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PATENT POOLS AND CROSS-LICENSING IN THE SHADOW OF PATENT LITIGATION

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Figure

Figure 1: Firm A’s Share of Royalty Income as a function of α with β=1/5
Figure 2: Discrepancy between the Private and Social Incentives to Litigate  αβ1 ℒA Litigation by A Nℒ No Litigation ℒBLitigation by B α αβ95)4(=−Ψ=Bββα95)4(=−Ψ=Bαβα9121−=−0 94541 9454
Figure 3. Overlapping Patent Scopes SB
Figure 4. Divergence in the Private and Social Incentives to Litigate

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