Tag Archives: USPTO

Rep. Collins speaks from IP experience at CIPU-GIPC innovation policy forum

On Tuesday an open briefing was held in Washington to better understand U.S. innovation and IP policy. Congressman Doug Collins (R-GA), a supporter of strong and certain IP rights, launched the event with a personal account of his exposure to IP rights growing up in rural Georgia. 

He said that a number of his relatives and neighbors were chicken farmers, “some of whom invented new and more effective processes to produce and process eggs and poultry that were protected under IP law.”

The keynote comments of the Congressman were part of a program, “Innovation Policy and Intellectual Property: Building on a Strong Foundation,” held by the Center for Intellectual Property Understanding (CIPU), an independent non-profit, and the Global Innovation Policy Center (GIPC), a division of the United Stated Chamber of Commerce.

House Judiciary Committee

Congressman Collins is a member of the House Judiciary Committee, and also is on the sub-committee for the Courts, Intellectual Property and the Internet. He was a sponsor of the recently enacted, and broadly supported Music Modernization Act, which passed the House 415-0, and has developed and supported other IP-friendly legislation. “IP is a part of the fabric of the nation,” he said. “American freedom is tied to an effective IP system.”

Other presenters included CIPU board member Marshall Phelps, former Vice President of IP Business and Strategy at Microsoft and prior to that at IBM. Mr. Phelps also served as head of Government Relations for IBM in Washington in the 1980s, and previously was head of Asia-Pacific. He spoke about the threat to technology posed by “Japan, Inc.” in the Eighties, and how the U.S. was able to surmount the threat with the right combination of incentives.

“The threat to IP and innovation from China is real,” said Phelps in his introductory remarks, “but too much policy and the wrong incentives can create bigger problems. Making patent certainty a higher priority should be the first priority. Putting IP properly on the balance sheet would help, too.”

Manny Schecter, Chief Patent Counsel of IBM, also a CIPU director, and president of the Intellectual Property Owners (IPO) Education Foundation, was a panelist, as were, Alan Marco, former USPTO Chief Economist, Rob Atkinson, a pro-IP economist and President of the Information Technology and Innovation Foundation (ITIF), and Professor Adam Mossoff, an IP scholar and policy expert at George Mason University Scalia School of Law.

Among the goals of the panel was to explore:

  • What is U.S. innovation policy?
  • How does it relate to intellectual property?
  • Who should be responsible for it?
  • How should success be measured?

Audience Response

One the audience members asked if the Supreme Court, with Oil States and several other decisions, was “anti-IP.” The panel did not believe so, but thought that SCOTUS members may be poorly informed about the purpose and use if IP rights.

Another audience member stated the false narratives around phrases like patent “trolls” were part of a long-term “public relations campaign” that has seeded anger and hostility toward IP rights in general. He thought a sustained educational initiative could help to make the role of IP clearer for various audiences.

Image source: GIPC

USPTO Director Iancu will keynote 2018 IPBC Global in San Francisco

An impressive group of speakers, sponsors and supporters, led by USPTO Director and Undersecretary of Commerce, Andrei Iancu, will be featured at the 11th global Intellectual Property Business Congress in San Francisco, June 10-12 at the Palace Hotel.

Director Iancu has indicated that he will support the long-awaited move to greater certainty in the U.S. patent system.  In a recent speech to the U.S. Chamber of Commerce he said that “reclaiming our (U.S.) patent leadership is within reach.”

Attendees will be eager to hear about Director Iancu’s strategy for attaining this and other goals.

IPBC Global 2018 plenary’s and panels include:

  • Will the U.S. Continue to Lead in IP?
  • CIPO Scenarios: The Good, Bad and Ugly 

IP CloseUp editor, Bruce Berman (that’s me), will be a member of the patent quality panel:

  • Is patent quality a distraction? – all that really matters is patent eligibility

    -What is a quality patent?
    -Controversy around eligibility
    -The importance of predictability

For the AI panel, participants will include Bart Eppenauer, former Chief Patent Counsel at Microsoft and William LaFontaine, General Manager, IP, IBM.

