Financial Modeling of IP Assets
Our consultant team has developed customized financial models that benchmark a company’s return from its IP assets. This service can be performed with or without the cooperation of the company/entity modeled. Clients may find the service helpful, for example, during the due diligence process for an acquisition.
Modeling the impact of IP assets on a business maps the development and execution of the business’ overall plans and objectives. Our models can include IP asset assessment of long-term IP licensing revenues and the potential revenues from the trading these IP assets.
For example, the Avancept team have analyzed Nokia Technologies’ existing IP assets and future IP licensing revenues to calculate the revenues that will be gained by Nokia following the divestiture of its telecom division to Microsoft. In completing such projects, we employ skills that include IP data mining, IP data analysis, IP valuation, IP licensing, IP litigation, NPE activity, IP & patent reform and key IP court battles to determine the strengths and weakness of the IP assets under analysis. We have also defined possible new types of activities that the IP assets may be applied to going forward, and considered who stands to benefit from these activities and who stands to lose.
Where appropriate, we have made conclusions about the future strategic application of the IP assets analyzed and the extent to which the company owning these IP assets could employ them internally to develop new products and services. Where appropriate, our consultants have also examined the extent to which the management team associated with the IP assets have the skills and inclination to aggressively exploit these assets. This information may be helpful to both competitors and investors.