This can discourage new entrants from innovating in areas where patent thickets are common, ultimately reducing competition and slowing the pace of technological progress. 2.2. Increased Costs and Legal Risks The presence of data contact number multiple overlapping patents often results in high licensing fees and litigation risk. Companies often have to pay significant fees to license the patents necessary to develop and commercialize new products.
Furthermore, the risk of patent infringement lawsuits can lead to costly legal battles, discouraging further innovation. This is particularly evident in industries such as pharmaceuticals and digital communications, where extensive patent portfolios are common. 2.3. Slow Pace of Research and Development Patent bottlenecks can slow down R&D by increasing the transaction costs associated with patent litigation.
