How much does patent litigation cost?

Average patent litigation costs $2-5 million through trial. Cases involving more than $25 million at stake average $3-5 million per side.

What percentage of patent cases go to trial?

Only about 2-3% of patent cases reach trial. Most settle, are dismissed, or are resolved through summary judgment.

Are patent lawsuits increasing or decreasing?

Case volumes have stabilized in the 4,000-5,000 range annually in the US, down from peaks of 6,000+ but still representing significant activity.

Patent Litigation Statistics & Trends | ArcPrime Insights

Patent Litigation Overview

Patent litigation remains a significant business risk and strategic tool. Understanding the data helps IP teams prepare better defense and assertion strategies.

Key Trends

1. NPE Activity Non-practicing entities continue to file the majority of patent lawsuits. While per-entity volumes have decreased since AIA reforms, overall NPE activity remains high.

2. Venue Shifts After TC Heartland, patent litigation has redistributed across districts, with Delaware, the Western District of Texas, and the Eastern District of Texas remaining popular venues.

3. Damages Trends Damages awards have been growing, with billion-dollar verdicts becoming more common in technology and pharmaceutical cases.

4. PTAB Impact Inter partes review (IPR) proceedings at the PTAB continue to be a key defense tool, with institution rates around 60-65% and patent invalidation rates of 70%+ for instituted proceedings.

Industry Analysis

Technology and software companies remain the most frequently sued, followed by financial services, retail/e-commerce, and telecommunications.