Thomson Reuters’ acquisition of MarkMonitor underscores the increasing threat to brands from digital piracy. With Internet commerce accounting for more than 20% of GDP growth in mature countries, piracy and counterfeiting are costing companies more than $600 billion per year.
The San Francisco-based MarkMonitor uses a SaaS delivery model, providing technology and expertise to protect revenue and reputation for more than half of Fortune 100 businesses.
“This acquisition marks the beginning of a transformational shift within the Intellectual Property & Science business of Thomson Reuters,” said Chris Kibarian, president, IP & Science, Thomson Reuters. “It is emblematic of our strategy to accelerate innovation and growth within our business.”
Examples of the detrimental effects of ‘brandjacking’ include cancer patients duped by fake Avastin, construction workers jeopardized by counterfeit equipment and safety products, and in general, the World Health Organization says online sale of counterfeit medicine is a public health risk that could result in deaths due to hazardous chemicals and improper handling of drugs.
With Thomson Reuters in the business of helping companies create, manage and protect hundreds of billions of dollars worth of intellectual property assets, a deal with MarkMonitor provides strategic digital brand protection solutions, as well as expertise in domain name management.
“With the continued explosive growth of Internet, ecommerce and social network usage, the digital world provides an anonymous haven for criminals who harm brands’ revenue and reputation, often at the expense of consumers,” said MarkMonitor President and CEO Irfan Salim, who will be joining Thomson Reuters along with his team.
“Brands that take action to protect themselves by managing their domain name portfolios see real return on investment, including lower online advertising costs and higher revenue, along with greater customer satisfaction,” adds Salim.
It’s a telling partnership when a leading brand in IP feels it must purchase a leading brand in ‘brandjacking’ in order to conduct business as usual.
[Image via Shutterstock]