About The Tynax Patent Library--How it WorksWe created the Patent Library to help you convert dormant assets into profit centers, provide you with quality patents when you need them and slash the cost of acquiring patent protection.
Convert Dormant Assets into Profit Centers--How You Can Monetize Your Patents Via the Patent Library
There are millions of patents sitting dormant on balance sheets. It's a peculiar business, considering the investment that goes into them, but it's true that the vast majority of patents never actually generate any return on investment. With the Patent Library, all you need to do to start the monetization process is enter a simple agreement with Tynax where you identify patents in your portfolio that you're looking to monetize, provide some basic information, like existing licensees, and convince us that you will be prepared to accept reasonable offers to sell or license your patents. If you have experience of selling and licensing patents, you'll be aware of the prices and terms would be considered reasonable in the current marketplace.
In some cases, we do acquire patents and take ownership via an assignment, but you don't need to assign the patents to the Patent Library, you can just provide them on "consignment". The patents can remain yours, they stay on your books and under your control. The arrangement doesn't have to be exclusive--you can run concurrent licensing campaigns and marketing efforts if you wish. There are no up-front costs for you, no retainer agreements or setup fees. The arrangement is purely contingent. Tynax earns a success fee--a share of the revenues Tynax generates for you.
Confidentiality. Did that cross your mind? We get it. It's a concern. Yes, Tynax has been in the patent brokering business since 2003 and we understand that you might not want the world to know that your patents are available for sale or licensing. We appreciate you might not want your competitors to know anything about your patent monetization activities. Rest assured, we don't publish your patent numbers on our public website, we don't provide evidence-of-use to your competitors and we diligently follow disclosure processes that are defined and approved by you. Typically, this involves getting prospective buyers and licensees to enter confidentiality agreements before disclosing any sensitive information. To be clear, we don't provide buyers with a list of all the patents in the library. We have systems that enable buyers to search and find patents (and evidence of use) without actually finding the patent numbers or seeing the claims charts until the buyer is cleared (by you) and enters into a non-disclosure agreement.
Providing You with Quality Patents When You Need ThemGuess what--you're invited to buy licenses to use patents listed in the Library. We invite you to pay license fees. You can buy a license to ensure that selected patents and collections cannot be asserted against you. OK, that's no big deal. In fact, it's not interesting at all. Allowing companies to pay fees to buy licenses to incorporate patented inventions into their products is not exactly a compelling innovation. What is interesting though is that we enable you to acquire licenses to exclude your competitors using the inventions. Then we provide a mechanism where you can check the patent out, for use in cross-licensing or other forms of negotiation.
Let's say you're a product company and you have a handful of evil competitors who are all out to get you. Let's say your competitors all have thousands of patents. They're armed and dangerous, and you're not. Let's say you have no patents at all, or maybe one, or two. Unless you've spent heavily acquiring your own stockpile containing hundreds or thousands of patents, it doesn't matter how many patents you have because you don't have enough to defend yourself from all your competitors. If you filed a new application every day for the next 12 months, it would take years for you to build a portfolio. The ideal age of a patent for assertion is around 12 years old. The mature, heavily infringed patents are the ones you want when it comes to battle with your enemies, but if it takes you 3 years to get the applications through the prosecution process and 12 years for the patents to mature, you're going to be waiting 15 years before you have a portfolio that has some chance of being useful in a counter-assertion situation. 15 years is a lifetime in the tech sector. It's a lifetime in most business sectors.. and after 15 years and hundreds of millions of dollars in patent prosecution costs, you still have no guarantee that your patents will be suitable for use against all your competitors.
So what do you do? You buy patents from the market. Great idea. Go out and buy a bunch of mature patents reading on your competitors. Actually, this is a good idea, and we can help you with this, but there are at least two issues that arise. Firstly, acquiring these mature, quality patents is not cheap. Secondly, you don't know which competitors are going to come after you, so you don't know which patents you're going to need. You might buy a bunch of patents reading on one competitor, but you find its another competitor that attacks you and your newly purchased patents are useless against this particular company. You're back to square one--a helpless victim when it comes to patent wars.
So how does the Patent Library solve this problem for you? Firstly, we help you identify quality patents reading on your competitors, then we help you buy a license to exclude these competitors. Then, when you come under attack, you check out the patents you need and use them in cross-licensing/counter-assertion. The "license to exclude" is a license, held by you, that excludes your competitors from buying a license to use those particular patents. You figure out that the patents read on your competitor, and you prevent the competitor from being able to nullify the threat by acquiring its own license to use the patented inventions. While you hold the license to exclude, those licensed patents are weapons aimed at your enemies, but you didn't have to pay millions of dollars to buy them, or build them.
The next part is where it becomes so interesting that we can't disclose all the details to you until we have a confidentiality agreement in place. All you need to know at this stage is that you can identify patents in the Library, check them out, use them in your negotiations, then check them back in again. If a question involving the word "standing" just popped into your head, the answer is "yes".
