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Upward Trend for NPE Litigation Continues in Q2

July 10, 2024

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NPEs added 922 defendants to patent litigation campaigns in the first half of 2024, a 21% increase from that same period last year (when NPEs added 765 defendants). Operating company litigation went up by 10% in the first half of the year, at 557 defendants added (compared to the 505 defendants added in 1H 2023).

NPE and Operating Company Litigation (Defendants Added)
NPE and Operating Company Litigation (Defendants Added)

In the second quarter of 2024, NPEs added 508 defendants to patent campaigns, an increase of 81 defendants (or 19%) compared to Q2 2023, when NPEs added 427 defendants. NPE litigation was 10% below the trailing three-quarter average for Q2 2021-2023 but was 23% more than in Q2 2023.

Operating companies added 303 defendants in Q2, which was 28% more than the year-ago quarter, exceeding the trailing three-quarter average by 12% and coming in ahead of Q1 by 19%.

Overall, patent plaintiffs added 811 defendants in the second quarter of 2024, or 22% more than in Q2 2023, 21% more than Q1 2024, and 3% less than the trailing average.

Defendants Added Change Compared to:
Q2 2024   Q1 2023 Q1 2021-2023 Average Q4 2023
NPE 508 19% -10% 23%
Operating Company 303 28% 12% 19%
Total 811 22% -3% 21%

See RPX’s second-quarter review for details on other key trends impacting patent litigation in Q2 and the first half of 2024.

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