Menu
Miss America 2015 is Miss New York Kira Kazantsev

Miss America 2015 is Miss New York Kira Kazantsev

Xbox 360 Holiday Bundles Revealed

Xbox 360 Holiday Bundles Revealed

Iggy Azalea Sex Tape Controversy Heats Up

Iggy Azalea Sex Tape Controversy Heats Up

Batman v Superman Director Reveals Movie Scene

Batman v Superman Director Reveals Movie Scene

Paris Hilton just bought the Cutest and Smallest Dog

Paris Hilton just bought the Cutest and Smallest Dog

Google's Nest Deal Vindicates Patent King Nathan Myhrvold

Jan 14 2014, 1:06pm CST | by

Google's Nest Deal Vindicates Patent King Nathan Myhrvold
Photo Credit: Forbes
 
 

Google’s decision this week to buy high-tech thermostat maker Nest for $3.2 billion is creating more than just the usual  winners whenever a start-up cashes out for a big amount. Among the not-so-obvious beneficiaries from the deal is Nathan Myhrvold, the former Microsoft research chief who now oversees a giant patent portfolio at Intellectual Ventures.

Myrhvold’s firm entered the picture last September, when Nest bought some patents from Intellectual Ventures and worked out a licensing agreement that gave it access to a much wider range of patents that could be used for defensive purposes. Terms of the deal weren’t disclosed. But Nest evidently felt it would be wise to shore up its patent claims. Back in 2012, Honeywell had sued Nest, which led to some spirited name-calling between those two companies.

There’s been plenty of argument the past few years about whether Intellectual Ventures helps innovation — or is mostly a way to wring value out of patents that aren’t being actively commercialized but can be cited in lawsuits against other innovators. Intellectual Ventures has disputed critics’ efforts to portray it as a patent troll. But in the murky world of patent licensing and litigation, it’s been hard for the Bellevue, Wash., company to cite a case where its involvement led to headline-making social benefit.

With Nest’s future now looking quite brilliant, Myhrvold and the other investors and executives at Intellectual Ventures may  finally have found their showcase success. By tapping into Intellectual Ventures’ licensing portfolio, says patent expert Maulin Shah, small companies that haven’t had time to build up much formal intellectual property of their own can keep innovating without being worried that bigger, more-established rivals will try to crush them in patent litigation.

“The deal with Nest may surprise many that label IV as the poster child of patent trolling,” says Shah, who is founder of Envision IP, a New York-based patent research firm. But Shah adds: “The end result of IV’s licensing program, as demonstrated by Nest, is that companies can continue to bring innovative technologies to the market, while also mitigating their own patent litigation risk.”

Source: Forbes

You Might Also Like

Updates

Shopping Deals

 
 
 

<a href="/latest_stories/all/all/31" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

 

Comments

blog comments powered by Disqus

Latest stories

Robert Griffin III Has Dislocated Left Ankle
Robert Griffin III Has Dislocated Left Ankle
Washington Redskins quarterback Robert Griffin III suffered a dislocated left ankle injury during his team's 41-10 win over the Jacksonville Jaguars on Sunday. A return this season has not been ruled out.
 
 
Richard Sherman 'Exposed' by San Diego Chargers
Richard Sherman 'Exposed' by San Diego Chargers
The San Diego Chargers claim Pro Bowl cornerback Richard Sherman was "exposed" after their 30-21 win over the Seattle Seahawks on Sept. 14.
 
 
Samsung takes another subtle dig at Apple in a new ad
Samsung takes another subtle dig at Apple in a new ad
Korean giant subtly takes credit for inspiring it rival to enter the phablet market.
 
 
Official handset image shows new Windows Phone with &#039;Windows&#039; branding
Official handset image shows new Windows Phone with 'Windows' branding
Microsoft shifts its focus to a single Windows brand
 
 
 

About the Geek Mind

The “geek mind” is concerned with more than just the latest iPhone rumors, or which company will win the gaming console wars. I4U is concerned with more than just the latest photo shoot or other celebrity gossip.

The “geek mind” is concerned with life, in all its different forms and facets. The geek mind wants to know about societal and financial issues, both abroad and at home. If a Fortune 500 decides to raise their minimum wage, or any high priority news, the geek mind wants to know. The geek mind wants to know the top teams in the National Football League, or who’s likely to win the NBA Finals this coming year. The geek mind wants to know who the hottest new models are, or whether the newest blockbuster movie is worth seeing. The geek mind wants to know. The geek mind wants—needs—knowledge.

Read more about The Geek Mind.