Tag Archives: patents

Intellectual property is at the core of World Press Freedom Day

May 3 is World Press Freedom Day. It is more important than ever to celebrate press freedom, to understand what it means and to assure it exists and is respected.

Press freedom is not something to be taken for granted — even in the most economically advanced democracies.

It is easy today to confuse perspective with fact, and credible journalism with promotion.

Intellectual property relies on a free and independent press to provide accurate, accountable reporting and information about IP rights and creators.

World Press Freedom Day was proclaimed by the UN General Assembly in December 1993, following the recommendation of UNESCO’s General Conference. Since then, 3 May, the anniversary of the Declaration of Windhoek is celebrated worldwide as World Press Freedom Day.

WPFD is an opportunity to:

  • celebrate the fundamental principles of press freedom;
  • assess the state of press freedom throughout the world;
  • defend the media from attacks on their independence;
  • and pay tribute to journalists who have lost their lives in the line of duty.

2019 Theme: Media for Democracy: Journalism and Elections in Times of Disinformation

Image source: unesco.org; pen.org

Trade Secrets: “What People Need to Know” — Sen. Coons, IP experts, scheduled to speak May 29

Trade secrets, or know-how, frequently in the news, are simultaneously among intellectual property’s most valuable and misunderstood rights.

A luncheon briefing designed to put these essential rights into clearer perspective will be held at United States Chamber of Commerce headquarters in Washington on May 29 – “Understanding the Secret to Trade Secrets: What People Need to Know Today.”

The briefing is being hosted by the Center for Intellectual Property Understanding (CIPU) in conjunction with the Global Innovation Policy Center (GIPC).

The event will clarify (1) what trade secrets are, (2) why they are more important now, (3) how they are used and (4) their impact on innovation, competition and trade.

Panel coverage includes:

  • Trade secrets’ role in promoting commerce and security
  • The hidden value of “negative” know-how
  • How trade secrets compliment patents and trademarks; their drawbacks
  • U.S., China and trade secrets today

In additional to Senator Chris Coons (D-DE), Vice-Chairman, Select Committee on Ethics and proponent of IP rights, speakers will include

  • F. Scott Kieff (U.S. International Trade Commission chief, 2013-2017)
  • James Pooley (Deputy Director General of the World Intellectual Property Organization, 2009-2014)
  • Brian Hinman (Aon IP Solutions; former Chief IP Executive, Philips and Verizon, and head of licensing at IBM)

“Trade secrets, or know-how, frequently comprise the most valuable part of a businesses’ IP portfolio,” says Marshall Phelps, former Vice President of IP Business and Strategy at Microsoft and IBM, and a member CIPU’s board of directors.

“Trade secrets can be as important as patents or trademarks. Despite the news coverage regarding IP and China, little known about how know-how works in practice.”

The Defend Trade Secrets Act of 2016 (DTSA) brought trade secret misappropriation under federal jurisdiction.

For the briefing agenda, go here.

To request an invitation, write registration@understandingip.org. Registration is free, but space is limited.

Image source: CIPU; foodsafetynews.com; GIPC

“IP impacts everyone” – Two-minute video explains “why?”

What is intellectual property? Why should I care?

These questions are frequently considered – if not asked – by a range of people of all ages, incomes and education levels.

Products of the mind (inventions, creative works, etc.) and the rights that protect them can be complex. But the answer to “why IP?” is simpler than many people would think – jobs, competition, prosperity, as well as culture and quality of life. IP helped to make American and other nations great and will continue to, if we permit it.

The Center for Intellectual Property Understanding (CIPU) recently produced a white board video that explains in a few words and images why and to whom IP is relevant. The video (below) is suitable for a wide range of audiences.

“Intellectual property is the foundation for the future,” said Bruce Berman, founder and chairman of CIPU, an independent non-profit focused on increasing awareness of IP rights and their impact on people’s’ lives. “IP rights are a bridge that enables freedom, as opposed to a legal requirement that inhibits it. Lack of understanding make it difficult for people to see it that way. Early awareness and education help. It is never too late, or early, for anyone to learn why IP maters.”

There are many animations available that explain IP’s importance to children, but employees, investors, teens, law enforcement professionals, parents and educators, too, need help understanding IP’s role and history.

