanding that marketplace in the other direction: Google has started a program for startups to give away up to two non-organic patent families off Google, as well as potentially make offers to buy patents from it in the future,” notes TechCrunch.
The tech titan is also planning to support some small firms by allotting them a pair of starter patents.
Not all eligible
If anyone or any startup is interested in this idea, they should contact Google with specific Google Docs. To enjoy the benefits of the Patent Starter Program, one needs to be among the first 50 startups to apply, and revenue must be between $500,000- $20,000,000. In addition, a LOT network membership is also required.
Once all these requirements are fulfilled, then Google will be decide the patents it will be giving out. However, Google says it “will retain a broad, non-exclusive license to all divested assets.”
Though Google is not making any money from it, the Internet firm has other motives. The program requires the companies receiving Google’s patents to join a patent licensing group, which will help Silicon Valley firms against patent trolls. Encouraging smaller companies to join the network, according to Google, “is just something that we think makes great sense.”
As of around 11.30 am EDT, Google shares were down 1.36% at $665.66, and year to date, the stock is up over 24%.