Comment Re:No, actually... (Score 1) 147
And suddenly every patent produces negative profit just like movies.
No, the profit is exactly the same as it was before. It is simply allocated proportionately as to who invested the money into the research. If 80% public finance research then 80% back to the public. If 80% private research then 80% back to the corporation. That is exactly how business partnerships work for everything else.
You're missing his point. He is referring to "Hollywood Accounting" where in no matter how much money a movie makes, It didn't make any, according to the creative accounting. This keeps them from having to pay a percentage in royalties to nearly everyone involved in the film, as well as giving the studios additional tax write-offs.
Wiki has a nice summary
Harry Potter films made no money, despite grossing over $1 billion each.
In fact, Dave Proust still isn't getting anything from LucasFilm for playing Darth Vader because Return of the Jedi still isn't profitable.
So just like the movies, patents will suddenly not be making any money, according to creative "Hollywood Accounting."