IP Crucial for Crossing the Innovation "Valley of Death"

According to "Role of Intellectual Property in Innovation and New Product Development," (WIPO SME-ARTICLE/39213, March 1, 2005) the "valley of death" between conception and launch of a new product is the period where most inventions collapse due to the absence of external support or lack of commercially viability. During this time, IP assets, and particularly patents, often play a crucial role in facilitating access to "business angel" providers of early stage capital who can provide a lifeline for an invention to reach the marketplace. Ideas which are protected by IP stand a greater chance of crossing the valley because IP ownership plays an important role in influencing the decisions of such external partners and supports a strong negotiation position when it comes to entering into and maintaining business partnerships.