 


IP is for Everyone

There are many animations available that explain IP’s importance to children, but employees, investors, teens, law enforcement professionals, parents and educators, too, need help understanding IP’s role and history. “What is intellectual property? Why should I care?” endeavors to help.

To learn more about IP or identify materials and activities right for different audiences, please contact CIPU at administration@understandingip.org

For a link to the the IP CloseUp YouTube Channel that can be shared, go here: https://www.youtube.com/channel/UCZk165UL2V8fNiJjVcQtnmQ

 

 

Image source: understandingip.org; the Center for IP Understanding 

INTA Annual Mtg set for mid-May; $300/€300 discounts for ‘Auto IP US’ and Europe, also in May

May is a busy month for IP events. The 141st International Trademark Association Meeting (INTA) will take place in Boston, and Auto IP conferences will be held in Munich and Detroit.

More than 10,000 trademark practitioners, brand owners, and intellectual property professionals from 150 countries will be in Boston, Massachusetts May 18–22 for the  141st Annual Meeting of the International Trademark Association, the largest  industry gathering of its type.

With 300+ educational sessions, the meeting will explore topics that reflect advances in innovation and technology, changing consumer perceptions about brands, and the rising tide of counterfeits. In addition, the program goes beyond trademarks to cover other IP rights.

For information about the INTA meeting, including the agenda and registration page, go here.

Auto IP USA and Europe

Building on three years of success in Detroit, IAM’s Auto IP USA on May 8 will bring together the leading IP experts from across the automotive landscape. Through thought leadership, discussion and networking, attendees will gain insight into the IP challenges facing those driving change in the new era of mobility.

Alliances have become a template for the auto industry, encouraging innovation and collaboration in a way that differs from full mergers and limited cooperation deals. However, these partnerships create complex IP issues around the assets that the parties already own as opposed to what new products they may create together.

Returning to Munich on May 16 for its second year, Auto IP Europe will offer IP professionals in the automotive industry the opportunity to hear expert strategies from the complete supply chain – from the OEMs and industry suppliers, to the innovators in high-tech and connectivity.

Auto IP USA background can be found here. IP CloseUp readers who use discount code IPCU300 receive $300 off the registration fee (more than a 30% discount).

Auto IP Europe agenda and speakers are here. IP CloseUp readers who use discount code IPCU300 receive €300 off the registration fee.

Image source: inta.org; iam-events.com; gistmania.com

 

Inventor who said $17M is the real cost of obtaining his patent, wins $24.5M suit

How much does it cost to obtain and use a U.S. patent? The depends who you ask.

The price to obtain an invention right can range from $6,000 for a very basic one with few claims to $50,000 of more for a more complex application that requires significant back and forth with the Patent Office.

A successful inventor, Josh Malone, creator of Bunch O Balloons, says the true cost of obtaining his patent and using it to defend his invention has been $17 million, thus far, and it could easily grow to $50 million. (For Malone’s reasoning, go here.)

Bunch O Balloons, a consumer product that can fill 100 water balloons in 60 seconds, has had to defend itself against TeleBrands Corp, which has repeatedly infringed it with different businesses over a period of years.

Last week, Bunch of Balloons, originally a crowd-funded company, won a $24.5 million patent suit against TeleBrands Corp.  $4.75 million was added for attorney’s fees.

The patents at issue are U.S. Patent Nos. 9,242,749 and 9,315,282.

Makeover?

Jay Walker, founder of Priceline.com, one of the most prolific US inventors, has called the U.S. Patent System dysfunctional and is in need of a major makeover. Not all patent holders would agree, but for many inventors, the cards are increasingly stacked against them. (Hear the audio file of Walker’s speech about the patent system at the 2018 IP Awareness Summit at Columbia University.)

At the heart of the problem is uncertainty about what can, in fact, be patented and licensed. Patents in new areas of invention or art can be overly ambitious. Some may be too broadly drawn and claim more than the invention covers in hopes of keeping others from doing something similar.

In an over-reaction to that possibility lawmakers and courts have made it difficult to rely on many patents, despite the extensive examination process they go through. As a result, many issued patents are, in effect, still applications.

Uncertainty

There is little agreement on an acceptable level of uncertainty. If virtually any patent issued that is enforced can be routinely challenged, what is the point of issuing it in the first place?

Critics say that an inventor should not be able to claim what can amount to an entire industry, as opposed being granted a patent on a specific invention. The patent office often does not realize it may be granting rights too broadly.

