Patent Paradox Revisited: Determinants of Patenting in the U.S. Semiconductor Industry, 1980-94
AbstractThis paper examines the patenting behavior of firms in an industry characterized by rapid technological change and cumulative innovation. Recent evidence suggests that semiconductor firms do not rely heavily on patents, despite the strengthening of US patent rights in the early 1980s. Yet the propensity of semiconductor firms to patent has risen dramatically over the past decade. This paper explores this apparent paradox by analyzing the patenting activities of almost 100 US semiconductor firms during 1980-94. The results suggest that stronger patents may have facilitated entry by firms in niche product markets, while spawning "patent portfolio races" among capital-intensive firms.
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Bibliographic InfoPaper provided by Competition Policy Center, Institute for Business and Economic Research, UC Berkeley in its series Competition Policy Center, Working Paper Series with number qt1rg1088v.
Date of creation: 01 May 1999
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patents; intellectual property; cross-licensing; semiconductor industry;
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