Brainchip share price up 11% on 'valuable' US patent news

Brainchip has some good news for once!

| More on:
2 women looking at phone

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Brainchip Holdings Ltd (ASX: BRN) share price is pushing higher on Wednesday.

In morning trade, the struggling semiconductor company's shares are up 11% to 41 cents.

Why is the Brainchip share price rising?

Investors have been bidding the beaten-down Brainchip share price higher today after the company released a rare spot of positive news.

According to the release, the company has been issued another patent in the United States, which it believes strengthens its patent portfolio and demonstrates its apparent competitive research strength.

Brainchip's portfolio now comprises 17 issued patents.

What is the patent?

The release reveals that the patent, US 11,704,549, was issued on 18 July at the US Patents and Trademarks Office (USPTO).

It is considered by the company to be a "valuable" intellectual property asset that protects its approach to learning on a neuromorphic chip or a system.

The company highlights that the patent protects Brainchip's neuromorphic processor, which is configured to perform convolutions on digital input data that has been converted into spikes.

It also broadens the scope of protection already granted to Brainchip in one of its earlier patents, which it feels further enhances the commercial value of the patent.

In addition, management notes that the patent safeguards the feature of reconfigurability in a neural processor, which can function as either a convolutional neural processor or a fully connected neural processor.

This reconfigurability apparently provides a significant advantage, enabling the development of multipurpose and cost-effective hardware designs such as the Akida.

While this will be good news if Brainchip develops a product that the world wants, it hasn't been looking good on the commercial front over the last 12 months. Earlier this year management essentially admitted that its much-hyped first iteration was a flop and is now working on its new offering.

The Brainchip share price is down ~60% over the last 12 months.

Should you invest $1,000 in Ishares International Equity Etfs - Ishares Msci Japan Etf right now?

Before you buy Ishares International Equity Etfs - Ishares Msci Japan Etf shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Ishares International Equity Etfs - Ishares Msci Japan Etf wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Technology Shares

Man pointing at a blue rising share price graph.
Technology Shares

Up 30% in a month, this ASX 200 tech share is 'a compelling opportunity': expert

Analysts from listed investment company WAM Capital say this ASX 200 tech stock is worth watching.

Read more »

A young man goes over his finances and investment portfolio at home.
Technology Shares

How much upside does Macquarie tip for Light & Wonder shares after its result?

Let's see what the broker is saying about this tech stock.

Read more »

Business people discussing project on digital tablet.
Technology Shares

Guess which ASX 200 stock is down 4% following Q3 update

Let's see what is causing investors to hit the sell button today.

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Technology Shares

Guess which ASX 200 tech stock is crashing 14% on results day

This tech stock is having a rough time today. But why?

Read more »

Data Centre Technology
Technology Shares

Is it too late to buy NextDC shares?

NextDC's share price has surged over the last couple of weeks. Will it continue?

Read more »

Man with a hand on his head looks at a red stock market chart showing a falling share price.
Technology Shares

Guess which ASX 200 tech stock is crashing 25% following an update

This tech stock is being sold off on Wednesday. But why?

Read more »

A young man goes over his finances and investment portfolio at home.
Technology Shares

Why are WiseTech shares sinking 6% today?

What's going on? Let's find out what is happening with this tech stock today.

Read more »

Two IT professionals walk along a wall of mainframes in a data centre discussing various things
AI Stocks

NextDC share price lifts off on record quarterly contract wins

AI-fuelled data centre demand is lifting investor interest in the ASX 200 tech stock today.

Read more »