For tech startups, the most valuable assets are often invisible. While businesses were traditionally built on physical resources, the contemporary economy is increasingly driven by intangibles. The chip firm Arm, for instance, earned a $40 billion valuation and a reputation as the UK’s leading tech company — despite never manufacturing a single chip. Instead, the company designs the processor architecture that’s used in countless devices. This intellectual property-based business model has transformed stock markets. In 1985, under a third of all assets in the S&P 500 were classed as intangible by 2020, that proportion had risen to around 90%. Startups,…
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