Product patents may also be valued as options, and the value of firms holding these patents—typically firms in the bio-science, technology, and pharmaceutical sectors—can (should) similarly be viewed as the sum of the value of products in place and the portfolio of patents yet to be deployed. As regards the option analysis, since the patent provides the firm with the right to develop the product, it will do so only if the present value of the expected cash flows from the product exceeds the cost of development, and the patent rights thus correspond to a call option. See . Similar analysis may be applied to options on films (or other works of intellectual property) and the valuation of film studios.