  • The World of Artificial Intelligence 

For the IPBC Global 2018 program, go here.

For the full list of speakers and their biographies, go here.

To register, go here.

Image source: ipbc.com; ipwatchdog.com

Cong. Collins & Jeffries, and expert panel, will look at innovation policy and IP on May 8 in Washington

WASHINGTON, DC –– What is innovation policy? What does it mean to U.S. competition and jobs? Who is responsible for it?

These are among the questions that will be addressed at an afternoon briefing held by the Center for Intellectual Property Understanding (CIPU) at the headquarters of the United States Chamber of Commerce headquarters in Washington on May 8.

The event will feature two leading proponents of IP rights, Congressmen Doug Collins (R-GA) and Hakeem Jeffries (D-NY), both members of the House Judiciary Committee, Sub-Committee on the Courts, Intellectual Property and the Internet.

“Innovation Policy and Intellectual Property: Building on a Strong Foundation” is being held by the Center for IP Understanding, an independent non-profit, and the Global Innovation Policy Center (GIPC), a division of the Chamber. Persons interested in receiving an invitation please contact CIPU at explore@understandingip.org.

Preceding the Congressmen will be a panel, “What is Innovation Policy? Why is it Necessary?” featuring leading experts on innovation, IP and the economy, including:

 – Manny Schecter – Chief Patent Counsel of IBM, board member of CIPU and the IPO Education Foundation
Alan Marco – former Chief Economist for the USPTO and now Associate Professor of Public Policy at Georgia Tech
Adam Mossoff – Prof. of Law at George Mason University, Center for the Protection of IP
Robert Atkinson – founder and President of Information Technology and Innovation Foundation (ITIF), an independent think tank

Discussion Will Follow

A networking break will follow the panel and a reception will take place at the conclusion of the program.

Go here for information about the “Innovation Policy and Intellectual Policy: Building a Strong Foundation.”

“U.S. innovation policy and IP focus are seriously lacking,” said Marshall Phelps, former Vice President of IP Business and Strategy at Microsoft and at IBM, and a CIPU board member. “Other nations take their policies more seriously. The timing is right to dissect what U.S. innovation policy means and how it effects jobs and competition.”

Briefing partners and supporters include the Michaelson 20MM Foundation, the Kellogg School of Management at Northwestern University, Berkeley Research Group, the Tusher Center for Intellectual Capital Management at UC Berkeley-Haas and Open Invention Network.

Image source: understandingip.org; nesta.org.uk; theglobalipcenter.com; 

 

Pace of patent litigation declines; 2018 applications still flat

Early indications are that U.S. patent litigation for 2018 is on track to be among the lowest in since 2005.

So far in 2018, approximately 555 patent infringement suits have been filed (3,330 on an annualized basis). This is off from a peak of 5,874 in 2015, or an average of 979 every two months. In 2005, the lowest litigation filing year in recent memory, there were just 2,582 suits. In 2017, there were 4,072. January and February are early indications, and there is time for the rate to increase.

According to statistics provided by intellectual property research firm Patexia, January 2018 patent applications came in at 27,720, just 631 higher than 2017, 27,089, which was the lowest year for that month since 2012. February applications are running behind last year, which came in at 28,329 for the same month. Final figures are not yet in.

This trend in patent applications and litigation has been accompanied by a flattening of Inter Partes Review (IPR) petitions filed. IPRs have been fairly level for the past three years, peaking in 2017 at 1,725. So far this year (through February) there have been approximately 250 IPRs filed, putting 2018 on track for about 1,500, slightly below the last two years on an annualized basis. No information on the number or percentage of instituted petitions was provided.

