Digitalisation of International Trade in Intellectual Properties: An Approach Based on the Utility Theory of Technology Value

ABSTRACT In the era of globalisation and digital transformation, international trade has expanded beyond traditional goods and services to include the exchange of intellectual properties (IPs), particularly technology. As intangible assets become key drivers of global economic growth, accurately valuing them remains a complex challenge due to their inherent creativity, complexity and uncertainty. This study proposes a novel framework grounded in utility theory to assess technology value within the context of international IP trade. By integrating the utility theory of value and the literature on technology and venture investment into a cohesive model, the framework captures four key attributes of technology value: utility size, quality, delivery and risk. To operationalise this framework, we introduce a valuation method that leverages artificial intelligence (AI) and big data analytics. This AI‐powered approach enhances the objectivity, efficiency, affordability and scalability of technology valuation, enabling more transparent, data‐driven IP trade globally.