Image source: wgno.com; ipwatchdog.com

 

 

 

China is source of 43% of world’s patent applications; 60% of trademark apps

China may not yet be on an equal footing with the leading industrialized nations in terms invention quality and brand recognition, but according to a recent study by the World Intellectual Property Organization, it is feverishly trying to show it is.

In 2017 China filed more than twice the number of U.S. patent applications globally; more than ten times the number of trademarks; and about 14 times the number of design patents.

China was responsible for 43.5% of all patent applications and about 60% of trademarks filed worldwide. It is responsible for 90% of the growth in trademark filings. It also filed about 70% of the industrial design patents.

This is according to a report published by WIPO, the UN-supported World Intellectual Property Organization, “World Intellectual Property Indicators 2018.”

IP rights have become something of a numbers game in China, encouraged by the government, which is eager to compete in technology and commerce and willing to offer attractive incentives.

IP quantity can only take businesses so far, and there are many weak or questionable patents and trademarks held by Chinese entities, including universities, that never should have been issued. However, it is clear that China no longer wants to be considered a “copycat” nation and is taking what it believes are the right steps to assure that. It means to catch up with global leaders and quickly.

According to the Council on Foreign Relations: “The Chinese government has launched ‘Made in China 2025,’ a state-led industrial policy that seeks to make China dominant in global high-tech manufacturing. The program aims to use government subsidies, mobilize state-owned enterprises, and pursue intellectual property acquisition to catch up with—and then surpass—Western technological prowess in advanced industries.”

Chinese companies and universities are likely to have at least some quality patents and marks and, unlike Japanese IP holders which were high active U.S. filers starting in the 1980s, are more likely to enforce them.

Asia Tops Global IP Activity

According to the WIPO report, China recorded the highest application volume for both patents and trademarks inside the country, as well as among other nations, and seeks to protect and promote their work in one of the world’s fastest-growing major economies.

Asia has strengthened its position as the region with the greatest activity in patent filings. Offices located in Asia was responsible for 65.1% of all applications filed worldwide in 2017 – a considerable increase from 49.7% in 2007 – primarily driven by growth in China.

While China claims more patents than any other nation, Bloomberg News says that “most are worthless.” The lapse rate is extremely high, with more than 50% of the five-year old utility patents abandoned and 91% of design patents.

“The high attrition rate,” says Bloomberg, “is a symptom of the way China has pushed universities, companies and backyard inventors to transform the country into a self-sufficient powerhouse.”

Subsidies and other incentives are geared toward making patent filings, rather than making sure those claims are useful. So the volume doesn’t translate into quality, with the country still dependent on others for innovative ideas, such as modern smartphones.

Still Learning

Bloomberg’s analysis may not be entirely fair. IBM, for example, consistently the top annual U.S. patent recipient, permits a huge number to lapse. Many of those that remain are quite valuable. Some patent strategists in tech believe that it is effective to patent broadly to prevent some inventions from becoming proprietary and then pare back as sectors and products evolve.

A handful of great patents can be more valuable than thousands of mediocre ones, as the pharmaceutical companies have proven. It takes a lot of work – and some luck – to identify them. China is still learning what IP is and how to use it. Japanese companies patented very aggressively in the U.S. in the 1980s and 1990s when they were being sued by American tech companies, sometimes with the threat of injunction. Many of the patents were said to be of questionable quality but they were able to generate more IP respect for Japanese companies and made them somewhat less vulnerable to U.S. enforcement.

China Foreign Filing Up 15%

China reported a 15% growth in filings abroad, which is far above that of Japan (+2.1%) and the U.S. (+2%). Both Germany (-0.6%) and the Republic of Korea (-4.1%) had fewer filings abroad in 2017 than in 2016.

 

Total patents in force worldwide grew by 5.7% to reach 13.7 million in 2017. Around 2.98 million patents were in force in the U.S., while China (2.09 million) and Japan (2.01 million) each had around 2 million.

No data was provided about the percentage of foreign patent applications in China.

The IP office of China had the highest volume of trademark filing activity with a class count of around 5.7 million, followed by the U.S. (613,921), Japan (560,269), the European Union Intellectual Property Office (EUIPO; 371,508) and the Islamic Republic of Iran (358,353).