Litigation, IPRs and CBMs Filed to Date

IPRs and Litigation

Difficulty obtaining software and business methods patents are a likely reason for the drop in U.S. patent applications, as well as the increased difficulty defending patents. Patent uncertainty and decreased need for defendants to take a license or engage in licensing discussions, as well as the high cost of litigation, are possible reasons for an increase in IPRs.

For Patexia live litigation statistics, go here.

Image source: patexia.com

E-cigarettes is the fastest growing patent class; followed by 3-D printing and machine learning

Vaping may not be a turn-on for everyone, but the fastest growing United States Patent and Trademark Office category over the past five years is e-cigarettes, with a compound annual growth rate of 45%.  

Much of e-cigarette growth, according to patent research company IFI Claims, who conducted the research, was in the subclass A24/47, “Simulated Smoking Devices.” The rapid growth within this classification may be due to full legalization of cannabis in some states, and prescription access in others.

Man smoking e-cigarette

Atria Client Services leads in this group with 90 published applications, followed by Philip Morris Products with 80.

The next fastest growing patent classification, with a five-year compound annual growth rate of 35%, is 3-D Printing. 2017 published application leaders in this area were General Electric (89), Xerox (78) and Boeing (50). HP Development came in at 48.

The third most active patent category at 34% was Machine Learning, sometimes known as artificial intelligence. Companies leading in predictive models and related areas include IBM (654), Microsoft (139) and Google (127). They were followed by LinkedIn, Facebook, Intel and Fujitsu.

Driverless Space is Active

Fourth from the top at 27% was Autonomous Vehicles, USPTO patent classification GO5D. Applications included automatic pilots for air and land vehicles. IBM was the leader in this category, too, with 80 published patent apps, followed by Ford Global Technologies (79), Shenzhen-based, SZ DJI Technology (63), followed by Toyota, Honda, GM and Bosch.

The remainder of the top eight looks like this: Moulding Materials, 27% (Boeing, 3M Innovative Properties, Saudi-based SABIC Global Technologies, Honda, Xerox, Nike and Hyundai); Hybrid Vehicles, 26% (Toyota, Ford, Hyundai, Honda, GM, Scania and Kia); Aerial Drones, 26%, (Boeing, Sikorsky, SZ DJI Technology, Airbus GmbH, Goodrich Airbust Ltd., and Bell Helicopter Textron); and Food, 24% (Nestec (related to Nestle), Abbott, Danone Group division, Nutricia, Dutch multinational DSM IP Assets, Malaysian-based sweetener producer, PureCircle, Conopco (Unilever) and Mars.) This classification is called “Foods, Foodstuffs or nonalcoholic beverages.”

For the complete “Eight Fast Growing Technologies” slide deck, go here.

Image source: ificlaims.com; psu.edu; nebraskamanufacturing.com; datasciencecentral.com

 

44% of top U.S. patentees for 2017 are U.S. companies; 50% are Asian

Many companies received more U.S. patents in 2017; IBM, the perennial leader, was number one for the 25th year. However, there were some notable declines in patent grants.

Canon, Qualcomm and Google were down 10%, 9% and 13% respectively. It is difficult to determine if it is as a result of poor company performance or a shift toward higher quality. Toshiba 20%, Philips 15% and Brother Industries 24%. The grant results were provided by IFI Claims. They also were reported in Law 360. Facebook at number 50 was up 49%, but on a much lower base; Toyota was up 36%, an indication that the automobile companies may be positioning themselves in autonomous vehicles and batteries for electric cars.

(Click on image for the entire list or go to IFI Claims at the link above.)

What does it mean?

Interpreting this data is not simple. Clearly, more is not necessarily better, and some patent recipients, like IBM, up 12% in 2017, frequently do not hold their grants to term. (Samsung, the largest U.S. patent holder, is a much larger active holder than IBM.)

But being able to afford patents and obtaining them with a purpose is typically a positive among information technology companies. Only 22 of the top 50 U.S. patent recipients are U.S. companies, down from a decade or more ago. Fifteen are Japanese, five Korean and four Chinese. (One is from Taiwan.) European businesses accounted for four companies on the 2017 list – the same as the number as China without Taiwan, and one fewer than Korea.

