What is the value of a patent? There are various financial models available, the most popular of which is discounted cash flow, but do they evaluate the patent or merely provide a somewhat arbitrary dollar value? Does the focus on a dollar value distract us from a wider evaluation of the benefits associated with a patent, or indeed any other form of intellectual property? The focus on dollar value presupposes a buy/sell transaction as the primary medium for value exchange but is this relevant today when we see a diverse range of IP transactions that are outside the traditional buy/sell model. (more…)