Patent licensing with spillovers

Reiko Aoki*, Yair Tauman

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review


We study the effect of spillover on extent of licensing of a process innovation. With spillover, increasing the number of licenses makes non-licensees more efficient in addition to increasing competition among licensees. Despite these effects, a patentee of a significant innovation will sell more licenses when there is spillover.

Original languageEnglish
Pages (from-to)125-130
Number of pages6
JournalEconomics Letters
Issue number1
StatePublished - Oct 2001


  • Innovation
  • L1
  • Licensing
  • O32
  • Patents
  • Spillover
  • Technology licensing


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