How we Slash the Cost of Acquiring Patent Protection
If you've read up to this point, you already calculated that you can acquire patent protection without having to build or buy patents in the traditional sense. That's a huge saving. You no longer need to build and maintain your own patent portfolio. Cutting the patent prosecution budget to zero is a pretty deep cut. Costs are slashed when you eliminate the fees associated with prosecuting patents and eliminate the cost of acquiring portfolios just in case you might need them in future. When you have access to tens of thousands of patents in the Patent Library, and you have the ability to check them out of the Library when you need them, you have all the protection you need--at a fraction of the cost you would heretofor expect to pay. To help lawyers who might be reading this page feel comfortable, we felt it was important to use the word "heretofor" somewhere in this page. If you're not a lawyer, you can remove the word entirely and still get the idea.
If you have questions, you may find the answers below. Otherwise, feel free to ping us here at Tynax and we'll be happy to talk.
Evidence of Use MaterialsClaims charts are intellectual assets in their own right. If you have such materials, we encourage you to list it with us in the Patent Library with the price you'd like to set for the materials to be licensed or acquired. Like patents, we don't disclose the charts until we have the pre-agreed confidentiality agreements in place with the buyer. We hope you can learn to view the Patent Library as a channel for monetizing your claims charts and getting a return on your investment in research.
Questions Frequently Asked by Clients Looking to Monetize PatentsWhat are the fees?
There are no fees for listing patents and making them available in the library. There are success fees payable to Tynax as the result of patent sale or licensing revenues Tynax generates for you. Other than that, the buyers and licensees pay their own membership fees and success fees.
Do I have to disclose that my patents are listed in the library?
You're welcome to announce that your patents are available through the Patent Library, but you certainly don't have to. It's totally up to you. As mentioned above, members are not provided with free access to roam the library and inspect all the patents. They are provided with a Tynax analyst (like a librarian) who does the searching and matching on the member's behalf. Once the member wants to evaluate the patents and EOU materials, we follow the confidentiality and disclosure rules you set youselves. You control who sees your patents and associated materials.
Can I just sell my patent(s) outright via Tynax?
Yes, we broker outright sales as well as licenses.
How is a price set and agreed when my patents are licensed or checked out?
After more than a decade of brokering patent transactions here at Tynax we've learned there's no one-size-fits-all when it comes to pricing a patent transaction. No two patents are the same. No two patent transactions are the same. Each transaction requires Tynax to broker a deal between the patent holder and the licensee. Both sides need to agree to terms, and Tynax can help make that happen. Rest assured--you have control over the price at which your patents are licensed from the Library and checked out.
Questions Frequently Asked by Clients Looking for Patent ProtectionCan I operate in stealth mode when I select patents to license and target at my competitors?
Yes. Information about patents you've licensed and checked out can be kept confidential.
Do my competitors know that the patents I choose to assert against them come from the Patent Library?
No, not ordinarily. The trail of ownership for all U.S. patents is disclosed in the USPTO assignments database, but it's not always clear who the ultimate owner of a patent might be from the USPTO records as patents are often held by shell companies.
Can I just buy patents from the library outright?
Yes, almost all the patent are available for outright acquisition. The answer generally depends on the price you're prepared to pay.
How much does it cost to have access to the library, license patents and check them out?
The cost depends on the patents, the licensing arrangements and protection you're looking for. Tynax will help negotiate terms with the patent holder that are tailored to your specific needs based on the principle that you won't be paying for rights that you don't need.
About Tynax, Inc.
Tynax was incorporated as a Delaware corporation in 2003, and has operated ever since from its headquarters in Silicon Valley, California.
Since that time, Tynax has acted as a full-service patent broker representing buyers and sellers in patent sale and licensing transactions.
The Company operates an online Patent Library designed to help patent holders convert dormant assets into profit centers, provide clients with quality patents when they need them and slash the cost of acquiring patent protection.
Global ReachTynax operates a global network of experienced brokers and licensing executives and a sophisticated online exchange system matching hundreds of thousands of patent assets with thousands of patent buyers. Working through its traders, agents, brokers and representatives in many countries across the world, Tynax has access to the largest markets where patents, technologies and intellectual property are traded. The most active markets for the Company are currently: U.S.A., Japan, Korea, Taiwan, China & the European Union.
Experience Brokering Patent and Technology Asset SalesTynax acts as the broker representing the buyer in a patent sale and licensing transactions and works to structure the best possible arrangements for its clients. The parties to a transaction are represented by separate legal counsel. Tynax does not raise finance for clients, otherwise broker securities, offer or provide legal services. The transactions brokered by Tynax usually range in value from $100,000 to $10m. The average transaction size is close to $1m. See here for samples of transactions brokered by Tynax.
Broad Technology CoverageDevelopers use Tynax to reach a global audience of potential technology buyers and licensees. From small developers posting single listings, to large organizations publishing extensive catalogs, Tynax provides the platform to market technologies of all types. From wireless networking to semiconductor to medical devices, Tynax covers over 130 technology topics.
World Class TeamThe Tynax team is made up of world-class technologists, investment bankers, patent specialists, researchers, marketers and deal-makers.
Tynax Inc. has been consistently profitable generating positive cash flow
since inception in 2003. The Company is privately held and privately financed.