Four Israeli patents were auctioned during the China-Israel Innovation and Investment Summit in Zhuhai, Guangdong province, earlier this month.
In China, it was the first auction of patents designed for an Israeli university, organizers said.
One of the patents from Tel Aviv University - a method and system to test neuropathy - was secured by Kingdonn, a Chongqing-based intellectual property service group, at the price of 330,000 yuan ($48,570).
Business people explore cooperation possibilities during the China-Israel Innovation and Investment Summit in Zhuhai, Guangdong province in early July. Deng Hua / Xinhua
The other three were related to drug testing, monitoring and warning signs for the elderly suffering falls, and pharmaceuticals.
"It is our first time to participate in an international auction of patents and we are excited to reach a deal," Huang Wenli, an executive of the patent agency at Kingdonn, told China Intellectual Property News.
His company's team had conducted analysis of the patent rights' stability and range, as well as its market prospects and benefits and would apply it to the medical service industry, Huang revealed.
Li Shunde, a researcher of law and IP rights at the Chinese Academy of Social Sciences, said public bidding helps to save transaction costs and give a fair assessment of patented technologies.
"A transnational patent auction is the first step toward an international patent deal, representing the exploration of diverse IP operations," he said.
Conventionally, transnational traders spend much more time on seeking potential partners, establishing trust and negotiating for contracts. Lacking market trenchancy and unbalanced trading information will contribute to failure of and uncertainty in foreign trade.
Patents from Israeli university auctioned in Guangdong
In comparison, an auction of patents can, to some degree, reduce the risks and costs, provide an open platform to traders and help to create a fair, transparent market, Li noted.
Ji Jie, general manager of an IP service and financing portal in Zhuhai, Guangdong province, told China Intellectual Property News that China has enormous demand for various innovations and Israel is famed for its technological prowess.
Xing Jixue, executive deputy manager of Zhuhai Huafa Auction Co, the host of the auction, said the event was just a beginning of exploring new modes in transferring overseas technologies.
Recent years have witnessed a growing number of patent auctions in China.
At an online auction of patents in March, the Chinese Academy of Sciences in cooperation with e-commerce giant Alibaba presented more than 1,110 patents covering a variety of sectors, such as medical services and education.
Such an auction on the internet, as a new exploration of IP operation modes, can add a path to commercialization and industrialization of IP assets, Li said.
A transnational auction of patents needs a great deal of technological experiments and data accumulation, as well as national and industrial standard certifications, he noted, adding that to tap into the global IP market and commercialize patents worldwide, there is still a long way to go.