"When a company is issued a patent, it can sell the item covered by the patent on the open market without having to worry about competitors coming in and snatching up a piece of the action. But the problem with patents is that they only have a limited life, and when they run out, they can significantly impact a company's bottom line. This is a particular problem in the pharmaceutical industry, where drug companies rely on patents to sell the products they work so hard to develop. That's why drug companies are often subjected to what's known as a patent cliff. A patent cliff is what happens when a company's revenue starts plunging, or falling off a cliff, because an established product's patent reaches its expiration date and competitors can then start selling that product. While the term technically applies to any industry, it most frequently comes into play when talking about pharmaceutical companies."
Issues and developments related to Intellectual Property (e.g. Copyright, Fair Use, Patents, Trademarks, Trade Secrets) and Open Movements (e.g. Open Access, Open Data, Open Educational Resources (OER)), examined in the "Intellectual Property and Open Movements" and "Ethics of Data, Information, and Emerging Technologies" graduate courses I teach at the University of Pittsburgh School of Computing and Information. -- Kip Currier, PhD, JD
Showing posts with label exclusivity. Show all posts
Showing posts with label exclusivity. Show all posts
Thursday, July 7, 2016
What Is a Patent Cliff?; Fool.com via Fox Business, 7/6/16
Motley Fool Staff, Fool.com via Fox Business; What Is a Patent Cliff? :
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