Companies don't innovate, people do. The patent may be filed by a company but the discovery must have been made by one or more human beings. So you might as well argue that it shouldn't be possible for legal entities to hold patents if patents can't be transferred.
That said, the obvious flaw with that point in isolation is that it would still be possible to license a non-practicing entity to sue people on your behalf and then have a revenue sharing agreement between the holder and their employer at the time where the employer reimburses the holder for all expenses related to filing and in return receives all licensing revenue -- effectively recreating the current system but with more layers of bureaucratic indirection.
The problem is patents. If you try to fix them, the market will simply adjust to work around those fixes. Much like with actual nuclear weapons, we need to get rid of them, not just write more laws about when it is okay to use them. But unlike actual nuclear weapons, we can get rid of patents without changing the laws of physics -- we can just ban new applications and let the existing patents run out.
That said, the obvious flaw with that point in isolation is that it would still be possible to license a non-practicing entity to sue people on your behalf and then have a revenue sharing agreement between the holder and their employer at the time where the employer reimburses the holder for all expenses related to filing and in return receives all licensing revenue -- effectively recreating the current system but with more layers of bureaucratic indirection.
The problem is patents. If you try to fix them, the market will simply adjust to work around those fixes. Much like with actual nuclear weapons, we need to get rid of them, not just write more laws about when it is okay to use them. But unlike actual nuclear weapons, we can get rid of patents without changing the laws of physics -- we can just ban new applications and let the existing patents run out.