The top 10 patent applicants worldwide, based on total number of patent families from 2013 to 2015 were Canon (Japan); Samsung Electronics (South Korea); State Grid Corporation of China; Mitsubishi Electric (Japan); International Business Machines (US); Toyota Jidosha Kabushiki Kaisha (Japan); Huawai Technologies (China); Toshiba (Japan); LG Electronics (South Korea); and Robert Bosch (Germany).

The World Intellectual Property Organization (WIPO) is the global forum for intellectual property policy, services, information and cooperation. A specialized agency of the United Nations, WIPO assists its 191 member states in developing a balanced international IP legal framework to meet society’s evolving needs.

For the full WIPO report, World Intellectual Property Indicators 2018, go here

For the summary, interactive charts and key facts and figures, go here.

 

Image source: wipo.int

Expanded ‘IP CloseUp 30’ stock index features four new categories

Publicly traded patent licensing companies have significantly under-performed market indexes. Only a few of the original listed stocks remain. 

The IP CloseUp 30, a feature of this blog first published in 2013, was designed to provide IP investors a real-time snapshot of public patent licensing company performance and news.

Loss of patent certainty and value have made licensing less interesting to current equity investors. For that reason, the IP CloseUp 30 is evolving. It will be known as the IP CloseUp 50, and include several new categories of publicly traded, IP-focused businesses, including those that engage in brand and content licensing and defensive strategies.

The IP CloseUp 30 index is build on a Yahoo! Finance screen of earnings and other financial information —  stock price and market capitalization, as well as real-time news developments. It gives IP investors a efficient way to track relative performance of selected companies. For those observers more dubious about the sector, but who are interested in keeping tabs on certain patent holders, it provides a method of tracking potential threats.

Evolving Universe

When I coined the acronym, PIPCO, six years ago, it referred to an expanding sector of public companies whose primary source of revenue was patent licensing and, by default, litigation. At the time patent values and damages were much higher and many respectable non-practicing entities (NPEs) held promise. Yet to be felt were the full impact of the America Invents Act, passed in 2012, and the effects of several major court decisions affecting injunctive relief and patent eligibility.

Leading Brands Category

The IP CloseUp 50 is an alternative method for investors to track the influence if not impact of intellectual property. It introduces a larger context for considering IP performance. Patent monetization remains a viable business model for some owners, but perhaps for most businesses, less so as a public one with the pressure to provide investors with quarterly results.

The IPCU 50 is far from definitive and will require that companies be added and removed as market and IP conditions warrant. PIPCOs were never intended to be just about patent licensing. When damages awards for mobile telephony (Motorola, Nortel, et al.) and other technologies commanded hundreds of millions if not billions of dollars, it was only natural for licensing companies to become a source or investor fascination. But even at their most active these PIPCOs rarely generated much daily volume or market capitalization.

Enter PIPCO 2.0

If investors have learned one thing over the past decade about public IP companies it is that they are not synonymous with patent licensing. It is true that performance measures like licensing, settlements and public awards are easier to follow than return on risk mitigation or brand equity. Licensing and litigation are simply more graphic, especially if big tech companies are paying out.

Think of the IPCU 50 as IP CloseUp 2.0. It represents the next iteration of IP investment perspective – companies better equipped to adapt and survive because of their nature of their IP assets and their size. It includes patent, trademark and content-focused operating businesses where licensing may play a role in performance. The index will still consider leading patent licensing companies, but scale back the number. (For now, the index will not consider trade secrets directly.)

To be sure, the IPCU 50 is a work in progress, destined to be refined, but, nonetheless, provocative and worthy of periodic scrutiny.

The new IP CloseUp 50 categories:

  • Patents – Technology
  • Patents – Pharmaceuticals
  • Trademarks – Leading Brands
  • Media & Content Owners (Copyright)
  • Primarily Patent Licensing

Fuller Grasp

Using IP rights to mitigate risk and maintain market share is not new. Nor is brand or content licensing. In principle, using IP rights defensively does not necessarily diminish their significance. It is true that specific tech patents typically mean more to small businesses and individuals than to established players who can rely on other resources like brand equity and their ability to raise capital, and are unlikely to enforce infringed patents. A fuller grasp of what different types of IP mean to various businesses can quickly turn a seller into a buyer (and vice versa).

