Cross Licensing: Uses and Dangers
Definition:Definition:Definition:Definition: grants a company the right to use another company’s patents inexchange for the other company receiving rights to use the first company’spatents; cross-licensing can includeseveral companies. Basically it assuresthat a company can perform researchand development and sell products without being concerned with violatinganother company’s patent rights.
Examples:Examples:Examples:Examples:Microsoft and Panasonic have a cross licensing agreement which will affect consumer electronic devices. Apple and SamsungDangers and Risks:Dangers and Risks:Dangers and Risks:Dangers and Risks: Anti-trust concerns from federal government: large companies cross-licensing andthen suing other new competitors.Large companies can use this for a monopoly because it gives them leverage over their smaller competitors.