A Journal of University-Industry-Government Innovation and Entrepreneurship
Components of RICV | RICV |
---|---|
(a) Actual recurrent commercial value from royalty-bearing IP licenses | $1.0 mil |
(b) Actual licensing revenue from end-user licensing agreements (EULAs) | $0.5 mil |
(c) Actual licensing revenue from sale of equity in lieu of upfront payment in spin-offs | $5.0 mil |
(Assume TTO/PRI holds 10Â % equity stake of the spin-off, which has $50 mil valuation at the point of exit) | |
(d) Estimated commercial revenue from upfront and one-off licensing deals by licensee from product/services incorporating licensed IP | $10.0 mil |
(Assume upfront and one-off receipt of $1 mil at expected royalty rate of 10Â %) | |
Total RICV imputed | $16.5 mil |