Identifying companies for M&A/investment target utilization map

https://whimsical.com/m-and-a-en-UGY9GyxGbGiqbLJHb7VGtR

Using the AR technology field as an example, we provide contents for finding M&A/investing companies using PatentPia GoldenCompass. If you click on the chain(link) marks that are attached to each item in the above utilization map, the example page will open in a new window.

Importance of identifying M&A/investing company targets from a patent view

There are so many factors that go into the identification, review, and execution of technology companies for M&A and investing companies. The most objective, and virtually the only, comparative data on technology companies is patent data.

A small to mid-sized technology company may have a good patent portfolio, but it doesn't really represent its true value in the marketplace. However, if a large/ global company with market leadership or market dominance owns/leverages the patent portfolio of the M&A/investing company, the i) disruptive power, ii) impact, iii) value owned/leveraged, iv) market dominance , v) bargaining power, etc., becomes incomparably higher.

Views on recommending M&A/investing companies

Companies specialized in a specific field vs. rapidly growing companies

GoldenCompass recommends specialized companies that are focused on a specific technology field as primary candidates for M&A/investing purposes. Example link 1, Example link 2

On the other hand, rapidly growing companies in a particular technology field can also be good candidates. Example link 1, Example link 2

Companies with high patent relevance

For a global/large company with M&A/investment potential, it is easy to identify domestic and foreign companies with high patent dependency/relatedness to the company's investment/M&A interested technology field. Dependency/relevance can be measured by i) high or rapidly growing forward citations, ii) high or rapidly growing rejecting subsequent patents.

Companies increasing their investments in technology vs. companies in trouble

On the other hand, for a given technology field, i) companies that are increasing their technology investments, and ii) companies that are patently distressed can be discovered with just one click. For a given technology field, companies that are increasing their technology investments are i) rapidly growing companies in the technology field, ii) patent purchase companies/licensing companies(Example 1, Example 2), iii) companies with increasing No. of self-forward citations(Example 1, Example 2). Companies in distress include: i) companies that have been litigated as defendants, and ii) companies that have been petitioning for or lost a judgment. For these companies, we can identify and make recommendations to specialized companies in their technology field.