With some 85% or more of S&P 500 company value tied up in intangibles assets such as IP rights, shareholders need to be better informed about the use of and return on IP (call it, ROIP) and their role in performance. Questions investors should be asking, even if senior management and equity analysts are reluctant to:

  • Which are the most IP-rich businesses?
  • What rights do they own?
  • How are they being used?
  • What is the relationship of their IP to performance and shareholder value?

 

Work in Progress

To be meaningful the IP CloseUp 50 must change to reflect IP value and investor need. The businesses were initially selected by an informal panel of experts. We will do our best to accommodate requests to add or delete companies. The index is designed to render performance of IP-rich companies somewhat more transparent and easier to follow.

The IP CloseUp 50 looks at top public IP holders primarily by:

 

  • Size, type and quality of IP portfolio and assets
  • Enterprise market value (typically >$500M)
  • Innovation reputation

For further explanation of the five sections and criteria for inclusion, visit the IP CloseUp 50 landing page, here. Consider bookmarking it or placing it on your home screen or desktop.

 

Image source: yahoo! finance; ipcloseup.com

FAANGs dominate value and valuation says a new book by an intellectual property expert

Facebook, Amazon, Apple and Google, referred to at the Big Four, plus Netflix, “dominate society, technology and IP value and valuation,” according to a new book by a well-known expert in the field.

In the concluding chapter of his recently published IP Valuation for the Future (ABA Books), Wes Anson suggests that several large tech companies, for better or worse, wield a disproportionate amount of influence over IP rights.

“These numbers tell you about the social impact and control that the Big Four [FAAGs] have over not only the stock market and technology, but over the development of IP, social media, new apps, and new forms of (online and offline) technology, in turn, exerting IP domination and concentration.”

The numbers Anson is referring to include Facebook’s monthly users, 2.1 billion; the 65 million households served by Amazon every month; the five top social media apps owned by Facebook; and the 92% of Internet search controlled by Google.

Anson, who is the author of several books on IP value, says that the size of the FAAGs, plus Netflix, make it virtually impossible to accurately calculate all of their IP as a whole. Moreover, the long shadow cast by these businesses also makes it more difficult to value IP owned by others, as well.

Where IP is Headed

“This is where the ‘smallest unit of value’ comes into play and where, I believe, the valuation exercise for IP, particularly when it is held by [businesses the size of] Apple or Google/Alphabet or Facebook, is being challenged. It’s the concept of SVU.”

Anson concludes with “we find ourselves with an increase in value of almost all IP groups, with the possible exception of patents. We also find ourselves under the Cloud with the Big Four Companies, plus Netflix, increasing their dominance in content, media, connectivity and communications…

“I hope that this book conveys that this is a time of great change in the world of IP and a time in even greater change of IP evaluation and valuation.”

IP Valuation for the Future can be obtained through the American Bar Association.

For the Table of Contents, go here.  

Image source: IP Valuation for the Future (ABA Books)

Convergence is creating new value; IPBC Europe in Paris to explore

The fourth industrial revolution (4IR) presents new challenges and opportunities for European companies.

4IR is characterized by a fusion of technologies that is blurring the lines between the physical, digital, and biological spheres collectively referred to as cyber-physical systems.

Traditional ways of creating value from intellectual property are becoming unsustainable and a more integrated approach to the management of assets is necessary. A good example is 5G, which is at the forefront of 4IR. (5G performance targets high data rate, reduced latency, energy saving, cost reduction, higher system capacity, and massive device connectivity.)

Golden Opportunity

The Intellectual Property Business Congress Europe, in Paris for 2019, will help IP executives to look beyond patents, trademarks and copyrights to ensure they are factoring trade secrets and proprietary data rights into their strategy.

Europe has a golden opportunity to lead the field in devising new IP strategies for the 4IR age, as well as defining the regulatory and policy environment. IPBC Europe will take place in Paris at the Les Salons Hoche, March 27-28.

Keynotes speakers are EPO Chief Economist Yann Meniere, Ericsson IPR and Licensing VP Mathias Hellman and 2018 Inventor of the Year, Stefano Sorrentino.

For the program, go here.

For the full list of speakers, go here.

IP CloseUp readers use code IPCU200 to receive a 200 Euro discount. 

To register, please visit this link.

Image source: avantex-paris.fr.messefrankfurt.com; events.ipbc.com

 

42% drop in writer income attributed to growth of new media, changing attitudes

Value associated with small content generators and copyright owners appear to be on a similar downward trajectory as independent inventors and patent holders. 

