AST Announces Results for IP3 2023 – Collaborative Industry Patent Purchase Program
Princeton, New Jersey, April 2024 AST, the Member-driven leading provider of proactive and collaborative patent defense solutions, today announced the successful conclusion of its eighth annual Industry Patent Purchase Program (IP3) for 2023. The IP3 is a collaborative, fixed-price, fixed-term initiative that enables patent owners to access a consortium of dozens of leading technology companies.
Similar to previous IP3 programs, this year’s program attracted substantial interest not only from AST member firms, but also from individual sellers, universities, companies, brokers, and law firms. Over a two-month period, more than 30 AST members reviewed upwards of 850 submissions from 330 sellers and brokers. Participating companies in IP3 2023 included top industry names such as: Cisco, Google, IBM, Intel, Meta, Microsoft, Oracle, Salesforce, Snap, Tik Tok, Uber, and Verizon, among others.
“This year marked our eighth IP3 program, and it has been the largest and most impactful since its inception. We’ve invested more and acquired a greater number of patents than in any previous year, significantly expanding the scope and scale of the program for our members. This success not only highlights the growing trust and participation of our members but also reinforces our commitment to continuously enhance and adapt our strategies to better serve their evolving needs,” said Russell W. Binns Jr., CEO of AST. “With each program we’ve seen a progressive increase in the quality and relevance of patents offered. The sustained growth and success of the IP3 programs underscore our commitment to providing innovative and efficient patent acquisition strategies that meet the dynamic needs of our members.”
AST Members invested $4.334 million to acquire 48 deals, encompassing 53 patent families with 80 U.S. patents and 106 active assets. Sellers’ asking prices ranged from $3,500 to $500,000 per deal, with an average purchase price per lot of $90,281 and an average purchase price per patent family of $81,774. Notifications of intent to purchase were issued in mid-October 2023, and all transactions were finalized by the end of January 2024.
The 2023 program received over 1,000 submissions, with 874 considered valid and accepted for review. The offerings included more than 2,300 active assets, featuring 1,364 US patents. 93% of the deals had asking prices below $500,000. The average price for submissions under $500,000 was $117,000, with a median price of $90,000 across all submissions. Notably 92% of all submissions consisted of single-family patent offerings.
Approximately 72% of the deals purchased were previously received and reviewed by AST members, highlighting the benefits of ongoing engagement with AST. Updated review materials, such as Evidence of Use charts, supporting documentation, changes in sellers’ asking prices, additional patent assets, and new AST members, were key factors driving interest in previously reviewed submissions.
In line with AST’s catch-and-release mandate, the acquired IP3 2023 deals are now available for sale and licensing on AST’s website, accessible to potential buyers or their representatives. For more information, please contact patent_sales@ast.com.
Established in 2007, AST operates as a member-driven cooperative aimed at reducing patent risks. AST serves the most advanced and well-known international technological companies in the world, leveraging a cost-sharing model for the acquisitions of patent rights. For more information, visit the AST website.
Contact Information:
Member Services: member_services@ast.com
Patent Sales: patent_sales@ast.com