RadioShack Brand Still Alive
After $26.2 Million Sale

IP News and Information

For many years, before the Internet and big electronic stores like Best Buy started to pop up and before the Wal-Marts and Targets of the world took over the electronic retail space, people mostly shopped at department stores for home electronics. If consumers wanted another option, many of them would turn to RadioShack. Although it was never as big as Best Buy or Wal-Mart, RadioShack was synonymous with electronics and technology for many years. However, after years and years of declining sales and continued competition from the big boys, RadioShack has been treading water and barely staying afloat.

New Ownership, Same Name

The company was recently put up for auction after filing for bankruptcy and was purchased by General Wireless, which is an entity of the Standard General hedge fund. While the company has been losing money for years, it appears that the RadioShack brand name still carries some clout; and that clout has some value. The new owner announced that the more than 1,700 updated RadioShack locations would still live on with a new co-branding partnership with Sprint, with 1,400 of those stores carrying the new moniker: “The Sprint Store at RadioShack.”

What’s in a Name?

RadioShack has been in deep, troubled financial waters for many years and according to reports, the company owes about $600 million to several different debtors, including landlords, bondholders, and suppliers. However, despite the less than positive financial outlook, the company is excited to begin this new chapter going forward. This is also a great example of how valuable intellectual property can actually be. Despite the fact that RadioShack has hundred of millions of dollars in debt, it’s brand name is still one of the most recognizable in the country. In fact, that brand name was powerful enough to attract General Wireless, which paid $26.2 million for the RadioShack brand.

Do You Have IP With Value?

This goes to show that a recognizable and marketable brand name or trademark could still be worth millions even if the company it’s attached to is no longer profitable. It is another example of the potential that intellectual property has and of the fact that IP is a growing commodity that should not be overlooked by companies that possess it. Anyone that owns IP, whether it’s patents and trademarks, should look at all of his or her options for monetizing that IP.

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If you are interested in monetizing the IP you own but you’re not sure how to do it, then please contact IPTrader for help. We are an IP brokerage firm that will help you identify and valuate your IP and then find potential buyers who are interested in purchasing or licensing those assets. Please click here to contact us for more help.