Hanoi (VNA) – Amid the rapid shift towards a digital and innovation-driven economy, intellectual property (IP) valuation is emerging not only as an urgent requirement but also as a crucial tool to accelerate the commercialisation of knowledge and improve resource allocation, as intellectual assets and technologies increasingly become core drivers of business and economic growth.
Removing bottlenecks
Economic experts said developing IP assets and building an IP and technology trading market are essential to transforming IP from potential into real economic value, contributing to sustainable growth. However, the valuation of IP assets remains a major challenge to both the market and state management agencies.
Although the State has strengthened support for science, technology and innovation ecosystems, the legal framework governing the identification, valuation and appraisal of IP assets remains inadequate. Experts stressed the need for closer coordination between pricing authorities and IP regulators to develop professional guidelines and improve the capacity of appraisers so valuations better reflect market realities.
Pham Van Binh, Deputy Director of the Price Management Department under the Ministry of Finance, said the 2023 Law on Prices provides a legal framework for valuation activities, including those for intellectual and intangible assets. However, many technology transfer deals, capital contributions using IP and commercialisation activities still rely largely on negotiated pricing rather than professional appraisal methods capable of accurately determining asset value.
He noted that IP valuation continues to face several obstacles, particularly the lack of market data as Vietnam’s IP trading market remains underdeveloped and information on transfer and licensing deals is limited.
In addition, the intangible nature of IP means its value depends heavily on future commercial potential, market position, governance capacity and associated risks. Reaching consensus among stakeholders is also difficult as owners and investors may assign very different values to the same asset.
Accurate valuation key to unlocking value
Michael KOS, financial and IP valuation expert at the World Intellectual Property Organisation (WIPO), noted that global corporate value structures have shifted strongly towards intangible assets whose total value now exceeds 100 trillion USD and continues to grow.
However, the use of IP assets for financial purposes remains at an early stage because intangible assets are still difficult to be valued accurately and are therefore not fully reflected in financial systems.
He stressed that understanding and properly assessing IP value is essential for building effective business strategies and investment decisions, not only in Vietnam but worldwide.
Binh said that as the economy increasingly shifts towards knowledge-based growth, innovation and digital transformation, demand for IP and technology valuation is becoming more urgent.
IP and technology assets are now directly involved in capital contributions, mergers and acquisitions, technology transfers, collateralised lending and business transfers. Proper valuation and appraisal therefore play an important intermediary role in establishing fair asset values, minimising risks, enhancing market transparency and helping authorities manage public assets and state capital more efficiently.
Nguyen Hoang Giang, Deputy Director of the Intellectual Property Office of Vietnam, said amendments to the IP Law have introduced new provisions to support the creation and commercial exploitation of IP rights.
The office is coordinating with relevant agencies to help organisations and individuals maximise the value of IP rights, thereby promoting production, business activities and socio-economic development.
He stressed that accurately determining IP value is key to transforming innovative ideas into tangible economic value and serves as the basis for transfers, licensing and capital contributions while also supporting rights enforcement and asset management.
Experts said that as the digital economy, science – technology and innovation continue to expand, Vietnam needs to strengthen databases on IP transactions, improve the capacity of valuation professionals and accelerate the development of an IP and technology trading market./.
VNA
