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US: FTC moves forward with landmark patent troll study

 |  September 29, 2013

The US Federal Trade Commission’s unanimous vote to seek public comment on plans to obtain information from so-called patent trolls was a landmark step towards the regulator’s plans of a comprehensive study of the highly controversial entities.

The 4-0 vote, cast Friday, further opened the gates for the regulator to collect information on about 25 pattern assertion entities, also called patent trolls. The companies have earned much debate in recent years as to the possible anticompetitive effects of their businesses, which obtain patents for the sole purpose of launching litigation against companies that use them.

In a statement, the FTC said that the upcoming investigation is intended to “develop a better understanding of how [patent trolls] impact innovation and competition.”

Reports say litigation from the PAEs account for more than 60 percent of all litigation within the US.

The FTC will reportedly send information requests to about 15 companies within the wireless telco sector.

Full Content: Reuters

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