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Page 1: Potential Difference IP Licensing Model1

“How do we make the world work for 100% of humanity in the shortest possible time through spontaneous cooperation without ecological damage or disadvantage to anyone?” -- Dr. R. Buckminster Fuller

POTENTIAL +/- DIFFERENCE INC. TECHNOLOGY LICENSING BUSINESS MODEL Feb 2009

1. The business model is based on John Nash’s Nobel Prize winning economic math model which

basically states that competition as a business plan is not sustainable in the long run. The only way for any company to ultimately succeed is through cooperation and support.

2. Potential Difference Inc will be employing this cooperative approach in the development and

licensing of their Peripeteia regenerative acceleration generator technology, as well as all future technologies related to the generator and otherwise.

3. Our business plan revolves around creating a network of licensees, distributors and end user sales

outlets whereby the main objective is non exploitive support of each others’ specific abilities.

4. All licensing agreements have no up front costs associated with them and are essentially “free.” Each licensee will identify their own application(s) and will incur the expense of developing the hardware internally or purchasing from a participating member of the network. The licensing model includes fair and equitable revenue sharing.

5. All future developments, enhancements or new technologies will be offered to the participating

members under the same conditions. The same would apply to a participating member who adds technological value or products or services to the group. The idea here is that if company X develops a new product or enhancement to an existing product, their distribution, marketing and sales routes are already firmly established.

6. A company that decides to acquire licensing rights will have to identify their application and

develop the generator to fit their application. They will be entitled to all the support possible from the network members or if they decide to do it in house on their own they would have 100 per cent technological support from Potential Difference.

7. All licensing arrangements with Potential Difference will have a 50/50 revenue sharing percentage

and a one year duration period. At the end of each year the licensing agreement will be renewed, the revenue sharing portion will be reviewed and a performance-based system will be established with the goal of eventually reducing Potential Difference’s percentage down to 10 per cent. This will encourage participating members to add value to the cooperative network and to maximize their sales and distribution each year while also increasing their net revenue.

8. This business model is designed to encourage mutually beneficial business arrangements, to

discourage competition and the stress and wasted energy associated with that. It is definitely not an “open-source” business model where the user becomes dependent on the initially free product but then must purchase subsequent developments and enhancements. All future technological developments that make the current technology obsolete will be offered in the same sincere mutually beneficial way.