1. Thermal Radiation Recognition Technology. As mentioned above,

1. IP Protection a) Formal (Patenting) As previously mentioned, we have identified 5,839 existing patents
that were filed between January 2010 and July 2017 with Bosch (958), Audi (516),
and Continental (439) leading the race. However, tech giants such as Apple and
Google are increasingly filing patents that relate to autonomous driving as
well. However, these patents mostly revolve around existing Lidar and Radar
technologies whereas Autonomo’s competitive advantage stems from its proprietary
“Laser Scan” and “Thermal Radiation Recognition Technologies”. Therefore, as we
believe these technologies to be a central component of what makes Autonomo
unique, we advise that a licensing agreement of patents pertaining to said
technologies should be sought. This will be mutually beneficial to both
parties. It will benefit Autonomo financially, and the licensees by allowing
them to integrate and implement such technologies in their products.This report believes that Autonomo should seek to formally protect
the intellectual property of Autonomo’s multiple facets. The first patent
should surround the use of both the Laser Scan technology and Thermal Radiation
Recognition Technology. As mentioned above, given that the race for autonomous
driving patents is a very aggressive one, these patents should be filed as soon
as possible, whilst also being carefully and tightly worded. This will allow Autonomo
to protect its technologies from being replicated. Further to this, this report
outlined another parameter by which Autonomo could develop the product,
therefore enhancing its desirability and adoption within the market; the idea
of the technologies being modified and adopted to drones, an increasingly
growing interest amongst technology and logistics giants. Once again, this
report believes that a patent should be hastily filed surrounding the
intellectual property of this concept. By doing this, Autonomo will have the
two central parameters that make the technologies so unique and desirable
patented, therefore protecting the idea from being replicated or stolen by
competitors.  b) Informal (secrecy, barriers to reverse engineering) As aforementioned, this report believes formal measures to protect
intellectual property should be carried out. An informal measure that was
considered was surrounding the idea of secrecy, which would allow the product
to be taken to market as a faster rate. However, due to the nature of the
industry, the scale of the main players, and the possibility of the technologies
being replicated, this idea was discounted. Having spoken to numerous industry experts, it became evident that
these technologies could be reverse engineered with relative ease. This is the
key justification surrounding the recommendation of formal measures being utilized
by Autonomo. Providing the filed patents are granted, it will allow them
exclusive ownership and use of the IP of this product, therefore facilitating Autonomo’s
position as the industry innovators, and the market leaders in Laser Scan and
Thermal Radiation Recognition markets.            2. Partnership According to Teece’s appropriability framework, Autonomo is high
on imitability and has tightly held complementary assets (Framework 2). As a
spin-off of the larger corporation, Autonomo entails many complementary assets.

With mother company’s marketing technology and existing distribution channels,
the newly created division has the potential for a quick market penetration. Figure 10: Teece’s Appropriability Framework Opportunities to optimize profits can be discussed from three
perspectives. Firstly, it is recommended Autonomo to license the patented technologies
to existing automotive and drone manufacturing companies with an established
consumer base. Instead of competing against, Autonomo can form stable
partnerships with these large-scale businesses to target existing buyers. This
approach will also level up the barriers of entry of the industry, thus
securing a beneficial position to maximize profits. Alternatively, Autonomo can distribute exclusively through its
mother company who would be the sole proprietor of the technologies.

This would potentially lead to the firm capturing a larger share of the value
created. As a newly developed brand, Autonomo is in the process of building
brand image and customer loyalty, during which the mother company’s credibility
will come into use. Moreover, distributing through the mother company would
provide Autonomo with access to an established international market. Autonomo
can utilize its parent company’s extensive networks to successfully enter new
markets. Retailers can also serve as a point of contact for prospective buyers.

Having specialized professionals handling distribution will enable the company
to put more attention on R&D, therefore, improving work efficiency and the development
of the technologies.   3. Distribution Channels Lastly, we recommended future partnerships with rooted entities
that may have use for Autonomo’s technologies such as the military and medical
entities. Given that the technologies are highly versatile, there is potential
for many applications across various sectors. Accrodignly, by tweaking the
technologies to the demands of any prospective user, Autonomo will be able to
further increase its market share and expertise in applying its technologies in
concerned sectors.