Posted on June 8, 2009 at 5:54 PM
Filed under: Corporate Strategy | Information Technology | Intellectual property
Tagged: rpx corp.

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If you can't beat them, pre-empt them.

That seems to be the guiding philosophy of RPX Corp., which calls itself a defensive patent aggregator for IT companies. Started last fall, RPX now has 13 clients, including IBM Corp. (NYSE:IBM) and Cisco Systems Inc.  (NASDAQ:CSCO). They pay a subscription fee, and RPX buys patents -- $90 million worth so far -- that otherwise might end up in the hands of trolls, or nonpracticing entities, who would go on to sue for infringement.

The latest issue of The Deal magazine has a Q&A with RPX co-founder John Amster.  He explains that RPX's goal isn't so much to oppose the NPEs as it is a way to give them a path to liquidity without filing a lawsuit. See what you think. - Kenneth Klee


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