1. Making Sense of Nanotech IP Strategy
Donald J. Featherstone
Director
Sterne, Kessler, Goldstein & Fox
donf@skgf.com
Michael D. Specht
Attorney
Sterne, Kessler, Goldstein & Fox
mspecht@skgf.com
Presented at:
International Engineering Consortium
NanoEngineering World Forum
June 23, 2003 - Marlborough, MA
© 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C.

2. “Innovative companies have been thrust
into an intellectual property arms race.”
- from Ideas to Assets
1 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 1

3. No. . . Just a Horse Race . . .
With Winners, Losers and Some No Shows.
2 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 2

4. Business strategy drives IP strategy,
not the other way around.
Nanotechnology is no different.
3 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 3

5. Technology Enabler
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primarily provides nanotechnology to others (e.g.,
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Nanosys, Quantum Dot, Nanotek)
Application Provider
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primarily produces a product or service based on
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nanotechnology (e.g., Nanoink)
Technology Adopter
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primarily adopts nanotechnology from others to
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enhance products (e.g., Levi’s)
4 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 4

6. Intellectual (and Revenue) Capital Builder (e.g.,
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MIT, Northwestern, Harvard)
primarily develops fundamental nanotechnology for
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intellectual and revenue stimulation
The Government
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5 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 5

7. Intellectual Asset Management Strategy
IP Value Generation Foundation
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IP Value Generation Process
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6 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 6

8. Leverage
Protect
IP Value Generation
Process
Value
Identify
Preparation Education
IP Value Generation
Foundation
7 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 7

9. Engage experienced IP advisors
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Shortage of experienced IP advisors in Nano
–
Maintain an IP Strategy and Plan
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Recognized importance in Nano
–
Maintain an Employee IP Incentive System
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Not much in early stage nano, still driven by emerging
–
nature of technology
Know what you own, own what you know
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8 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 8

10. Communicate your IP Strategy & Plan
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Internal
–
– External – Give notice that you are a player
(when you are a player)
Educate Team Members and
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Stakeholders on IP Basics
Patent barring events
–
Timetables for patents to issue
–
Don’t pretend to be patent attorneys
–
9 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 9

11. Internal
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Invention Disclosure Forms
– Really Good Stuff
Engineering Brainstorming
–
Marketing Brainstorming
–
Engineering
External Marketing
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VC Bumblebees
–
External IP Identification Tools
–
10 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 10

12. Assess value to your business strategy
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Assess value to others (if not within your
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business strategy)
Cross Licensing Potential
–
Revenue Potential
–
Defensive Value
–
11 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 11

13. What is the right form of IP Protection?
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Pursue IP Protection
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License In – Level of Exclusivity, Future
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Development, Term, Field of Use
12 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 12

14. Enhance the value of your product
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License out
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Cross License
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Basis for Funding
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Company Credibility
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13 © 2003, Sterne, Kessler, Goldstein & Fox P.L.L.C. 13