Jack J. Lu

Jack J. Lu
Intellectual Property Market Advisory Partners, LLC (IPMAP) · Intellectual Property Market Advisory Partners, LLC (IPMAP)

PhD CFA CIPP/US

About

24
Publications
25,344
Reads
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152
Citations
Introduction
Dr. Jack Lu, CFA, CIPP/US is the Founding Partner & Chief Economist of IPMAP. An economist and financial analyst with an engineering background, he specializes in royalty determination and damage analysis for IP litigation including patents and trade secrets. Equipped with a CIPP/US certificate, Jack also provides economic and financial consulting in Article III standing, class certification, and damage/settlement estimate for litigation and regulatory procedures involving data loss, privacy breach, and security incident. Jack has extensive experience in valuing patents, trade secrets, data assets, data-intensive platforms, and other intangibles for assets & corporate transactions. He currently serves as the Sr. VP for Economic Analysis & Survey, Licensing Executives Society (USA Canada).
Additional affiliations
June 1997 - August 1997
American Enterprise Institute
Position
  • Intern

Publications

Publications (24)
Article
Full-text available
Patent valuations as reflected by patent sale price and licensing royalty rate have been frequently discussed and sometimes hotly debated in mass media, expert analysis, and scholastic research. However, there have been no studies to examine the relationship, or the lack thereof, between such valuations across the markets of patent transaction and...
Article
Full-text available
This article expands the analysis about patent valuations in patent transaction and licensing markets, by including patent damage awards and by exploring the dynamics, as well as the driving forces behind the dynamics, of the valuations across the markets of patent transaction, licensing, and litigation. Valuation economics posits that patent pri...
Article
Full-text available
This article sheds light on the potential cost that could be incurred by Capital One in the wake of the data breach, as part of our efforts to help professionals and the general public fathom the magnitude of the impact. As the investigation continues, further information will be revealed. We hope this article will also offer a framework for those...
Chapter
This paper analyzes the combined samples of running royalty rates and lump payments collected by the Licensing Executives Society (USA Canada) (LES USA Canada) through the High Tech Deal Term and Royalty Survey in 2011, 2014, and 2017. The Surveys covered the 10-year period of 2008 to 2017. The analysis presented in this paper is based on 213 sampl...
Chapter
The 2017 Licensing Executives Society (USA Canada) (LES USA Canada) High Tech Deal Term and Royalty Survey was launched on July 28, 2017 and closed on September 30, 2017. The Survey received 155 complete deals from 70 companies and organizations. Since the inaugural Survey in 2011, LES High Tech Royalty Surveys have collected a total of 477 samples...
Article
Full-text available
Demand is increasing for quick, easy and relatively reliable methods of patent portfolio valuation in patent-intensive corporate transactions. An augmented market approach may be the solution.
Chapter
The High Technology Sector of the Licensing Executives Society (U.S.A. and Canada) conducted the second Deal Term and Royalty Survey in 2014. The 2014 Survey received 94 samples of licensing transactions occurred from 2011 to the first half of 2014. To explore the market dynamics, this report analyzes the combined data of the 2011 and 2014 Survey,...
Chapter
The High Technology Sector of the Licensing Executives Society (U.S.A. and Canada) conducted the second Deal Term and Royalty Survey in 2014. The 2014 Survey received 94 samples of licensing transactions occurred from 2011 to the first half of 2014. To explore the market dynamics, this report analyzes the combined data of the 2011 and 2014 Survey,...
Article
Full-text available
This essay presents the most recent results from an on-going research project that collects and analyzes the market prices of patent portfolio transactions. The project was initially launched in 2012 as part of the efforts to better understand the pricing behavior of the rapidly growing patent market. As of the end of 2014, the database created by...
Article
Full-text available
In an effort to decompose and adjust patent sales prices for patent portfolio valuation, this study analyzes patent transaction data collected as of September 2012. After presenting the descriptive statistics, the analysis designates a hedonic-model-like specification to identify the value components and quantify component premiums. According to th...
Article
The High Technology Sector of the Licensing Executives Society (U.S.A. and Canada) conducted the first deal term and royalty survey in 2011. A total of 228 licensing transactions were reported, and 220 of them included various forms of royalty payments. This article presents the economic and econometric analysis on the lump sum payments and the fla...
