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The Rising Tide of Patent Damages

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  • Gilbert, Richard J

Abstract

Very large awards and settlements for patent infringement have increased dramatically since the 1980s. A large fraction of these awards have occurred in the computer hardware and software industries. Complex technologies such as computer hardware and software require rights to a very large number of patents. One explanation for the large awards for patent infringement is the bargaining power of a patentee that has a credible injunction threat for a product that requires rights to multiple patents. This can lead to infringement damage awards and settlements that overestimate the patent’s contribution to product value.

Suggested Citation

  • Gilbert, Richard J, 2010. "The Rising Tide of Patent Damages," Competition Policy Center, Working Paper Series qt86h8863t, Competition Policy Center, Institute for Business and Economic Research, UC Berkeley.
    • Handle: RePEc:cdl:compol:qt86h8863t
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