Patent Expiration Opportunities
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A method for identifying business opportunities by tracking patent filings and expirations, with examples of successful companies built on expired patents.
Patent Research Sources
- Two main research areas:
- Patent filings - Track what big companies are betting on
- Patent expiries - Find opportunities when patents become public domain
- Key resources:
- Patent Drop newsletter - Breaks down 3 patents per issue from major tech firms
- PatentsExpiringToday.com - Aggregates expiring patent data
Notable Success Stories
-
Bluechew (ED medication company)
- Founded when Viagra patent expired in 2017
- Built telehealth business around generic ED medication
- Bootstrapped to $100M+ in annual revenue
- Owns Meds.com for telehealth operations
- Massive market: 150-200M current customers globally
- Projected growth to 400-500M customers by 2030
-
HIMS
- Leveraged patent expiry for initial product line
- Similar telehealth/D2C model to Bluechew
Market Entry Strategy
- Monitor patent databases for upcoming expirations
- Look for patents with large existing markets
- Consider barriers to entry and manufacturing capabilities
- Focus on products with strong D2C potential
- Build supporting infrastructure (e.g., telehealth platform)
- Time market entry around patent expiration dates
Additional Opportunities
- Public domain content entering yearly
- Example: Winnie the Pooh recently entered public domain
- Companies like Ryan Reynolds leveraged for commercial use
- Look beyond just pharmaceutical patents
- Nike has significant design patents
- Technology patents frequently expire
- Requires significant filtering to identify viable opportunities
01:26 - 03:17
Full video: 01:03:36SS
Steph Smith
Steph Smith is the host of the a16z podcast, focused on highlighting the most important trends within technology. Before joining Andreessen Horowitz, Steph led HubSpot's Creator Program, including their growing Podcast Network. She was also a writer for the Hustle.