Chapter
Abstract: The High Technology Sector of the Licensing Executives Society (U.S.A. and Canada) conducted the first deal term and royalty survey in 2011. A total of 228 licensing transactions were reported, and 220 of them included various forms of royalty payments. This article analyzes the descriptive statistics of the lump sum payments and the fla...
Article
Full-text available
In most headline commentaries and legal studies, non-practicing entities or NPEs are alleged to have dramatically increased the business costs of practicing or producing companies. NPEs are sometimes monikered as patent trolls who would hold up practicing companies that have made irreversible capital investment to adopt the patented technology, and...
Article
Full-text available
Nonpracticing entity or NPE has sparked hot debates among practitioners and scholars. Numerous studies have been published in a wide range of areas in law, economics, and innovation management. This study takes an integrating approach, by reviewing what we have learned from the literature, analyzing the major issues in NPE economics, and finally, p...
Article
Full-text available
We provide an historical survey of Chinese economic reform, a discussion of the current major problems, and measures of the evolution of inequality in China through time, 1979-1996.We argue that China's most pressing reform needs now are in the social sphere, specifically the creation of an adequate social security system. The paper concludes with...
Article
There has been no previous research on the link between license market and stock market. Are the two markets integrated or coupled such that the valuation of the same portfolio of intangible assets is consistent cross market? This study tries to fill the research gap. Based on the data of royalty rate and Tobin’s Q across 14 industries, the analysi...
Article
The 25% rule is a creative and useful rule of thumb for royalty determination. However, the recent efforts in empirically proving its validity have not been very impressive. In this short essay, I revisit the regression studies in Kemmerer and Lu (2008), and conduct pro forma analysis by correcting the data mismatching and adding back hypothetical...
Article
It is an intuitively plausible supposition that upfront payment reduces running royalty in a license agreement. While the supposition seems to be valid if license market is efficient, the imperfection and distortions in real license market renders its validity much less warranted. Empirical test is deemed to be challenging due to the availability a...
Article
This paper continues where Kemmerer and Lu (2008) left off, and explores the relationship between royalty rates and market structure among industries. Economists have studied innovation, R&D, and market structure for decades, and also have investigated patent licensing methods across industries. However, there is very little research on the relatio...
Article
Full-text available
Is the licensing market efficient such that royalty rates reflect the costs and profitability across industries‘ This paper tries to answer the question through exploring the relationship between royalty rates and profitability. Our analysis shows that the reported royalty rates across industries do not converge with the rates generated by the 25%...
Article
Previous literature on the effects of disclosing options backdating problems focused mainly on estimating the cumulative and aggregate losses. This paper takes a different approach and investigates the effect of regulatory intervention on companies accused of backdating stock options. An event study approach is employed to analyze the announcements...
Article
We employ the UTIP data set on the evolution of earnings inequality in manufacturing in the global economy to illuminate two questions. First, do regional patterns of similarity in the movement of large macroeconomic aggregates, such as real GDP, imply underlying similarities of industrial structure, so that knowledge of one national economy in a G...
Article
This paper presents a procedure for studying industrial performance and related issues such as changes in the wage structure. This procedure combines cluster analysis and discriminant analysis as a package, and applies this package to time series data. This enables us to organize industrial data into groups with similar wage or performance historie...
Article
Full-text available
This paper provides a summary of information in the UTIP data set on the evolution of industrial earnings inequality in the global economy. At present the data set covers 66 countries, with annual observations going back to 1972 in most cases and to 1963 in many. Our measure of changing inequality, based on the group-wise decomposition of the Theil...

Projects

Projects (4)
Project
Develop economic and financial models to quantify and price the data assets, data loss, privacy breach, and security incident.