An article that appeared last week in the Financial Times calling into question the effectiveness of a U.S. patent system dangerously weakened by bad legislation and a false narrative about patent “trolls,” has won praise for its accuracy and honesty.
In a rare instance of serious business reporting on intellectual property rights, award-winning journalist, Rana Foroohar, slammed Silicon Valley companies that have endeavored to impede patent licensing and diminish innovation challenges from companies they cannot control.
“Indeed, the only ones that seem not to be complaining about the current system are a handful of the biggest Silicon Valley companies — including Google, Apple, Intel and Cisco.” While they all have their own patents to protect, their business models, which involve products that include hundreds or even thousands of bits of IP, tend to do better when there are fewer patents to deal with.
“But small and mid-sized software and hardware suppliers as well as life sciences companies have very different business models — ones that live or die on the ability to protect a handful of patents, and thus monetise their years of investment. For many of these companies, the shifts in the system that began a decade ago have gone too far.”
Several small and large patent holders told IP CloseUp that the FT deserves praise for finally getting the patent story right, one calling it a “breath of fresh air.” Many believe that the business press has failed to report accurately about the patent system, and has served to blow the patent “troll” narrative way out of proportion, especially for those outside of the IP industry.
FT allows subscriber access to the Foroohar article, “Big Tech vs Big Pharma: the battle over US patent protection,” here. [Oddly, the title does not reflect the depth of the piece. Perhaps a more explicit one may have been too much for some readers or editors?]
For a free version of the article that ran on CNBC, go here.
Much of Ms. Forhooar’s recent reporting in the FT has dealt with the rise of what she calls tech titans, many of which are attempting to maintain their dominance by keeping the patent playing field uneven and potential competitors at bay.
She has served as correspondent and reporter for CNN and Time, and spent 13 years at Newsweek, as an economic and foreign affairs editor and a foreign correspondent covering Europe and the Middle East. For a list of her recent articles, go here.
Forhooar has won many awards for her reporting and has received several journalism fellowships. She is a life-member of the Council on Foreign Relations and has written a book, Makers and Takers: The Rise of Finance and the Fall of American Business.
“Big Tech vs. Pharma” sets a sorely needed benchmark for the business press for reporting accurately on the intellectual property. Covering the impact that changes in the patent system have wrought, and who are the real beneficiaries, is both a challenge and an opportunity.
Image source: twitter.com; lovespace.co.uk