Patent Assertion Entity Activity

Figure 3.11: Number of Licenses Involving a Given Licensee
Note: Figure represents 1,463 firms that are licensees.
A Few Licensees Paid Most of the Royalties
A relatively small number of the approximately 1,400 licensees observed in the Study Data accounted
for the vast majority of royalties paid to Study PAEs. Figure 3.12 presents the share of revenue
generated by the Study PAE licensees who paid the largest royalties. The concentration of royalties
paid was most pronounced for Portfolio PAEs. The top twenty-five largest revenue Portfolio PAE
licensees generated 87% of revenues, the 26 –50
th
th
largest revenue licensees generated only 10% of
revenues, and the remaining Portfolio PAE licensees accounted for only 3% of revenues. By
contrast, the top twenty-five licensees that paid the largest royalties to Litigation PAEs accounted
for roughly half of Litigation PAEs revenue.
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