What is the primary function of Non-Practicing Entities in the innovation ecosystem?
Answer
They acquire patent portfolios from other companies solely to enforce those rights.
Non-Practicing Entities, sometimes called patent assertion entities, typically do not engage in the creation of new products or the original development of technology. Instead, they purchase large, pre-existing patent collections from firms looking to shed assets. Their primary business model involves leveraging these acquired rights to enforce intellectual property claims against others, effectively monetizing research and development output that was originally produced by someone else.

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