Ethernity Networks (AIM:ENET), a supplier of data-processing semiconductor technology for networking appliances, said early feedback from its patent-monetisation process points to potential upfront licensing proceeds plus ongoing revenue in subsequent years.
The AIM-listed company has engaged an intellectual property brokerage to evaluate licensing opportunities across its patent portfolio, a process first flagged in its 2025 annual results.
Ethernity and its advisers have found evidence that multiple vendors in the AI infrastructure and telecommunications markets may be using technology covered by its patents. The company said these vendors collectively account for a substantial share of the relevant market, a factor it believes could lift the portfolio's commercial value.
Ethernity is still weighing its options, which could include direct licensing deals with the vendors identified or other commercial and legal routes.
The company cautioned that no transaction is guaranteed, and any proceeds depend on reaching a definitive agreement, with timing and terms still unresolved.
Ethernity added that it is "currently extremely cash constrained" and is carefully managing its creditors, with its ability to continue as a going concern likely hinging on successfully monetising the patent portfolio or securing alternative revenue streams.
The company said it will provide further updates as the process develops.