Decline in small book publishing and freelance opportunities for writers has resulted in a 42% decline in income for writers between 2017 and 2009.

The most comprehensive survey of writing-related income of U.S. authors ever conducted, recently published by the Author’s Guild, cites median pay for full-time writers as $20,300 in 2017; $6,080 for part-timers.

The findings included responses from more than 5,000 published book authors, across genres and including both traditional and self-published writers.

Fewer Opportunities

The decline in free-lance journalism and pay has meant less opportunity for authors who write for a living. Many of the best paying publications have dropped their rates or have folded. Content and copyright are increasingly the province of large providers like Conde Nast, whose own fortunes have been declining.

“The decline in earnings is also largely because of Amazon’s lion’s share of the self-publishing, e-book and resale market,” reported The New York Times. Amazon charges commissions and marketing fees for premium positioning, something smaller publishers cannot afford.

The Times quoted a source as saying the “The people who are able to practice the trade of authoring are people who have other sources of income.” This, the article said, creates barriers to entry and limits the types of stories that reach a wide audience.

Devaluation Crisis

“There is also a devaluation of writing in which it is often viewed as a hobby as opposed to a vocation.”

The Authors Guild calls the decline a ” crisis of epic proportions, especially for literary writers.”

SMEs and independent inventors take note: devaluation of creative output has not been limited to authored works.

What and how much audiences are willing to pay for intellectual property rights like patents have declined, as cheap or free-access has grown.

Some see it not only as an attitude towards authors, but as a strategy on the part of some content providers to cut costs and limit competition.

Amazon controls approximately 85% of the self-published market and so most self-published authors have no options other than to accept Amazon’s non-negotiable terms.

“Amazon,” says the Authors Guild, “but also Google, Facebook and every other company getting into the content business, devalue what we produce to lower their costs for content distribution, and then take an unfair share of the profits from what remains for delivering that reduced product.”

Among AG recommendations: “Publishers and self-published authors should be able to negotiate collectively with Amazon, Google and Facebook to equalize the bargaining power.”

For a summary of the Authors Guild survey findings and recommendations, go here.

For the full survey, go to the bottom of the page, here.

Image source: fairhaven.com; authorsguild.org

USPTO Director Iancu, top-ten inventor Jay Walker and IBM’s patent chief + surprises set for IP Awareness Summit this week

The IP Awareness Summit 2018 – IP literacy matters

The second annual Intellectual Property Awareness Summit is being held at Columbia University in New York this Thursday, November 29.

The Summit is being held by the Center for IP Understanding (CIPU), an independent non-profit. This year year’s theme is IP literacy in a digital world.

Featured speakers at IPAS 2018 include United States Undersecretary of Commerce and Patent and Trademark Office Director Andrei Iancu, whose recent remarks in favor of more certain patents and less rhetoric about patent licensing have been favorably received by IP owners.

Jay Walker one of the most prolific American inventors, curator of TEDMED and founder of Priceline.com will follow Director Iancu. Leading the group of featured speakers is Manny Schecter, IBM Chief Patent Counsel and a proponent of a clearer and more consistent definition of what is patentable.

Scholar and proponent of IP rights as property, Adam Mossoff, Executive Director of the Center for the Protection of Intellectual Property (CPIP), will round out the line-up of featured speakers.

A representative from the International Trademark Association (INTA) will speak about the growing problem of counterfeits and ways of addressing it through public awareness.

A few registrations are still available, here. 

Other Speakers & Panelists

Speakers from the International Trademark Association, Bloomberg Law, the Kellogg School fo Business, the Center for the Protection of Intellectual Property, the Global Innovation Policy Center (United States Chamber of Commerce), the rock band Cracker and other organizations from the US and Europe will be speaking and networking.

For the program, presenters and partners go here:

IPPro recently spoke with CIPU about IPAS 2018 and why today more than ever audiences need to understand the purpose and impact of IP rights. Excerpts follow (the entire article, “IPAS 2018: Why IP literacy matters,” is available, here).

What is the Intellectual Property Awareness Summit?

IPAS is an annual gathering of IP organizations, holders, educators and thought-leaders who believe that IP rights are frequently misunderstood and have come to be seen by many as unfair and unnecessary. IPAS 2018 is open to any interested party.

