SLEEPING PATENTS AND COMPULSORY LICENSING : AN OPTIONS ANALYSIS 1 Introduction

@inproceedings{Weeds1999SLEEPINGPA,
  title={SLEEPING PATENTS AND COMPULSORY LICENSING : AN OPTIONS ANALYSIS 1 Introduction},
  author={Helen Weeds},
  year={1999}
}
Why should a firm wish to create a new technology that it will leave unexploited for some time? Sleeping patents have long been perceived as anticompetitive devices, used by dominant firms to block entry into their market. In a real options framework with both economic and technological uncertainty, we show that a sleeping patent may arise as the result of optimal forward-looking behavior, in the absence of any anticompetitive motive. We also consider the effect of possible measures to enforce… CONTINUE READING