Clarivate Plc Stock

Clarivate Plc operates as a global information services provider.

The company connects people and organizations to intelligence they can trust to transform their world. The company brings together enriched data, analytics and insights, workflow software, and expert services, grounded in deep domain expertise across the spectrum of knowledge, research, and innovation. The company's subscription and technology-based solutions cover the Academia & Government ('A&G'), Intellectual Property ('IP'), and Life Sciences & Healthcare ('LS&H') markets.

Customers

The company serves a large, diverse, and global customer base across the scientific research, intellectual property, and life sciences and healthcare end markets. The company's customers include corporations, universities, law firms, government agencies, public libraries, and other professional services organizations.

The company's highly curated, proprietary suite of branded information and insights solutions created through the company's sourcing, aggregation, verification, translation, classification, and standardization process has resulted in the company's solutions providing a trusted foundation and quality user experience for the company's customers.

The company provides its offerings to customers primarily through subscriptions, re-occurring arrangements, and transactions, as follows:

Subscription-based revenues are recurring revenues that the company typically earns under annual contracts, pursuant to which the company licenses the right to use the company's products to its customers or provide maintenance services over a contractual term. Subscription agreements provide the company with stable revenue and predictable cash flows.

Re-occurring revenues are derived solely from the patent and trademark maintenance services provided by the company's IP segment. Patents and trademarks are renewed regularly, and the company's services help customers maintain and protect those patents and trademarks in multiple jurisdictions around the world. Because of the re-occurring nature of the patent and trademark lifecycle, the company's customer base engages the company to manage the renewal process on their behalf. Like subscription-based revenue, this revenue stream also typically provides the company with stable revenue and predictable cash flows.

Transactional revenues are earned for specific deliverables that are typically quoted on a product, data set, or project basis. Transactional revenues include content sales (including single-document and aggregated collection sales), consulting engagements, and other professional services, such as software implementation services.

Business Segments

The company's reportable segment structure comprises three segments: Academia & Government ('A&G'), Intellectual Property ('IP'), and Life Sciences & Healthcare ('LS&H'). Within each of the company's segments, the company provides the following information, solution, and service capabilities:

Enriched Data - comprehensive, curated content collections.

Analytics & Insights - on-demand predictive analytics capabilities to inform decision making.

Workflow Software - automated workflow, including SaaS, to enable decisions and manage resources.

Expert Services - business-critical regulatory and compliance activities support.

A&G segment

The company's A&G segment's intention is to help its customers educate the world by advancing research excellence and student success to accelerate real-world outcomes. The company helps academic and government institutions advance knowledge to build a better world. Within the A&G segment, the company provides Research and Analytics, Content Aggregation, and Workflow Software solutions in striving to accomplish the company's intention.

A significant portion of the company's product development efforts is focused on leveraging AI to drive enhanced value for the company's A&G segment customer-base. For example, the company uses AI to identify academic journals within the Web of Science that show outlier characteristics, to ensure the company's customers are confident that they can trust all indexed journals and continue to deliver gold-standard content. Trained machine learning algorithms flag these journals to the company's in-house editors who conduct a thorough analysis of the journal and whether it continues to meet the company's standards. The company also has integrated generative AI, LLMs, and other AI tools and technology into the company's A&G solutions, which provide students, faculty, and researchers with rapid access to detailed and contextual information and relevant recommendations.

Example Use Cases

A physics professor planning a research program and preparing a proposal for grant funding could utilize the Web of Science to reveal emerging research trends by discipline and gaps in the current literature where further research is needed, understand the competitive landscape, and identify potential collaborators.

A university provost interested in evaluating the chemistry department at her institution can use the Web of Science and its associated analytical tool, InCites, to measure research performance of the team and individuals using indicators of impact and collaboration, benchmark the strength of the university's research output compared to other global institutions, and evaluate faculty productivity to assist in strategic planning and resource allocation.

A library, university, or research institution looking to improve the quality or scope of its content, discovery solutions, or related software applications can use Alma, Polaris, ProQuest One, and Ebook Central to manage its collections and provide its users with access to high-value curated content.

IP segment

The company's IP segment's intention is to enable organizations worldwide to unlock innovation, establish strong brands, and effectively protect critical IP assets through the company's trusted IP data, software, and expertise. The company helps customers establish, protect, and manage their intellectual property. Within the IP segment, the company provides IP Maintenance, IP Intelligence, and IP Management solutions in striving to accomplish the company's intention.

A significant portion of the company's product development efforts are focused on leveraging AI to drive enhanced value for the company's IP segment customer-base. For example, the CompuMark Naming Tool uses generative AI to automate the process of brainstorming new brand names, simultaneously analyzing them for potential usability. Trained on the U.S., EU, and Pharma In-Use databases, the company's proprietary AI algorithm generates creative name suggestions based on customer criteria in seconds, simultaneously analyzing them against existing domain names and social media handles.

Example Use Case

An employee developing a new product or idea (e.g., a chemical engineer or a product designer) will access the Derwent database of patents to evaluate the novelty and determine the patentability of the new product or idea.

An attorney for a large law firm helps clear a trademark for use by its corporate customer as part of a new product launch. The attorney first conducts a 'knock-out' search as part of a preliminary screening process using the company's Trademark Searching tool and then later orders an analyst curated 'Full Search' report by CompuMark to ensure the availability of the proposed trademark in the markets in which the customer will be operating. In this way, the attorney can clear both the word and image mark for use by the client. The attorney will then subscribe to CompuMark's Trademark Watching services solution to continually ensure that none of their customers' valuable trademarks are being infringed upon.

A law firm partnership uses Foundation IP to provide renewal and validation of IP rights on behalf of a customer.

LS&H Segment

The company's LS&H segment's intention is to empower its customers to deliver treatments that improve patient lives and create a healthier tomorrow. The company's intelligence solutions, transformative data and technology equip the company's customers with the insight and foresight needed across all of their initiatives from early-stage drug discovery right through commercialization and beyond. Within the LS&H segment, the company provides Research and Development, Regulatory and Safety, and Commercialization solutions in striving to accomplish the company's intention.

A significant portion of the company's product development efforts are focused on leveraging AI to drive enhanced value for the company's LS&H segment customer base. For example, to speed up drug development and better ensure that the right medicines reach the right patients, the company is drawing on its connected data in Cortellis and using machine learning to predict clinical trials progression, regulatory approvals and even valuations on merger and acquisition candidates.

Example Use Case

A researcher at a pharmaceutical company who is evaluating several potential R&D programs will access the Cortellis database to assess competitive products in the drug development pipeline, review clinical trial data, and summarize regulatory information.

A data analyst at a biopharma company seeking to benchmark forecasts using data on the total potential and addressable market will utilize RWD to corroborate forecasts and validate investments using bottom-up forecasting.

An analyst at a medical technology company responsible for commercializing drugs or devices uses Optimize products to analyze markets and determine which payers, providers, or patients to target.

History

The company was founded in 1864. It was incorporated in 2019 under the laws of Jersey, Channel Islands. The company was formerly known as Clarivate Analytics Plc and changed its name to Clarivate Plc in 2020.