New Burford Capital Research Reveals Significant Opportunities for Businesses through Patent Monetization
Rhea-AI Summary
Burford Capital has released new research highlighting significant untapped opportunities in patent monetization. The study reveals that 79% of in-house lawyers report their companies are underutilizing their patent portfolios, while 73% note increased patent monetization revenue over the past decade.
Key findings show that 71% of in-house lawyers have either divested patents or are exploring divestiture options. Additionally, 72% of law firm lawyers identify high litigation costs as a barrier to pursuing patent claims. The research indicates growing adoption of legal finance in patent monetization, with 59% of law firm lawyers reporting clients using this approach.
The study, conducted by GLG, surveyed 300 in-house IP counsel and law firm partners across North America, Europe, and Asia. The US remains the primary market for patent monetization, while the Unified Patent Court (UPC) is expected to drive increased enforcement in Europe, according to 74% of in-house lawyers.
Positive
- Strong growth in patent monetization revenue reported by 73% of in-house lawyers
- High adoption rate of patent divestiture strategy (71% of in-house lawyers)
- Increasing use of legal finance for patent monetization (59% of clients)
- Expanding market opportunities in Europe with UPC implementation
Negative
- 79% of companies underutilizing patent portfolios, indicating significant revenue loss
- High litigation costs deterring 72% of clients from pursuing patent claims
News Market Reaction
On the day this news was published, BUR gained 1.91%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Nearly 8 in 10 in-house lawyers say their companies are leaving value on the table
Despite substantial investments in securing and maintaining patents, many companies fall short in leveraging their intellectual property—resulting in missed financial opportunities and ongoing costs that could otherwise be offset through monetization. This research shows companies shifting to a more proactive stance toward patent monetization as they face mounting economic pressures, rising costs of maintaining large patent portfolios and headline-generating enforcements and divestitures by major brands that increase acceptance. Nearly
"Patent monetization remains a significantly underutilized asset for many businesses," said Christopher Bogart, CEO of Burford Capital. "Companies frequently hold valuable patents that require substantial investment to enforce, incurring significant expense—risk we routinely finance for clients. In today's climate of intensifying global competition and rapidly evolving IP enforcement landscapes, legal finance empowers companies to strengthen their patent monetization strategies and take a more proactive, value-driven approach to IP management."
"Companies have a significant opportunity to unlock value from their intellectual property," said Katharine Wolanyk, Managing Director at Burford Capital and head of its intellectual property and patent litigation finance division. "In conversations with CFOs and general counsel across industries, we frequently hear that patent portfolios are viewed as cost centers rather than assets, and this research substantiates that assertion. Legal finance offers a powerful solution by transforming underutilized IP assets into a source of liquidity that can fuel business priorities and allow companies to continue the essential cycle of innovation."
Key findings from the study include:
- Companies are missing revenue opportunities: Even as patent monetization is increasing,
79% of in-house lawyers say that more than a quarter of their patent portfolio is underutilized. The costs of maintaining patents without monetization include lost revenue, delayed market entry and reduced market share. - Revenue generated by patent monetization is growing:
73% of in-house lawyers report that revenue from patent monetization has increased over the last 10 years and69% of in-house lawyers say their organizations have become more likely to monetize patents in the past decade. - Divestiture is a fast-growing monetization strategy:
71% of in-house lawyers have already divested patents or are actively exploring divestiture options. - Clients can de-risk direct enforcement with finance:
72% of law firm lawyers cite the high cost of litigation as a deterrent to clients pursuing meritorious patent claims. - Legal finance plays a growing role in patent monetization:
59% of law firm lawyers say clients use legal finance for patent monetization;51% of in-house lawyers say they are actively planning or exploring the use of legal finance to support patent enforcement and monetization going forward. - Global patent monetization is active: The US remains the top market for patent monetization due to strong enforcement mechanisms. The Unified Patent Court (UPC) is driving change in
Europe , with74% of in-house lawyers expecting increased enforcement in the region.
This research, commissioned by Burford and conducted by GLG, captures insights from 300 in-house IP counsel and law firm partners involved in patent litigation in
The research report can be downloaded on Burford's website.
About Burford Capital
Burford Capital is the leading global finance and asset management firm focused on law. Its businesses include litigation finance and risk management, asset recovery, and a wide range of legal finance and advisory activities. Burford is publicly traded on the New York Stock Exchange (NYSE: BUR) and the London Stock Exchange (LSE: BUR), and works with companies and law firms around the world from its global network of offices.
For more information, please visit www.burfordcapital.com.
This announcement does not constitute an offer to sell or the solicitation of an offer to buy any ordinary shares or other securities of Burford.
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SOURCE Burford Capital
FAQ
What percentage of companies are underutilizing their patent portfolios according to Burford Capital's research?
How has patent monetization revenue changed over the past decade according to BUR's study?
What percentage of companies are exploring patent divestiture as a monetization strategy?
How many legal professionals participated in Burford Capital's patent monetization research?
What percentage of law firm lawyers say their clients use legal finance for patent monetization?
