Ericsson is one of those companies of who have the strongest patents portfolio. And fully realizing this, Ericsson has decided to cash on this. In a recent statement, Ericsson’s CEO stated that his company will be working on monetizing their patent licenses and making the most out of them. The company has also somewhat restructured the managerial hierarchy so that now the chief intellectual property officer will be reporting directly to the CEO.
The president and CEO of Ericsson, Hans Vestberg, said in his statement that in the coming days, built-in wireless access services will expand beyond the prevalent devices. And in this grand market, a very interesting business opportunity is to cash on the relevant patents, which Ericsson fortunately possesses. And so, for any company to make a strong debut into this domain, it will have to purchase the patents from Ericsson.
Ericsson already earns a huge sum from it’s patents, having signed 90 license agreements with different companies. Now it is ramping up its efforts to take it’s patent-related revenue to much more $663 million. Kasim Alfalahi, Ericsson’s Chief intellectual property officer, said that Ericsson really wishes to sign agreements with companies which are fair and allow for a wide usage of Ericsson’s patents. Under the new organizational model, Alfalahi will be directly reporting to Hans Vestberg. This particularly shows how serious Ericsson is about it’s patent business which may well be a major focus of the company in the coming days.