Patent evaluation refers to the process by which business firms attempt to judge the value of the various patents which they own or wish to purchase. These patents are secured for new inventions and they protect the owners from having another entity infringe upon the economic gain which can be realized from the invention. The process of patent evaluation involves deciding whether or not the invention is marketable and technologically sound. In addition, the evaluation must ensure not only that the invention is a significant improvement upon existing products, but that it also refrains from borrowing so much from another product that it infringes upon a previously existing patent.
Inventions are at the heart of many entrepreneurial dreams. Many people think that they can build a new and better product that will revolutionize a specific industry. In a modern world dominated by technology, patents have become even more valuable, since they protect many of the newest innovations from being copied by competitors. For those reasons, it is crucial for a business which has access to inventions to perform a proper patent evaluation each time a potentially profitable innovation is born.
It is common for a patent evaluation to focus on the technological aspects of a new invention. If the new invention only provides a small improvement on an existing product, it might not be worth it for the firm to incur the prohibitive cost it takes to secure a patent. In addition, testing should be conducted to ensure that a new invention is reliable and actually fulfills what it is supposed to do before a patent is pursued.
The marketability of a new product is also a key to the process of patent evaluation. If a business has access to a new innovation that is markedly different than any other existing technology, it can be a huge moneymaking enterprise. Of course, even the most novel of inventions might not be worthy of a firm's time if there is no market for it.
Finally, legal concerns must be taken into account when performing a patent evaluation. A business that steps forward and secures a patent without considering the possible ramifications may be making a huge mistake. Any new technology that treads on previously patented work or was acquired by underhanded means can be the grounds for huge lawsuits. Companies must take all of these factors into consideration before proceeding with the costly process of obtaining a patent.