IP Could Be New Revenue Source for Energy Companies

IP News

You probably won’t hear anyone complain about the falling price of gasoline; almost anyone that is, except for the energy companies. With crude oil prices down about 60 percent during the last six months alone, oil companies are continuing to take a hit. Additionally, there doesn’t appear to be any let up in the falling prices anywhere in sight. Ask any oil company, or any other company that relies on the oil industry, and they will tell you that the business environment is not good for energy companies right now. So where does that leave oil companies and is there anything else they can do to create new revenue streams? The answer is yes.

Intellectual Property Will Be Key to Success

Oil companies really need to look no further than their intellectual property. With innovation being so important in the current business environment, intellectual property is at a premium right now. It’s no secret that innovation already plays a huge role in the energy industry, as it does in any other industry. Thanks to new innovations and technologies, U.S. oil companies have been able to increase oil production dramatically. That means there is now an increased value on IP in the oil industry. Plus, with the current market downturn, technological efficiency, production and dominance will play an even bigger role in determining which companies thrive and which companies flutter.

Tough Times Call for Innovative IP

When business is sputtering companies can rely on their intellectual property to help keep them going. There are several ways companies, including struggling energy companies, can make their IP work for them, including, but not limited to:

• Monetization and licensing of patents
• Implement and operate an IP acquisition plan
• Create and manage an enforcement strategy
• IP protection
• Research potential IP divestiture

Make Your IP Work for You

Most companies with IP portfolios tend to hold onto those portfolios tightly. However, during down times, looking for ways to make their IP rights work for them, rather then holding onto them, can be a very effective strategy for supplementing or increasing revenue. This can include selling older IP rights that a company no longer uses, but that could be worth something to another company. Likewise, allowing another company to license still-essential IP could produce new streams of significant revenue.

A Good Time for Acquisitions?

Meanwhile, even when business is down, it might still be a good time to consider acquiring new IP, especially from competitors who are struggling and may be forced to sell. By purchasing this additional IP during down times, your company could be better poised to take advantage of it when things turn around. Companies in this position should also take a careful look at possible infringers from all over the world. This could be a valuable source for additional revenue for companies, simply by enforcing the rights they already own.

IPTrader Can Help

At IPTrader, we specialize in helping businesses and organizations monetize their IP. By bringing buyers and sellers/licensers together, we can help companies find new sources of revenue when business is otherwise down. Please contact us below if you need help buying, selling or trading your IP, or click here to send us your information online.