PHOENIX, Nov. 13, 2019 /PRNewswire-PRWeb/ -- LOT Network Inc., the leading international nonprofit community of companies protecting against costly litigation brought by patent assertion entities (PAEs, also known as "patent trolls"), today announced that Disney, CenterPoint Energy, Synchrony and VISA have recently joined its membership ranks. The addition of these companies and others brings the total number of LOT Network members to more than 500.
LOT Network has grown dramatically since its formation. Launched in 2014 with just 11 members, and rapidly growing at a compounded annual average growth rate (CAGR) of more than 100%, LOT Network now includes global leaders across verticals including automotive, finance, entertainment, software, retail, manufacturing, as well as leaders in emerging industries like blockchain. Moreover, the organization continues to demonstrate broad global appeal, attracting members from more than 35 different countries.
"Our community represents a diversity that mirrors the growing trend toward the incorporation of software into nearly every industry," said Hideki Sanatake, Deputy Group Executive of Corporate Intellectual Property and Legal, Headquarters at Canon. "Companies across industries and spanning the globe are taking proactive steps to ward off the increased PAE litigation exposure that this entails."
Before this era of rapidly converging technologies, patent strategy wasn't always a priority for in-house legal departments. However, a digital transformation movement is prompting companies to spend trillions of dollars globally on technology and IT assets, which are ripe for PAE litigation. In fact, in 2018, 85% of patent litigation in the high-tech industry was brought by PAEs, a trend that is likely to continue as technology convergence across industries accelerates.
"Many financial services institutions are incorporating technologies that may overlap with other high tech industries, like artificial intelligence or mobile technology," said Dan Pirolo, SVP and Senior Counsel, Technology & Intellectual Property, Synchrony. "We are pleased to join a group that is helping with the legal challenges that can inhibit innovation and technology."
LOT Network members are optimizing their business for success and they realize they need to protect their investments from PAEs.
"The importance of patents and a patent strategy in today's environment cannot be overstated. For companies that prize innovation, patents are critical tools to protect their insights and investments, but – like any tool – they are subject to misuse," said Deputy General Counsel and Chief Ethics & Compliance Officer Shane Kimzey, CenterPoint Energy. He continued, "PAEs are known to track patent activity and take advantage of the slightest opportunity. Joining LOT Network affords us efficient, meaningful protection against PAEs, as well as access to a community of like-minded companies that are collectively recognized as global IP thought leaders."
The members of LOT Network represent a "Who's Who of IP," including, among others, 10 of the world's largest patent holders, 10 of the world's largest AI patent holders, seven of the nine largest automotive OEMs and 10 of the world's largest blockchain patent holders. Jointly, these companies, along with the other LOT Network members, immunize the community from nearly two million worldwide patent assets that could be a threat in the hands of a PAE.
All LOT Network members agree if, and only if, any member's patent assets fall into the hands of a PAE, the company provides a license to all other network members, thereby immunizing them against PAE litigation from those assets. Members retain all other traditional uses of patents – including selling them, or using them to sue other companies.
About LOT Network, Inc.:
LOT Network Inc. is the leading international nonprofit community of companies protecting against costly litigation brought by patent assertion entities (PAEs, also known as "patent trolls"). LOT Network currently protects its members from PAE assertions from nearly two million worldwide patents and counting. Members include global market leaders such as Red Hat, Canon, Google, Tesla, Cisco, Amazon, Microsoft, Alibaba and Salesforce, as well as innovative companies across industries. Please visit http://www.lotnet.com to learn more.
SOURCE LOT Network
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