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In this YouTube tutorial, Andrew Krause, co-founder of Event Right, discusses the basics of licensing contracts. He clarifies the difference between patents and licensing agreements: a patent protects an invention, while a licensing agreement outlines the terms under which a company pays royalties for the right to sell a product. Krause emphasizes the importance of knowing what a licensing agreement is and why it is necessary. He also highlights that many companies may not prioritize having a patent, surprising some of the students he teaches. Overall, the video aims to educate viewers on the essential elements of licensing contracts in product deals.