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A Comment on “Do Patents Facilitate Financing in the Software Industry?”

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  • James Bessen

    (Research on Innovation, Boston University School of Law)

Abstract

“Do Patents Facilitate Financing in the Software Industry?” by Ronald J. Mann contributes empirical evidence to our understanding of how software startups use patents. However, a close examination of the actual empirical findings in this paper points to rather different conclusions than those that Mann draws, namely: few software startups benefits from software patents and patents are not widely used by software firms to obtain venture financing. Indeed, among other things, the paper reports that 80% of venture-financed software startups had not acquired any patents within four years of receiving financing.

Suggested Citation

  • James Bessen, 2006. "A Comment on “Do Patents Facilitate Financing in the Software Industry?”," Working Papers 0601, Research on Innovation.
    • Handle: RePEc:roi:wpaper:0601
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    File URL: http://www.researchoninnovation.org/comment%20on%20Mann.pdf
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    Cited by:

    1. Sebastian von Engelhardt & Sushmita Swaminathan, 2008. "Open Source Software, Closed Source Software or Both: Impacts on Industry Growth and the Role of Intellectual Property Rights," Discussion Papers of DIW Berlin 799, DIW Berlin, German Institute for Economic Research.

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