Difference between revisions of "Intellectual Property Exchange International, Inc."

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{{Infobox_Company   
 
{{Infobox_Company   
 
| company_name = Intellectual Property Exchange International
 
| company_name = Intellectual Property Exchange International
| company_logo =  [[Image:Ipxi_logo.gif ]]  
+
| company_logo =  [[Image:Ipxi_logo.gif]]  
 
| key_people =    [[Gerard Pannekoek]], CEO<br>[[David Silverman]], COO <br>[[Cameron Gray]], Director
 
| key_people =    [[Gerard Pannekoek]], CEO<br>[[David Silverman]], COO <br>[[Cameron Gray]], Director
 
| foundation =    2007  
 
| foundation =    2007  

Revision as of 03:56, 13 December 2011

Intellectual Property Exchange International
Ipxi logo.gif
Founded 2007
Headquarters Chicago
Key People Gerard Pannekoek, CEO
David Silverman, COO
Cameron Gray, Director
Products Yet-to-be-launched financial exchange with an intellectual property focus
Website www.ipxi.com

The Chicago-based Intellectual Property Exchange (IPXI) is aiming to become the world’s first financial exchange with an intellectual property focus. The exchange expects launch its first trading products in 2012.

The IPXI marketplace is designed to allow owners of IP to monetize their IP assets more efficiently and give them access to risk management tools to hedge their exposure. On the buy-side, it will give investors access to new trading, investment, and arbitrage opportunities.[1]

IPXI was created by Ocean Tomo LLC. IPXI aims to meet the transaction and data needs of the IP marketplace including issuers, investors, traders, market makers, and brokers. According to early IPXI press releases, the IP market has a value of $5 trillion in the United States alone.

In December 2011, IPXI announced that it had secured $10 million in funding from the Chicago Board Options Exchange (CBOE). The five founding members - who have pledged to trade at least one Unit Licence Rights (ULR) contract on the exchange - are Philips; Com-Pac International, the packaging group, as well as Rutgers University, Northwestern University and the University of Utah.[2]

Anticipated IPXI Products

Unit License Right (ULR)

Unit License Right issuance would replace the bilateral negotiation process in IP licensing. IPXI would act as the issuer’s master licensing agent, managing an initial sale of ULRs as well as post-sale secondary market activity.

Upon approval of a candidate deal, IPXI would work with the issuer to structure the terms of the issuance. IPXI, in coordination with the issuer and IPXI affiliates, would then conduct a road show with probable buyers seeking indications of interest for the initial sale. IPXI and its affiliates would underwrite the ULR issuance and manage the initial sale as well as the secondary market for post-sale ULRs.

IPXI and its affiliates would manage the enforcement of the IP on behalf of the issuer against alleged infringers. IPXI, in coordination with the issuer, would determine whether additional issuance is warranted and permissible under the contingencies prescribed in the original ULR issue.

Tradable Technology Basket (TTB)

Tradable Technology Baskets (TTBs) are financial futures products that will allow IP owners, investors, and traders to gain exposure to, or hedge, emerging technologies. TTBs would come in a variety of flavors defined by the basket of IP behind the contract. The baskets are groups of related patents covering a particular technology or technologies, and the futures product cash settles to the value of the IP in the basket. Rather than piecing together indirect exposure from a combination of equities and commodities, TTBs would give buyers and sellers direct exposure to solar energy or Blu-Ray or glucose monitoring or RFID or bioethanol.

Technology baskets would build upon the model developed for patent pools such as MPEG-LA or DVD6(C). Using proprietary tools and in-house IP expertise, IPXI would first assesses whether a candidate technology could be effectively fenced in by a pool of 1,000 to 5,000 issued U.S. patents. Following IPXI’s determination of patents to be included in a specific TTB, historical pricing and a product specification sheet would be developed. Finally, research tools and data would be made available to market participants to drive model development and trading strategies. By focusing product development on the IP, TTBs would provide access to emerging technologies that may or may not have resulted in marketable products and services. Further, TTBs could cover patents that are owned by public corporations, private firms, universities, and the public sector.

Single Corporation Intellectual Property Index (SCIPI)

IPXI will offer financial futures products tracking IP assets held by qualified public companies, private firms, universities, public sector entities, and those embedded within venture capital and private equity portfolios. The SCIPIs would represent a new generation of financial products - synthetic exposure to the IP driving economic growth in the 21st century.

Using proprietary tools and analysis, IPXI has the ability to link patents with their proper owners, whether they be public companies, private firms, small businesses, universities, public sector entities, or inventors. Once IPXI has assembled the appropriate patents in one bucket, i.e. all patents owned by Microsoft or all patents owned by MIT or all patents owned by NASA, the same valuation methodology used for TTBs is applied to the patents in each bucket. Similar to the development process for TTBs, historical pricing, research tools, and data for each SCIPI are made available to market participants.

History

Products and Services

Key People

References

  1. IPXI. IPX International.
  2. CBOE backs new intellectual property bourse. Financial Times.