WiLAN diversifies in wake of patent licensing challenges
The deal for International Road Dynamics, which specialises in transportation, was struck on the identical day as WiLAN introduced plans to rebrand, spin-off its patent licensing enterprise and concentrate on buying web of issues firms and know-how.
James Skippen, govt chairman of WiLAN, defined throughout a convention name: “The authorized atmosphere for patent licensing enterprise has undergone vital adjustments. These adjustments have altered the efficiency and outlook for individuals, creating some headwinds to progress and lumpiness in monetary efficiency.”
“Because the atmosphere for patent licensing firms has modified a lot, we’ve got concluded that patent licensing as a standalone enterprise is not going to meet our long-term targets as a public firm.”
“The board of administration believes that the most effective path to develop the enterprise and guarantee shareholder worth is to accumulate promising progress firms and assist them whereas they develop their companies. The data and expertise we’ve got gained as a frontrunner in the patent licensing trade may be utilized to figuring out and evaluating promising know-how companies.”
WiLAN will grow to be Quarterhill on 1 June and the patent licensing enterprise will proceed as a subsidiary beneath the WiLAN model.
Skippen was optimistic about WiLAN’s future, regardless of the change in technique: “WiLAN has a really sturdy established model in the mental property licensing trade, which we’ll proceed to build-on.”
WiLAN generated revenues of $92.9 million final yr. “The future focus will likely be on producing constructive money movement and constant efficiency from the patent enterprise,” added Skippen, who has taken on the function of govt chairman, having beforehand served as president and CEO.
Skippen is taking short-term cost of WiLAN whereas a everlasting head is sought. He additionally expects to play a part-time function in the enterprise in the longer term.