What is the goal of IPAS 2018?

At IPAS 2017 in Chicago, participants identified that there is a significant disconnect between how people see and use intellectual property. The problem is a result of confusion about why IP rights exist and who they benefit. A combination of inaccurate media coverage and vested interests are responsible for this false impression.

At IPAS 2018 we will “dig down” and start to identify whether or not there needs to be a set of basic standards for IP awareness for various audiences. What are the basics? How are they best communicated?The theme of IPAS 2018 is “IP literacy in a digital world.”

Information moves so much faster today. It is more accessible than anyone would have believed twenty years ago. Many businesses and individuals believe that basically “everything” accessible is available, and ideas are there for the taking.

Some U.S. lawmakers and courts have over-reacted to patent and other patent holders who wish to license their rights or enforce them, rendering many patents valueless. Some even believe that infringing IP causes no major harm and is a part of modern life.

A basic awareness of what IP rights are and do, and what is appropriate IP behavior, is something everyone needs – and it should come from a trusted source.

Why is IP awareness important?

The lines of IP ownership are sometimes poorly drawn and frequently misunderstood.

We need to start with IP professionals. They must recognize there is a problem outside of the IP community and even within it. There are intelligent people who believe that IP theft is not stealing.

Then, we need to identify the key audiences for better IP understanding: college students, educators, business schools, lawmakers, K-12 teachers, parents, investors, journalists.

What three or four basic IP principles do they need to know? Why? When should they be imparted? How?

It is no accident that the U.S. is the greatest nation when it comes to innovation, technology and authorship, including films and music. But that is changing.

The fast pace of communication and easy access to data do not let users off the hook when it comes to acknowledging IP rights. Respecting IP rights today may be more inconvenient for some than others, but it should not be more acceptable.

_____________________________

For more information about IPAS 2018, including registration information, please visit www.ipawarenesssummit.com.

To learn more about the Center for IP Understanding, go www.understandingip.org.

Image source: CIPU; understandingip.org

Et tu, TechCo? Some potential patent licensees should be outed for abusive behavior

What is the appropriate response to a legitimate request for patent licensing?

If you are an information technology company comfortable taking full advantage of confusion in the patent system, and unfettered by business ethics, it may be tossing the offer in the garbage can — just because you can.

Can a business simply ignore a reasonable licensing offer or does it have an obligation, ethical or otherwise, to take seriously a reasonable request to consider a license to an invention it requires or may already be using?

For an executive at one inventor-owned business, Personalized Media Communications, being totally ignored when a legitimate request to discuss a patent license is presented is an abusive practice and a threat to innovation that must be stopped.

The Real Issue

“Too often, this abusive behavior is conflated with ownership models to deflect attention from the real problems,” said Aaric Eisenstein, VP Licensing Strategy. “PR efforts targeting ‘trolls’ have warped stories of threats to mom & pop businesses to cast large companies as the equally helpless victims of these ruthless predators… the real issue is abusive behavior, and that’s what needs to be targeted…

“The responsibility for ending abuse rests not only with the Patent Office and the federal courts but also with the stakeholders in the patent system themselves. The stakeholders cannot simply complain and lobby for one-sided solutions. They must work together to improve the system upon which they all depend.

“The responsibility for ending abuse rests not only with the Patent Office and the federal courts but also with the stakeholders in the patent system themselves.”

“Following these rules eliminates both problems: skimpy-to-ridiculous notice packages and throwing legitimate packages in the trash.  It doesn’t matter whether the companies are large or small or whether they’re direct operating competitors or have completely different ownership models. The critical point is that these standards are targeted to prohibit abusive behavior per se

“The US patent system was the envy of the world for generations.  It can be again if we’re honest about its shortcomings and address them in direct and balanced ways.”

The TROL Act in the House of Representatives reintroduced legislation with apparent bi-partisan support that would give the Federal Trade Commission and the state attorneys general authority to issue civil penalties up to $5 million for sending misleading or bad faith letters demanding patent licenses.

There is no indication that penalties will also be instituted for bad faith on the part of businesses that ignore legitimate offers to license good patents, forcing owners to file suit.

Eisenstein is grateful to USPTO Director Andrei Iancu for having “reminded patent system stakeholders what US inventors have given the world and the right way to enhance the system.”

For the full article, go here.

Image source: seapine.com

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