Image source: Law360.com; IFI Claims

Weak stock performance for leading PIPCOs in 2017; PIPX is suspended

 Shares of many of the leading PIPCOs (public IP licensing companies) significantly under-performed the leading markets indices in 2017, with only a couple showing gains.

Despite annual increases of around 20% for the S&P 500 index and 29% for the NASDAQ composite index, IP CloseUp 30® companies were down for the most part, some by more than 40%..

The PIPX composite index of 13 PIPCOs, which IP CloseUp has run quarterly for the past two years, is no longer being prepared.

“I’m going to stop doing the index,” Dr. Kevin Klein, its founder, wrote to IP CloseUp in an email. “The performance of the companies has not been good, several are going private, changing their business models, and/or issuing additional stock so keeping the index coherent is getting to be a challenge.”

Negative Trend

Acacia Research Corp (ACTG), started the year at $6.70 and ended it at $4.05.  Its market capitalization is currently $210 million. Finjan (FNJN) began in January at $1.35 and closed at about $2.24, up 82%. Its market cap is around $62 million. Finjan has survived multiple inter partes reviews.

ACTG, FNJN, NTIP, QTRH, RMBS and XPER stock comparison for 2017

Network-1 Technologies (NTIP), a solid performer until an adverse district court decision this year, dropped from $3.45 to $2.35, down 28%. Its market cap remains around $57 million. Quarterhill (QTRH), formerly WiLAN, dropped from $2.32 to $1.82. Market value is $220 million.

A larger player, with a $1.5 billion capitalization, Rambus (RMBS), finished the year at $14.30, up slightly from $13.80. However, Xperi, the former Tessera (XPER), saw its shares drop from $44.95 to $24.70, down 44%.

Some attribute the poor PIPCO performance to the passage of the America Invents Act, adverse decisions by the courts and weak demand for patent licensing because of diminished litigation threat. There were, however, momentary bright spots throughout the year for some of these companies’ shares, but, on the whole, 2017 was not a good year, even for larger and historically better performing PIPCOs. With a new Director of the USPTO and fairer PTAB 2018 will hopefully be better.

Image source: yahoofinance.com

2018 in focus: Videos from IP Awareness Summit explore better IP understanding

The IP Awareness Summit 2017 was the first IP event to focus on perception and awareness of intellectual rights and their impact.

Videos of panel discussions, held at Chicago-Kent College of Law, Illinois Institute of Technology on November 6, have been posted to YouTube and the IPAS event website.

More than a record of the Summit, these videos move the IP awareness discussion to a new level, and are worth perusing whether or not you attended IPAS. (Some observers choose to view/listen while multi-tasking.)

IP Erosion

The presentations include economist and entrepreneur David Teece’s keynote, “IP Erosion: A Growing Threat to U.S. Economic Leadership.”

To access the IP Awareness YouTube channel, please enter “IP Awareness” on YouTube, or go here.

Panelists and their current or prior affiliations are identified on YouTube, beneath the videos.

All eight videos are centralized and can be accessed from the IPAS 2017 website, here. 

For specific IPAS panels, click or tap below.

IP Education Today

Identifying Good and Bad IP Behavior (intro)

Identifying Good and Bad IP Behavior (panel)

IP and Theft: The High Cost of Confusion

Keynote – David Teece, The Tusher Center, UC Berkeley-Haas School of Business
“IP Rights Erosion: A Growing Threat to U.S. Economic Leadership”

Media Coverage and IP

Making IP Awareness a Higher Priority

Breakouts: Impediments to IP Understanding

 

Feel free to tweet, post or otherwise share the IPAS YouTube videos with others. You can also send your thoughts and comments to explore@understandingip.org.

 

Image source: understandingip.org

Bank of America is granted (another) blockchain-type patent

Bank of America was granted last week a patent on a “cryptocurrency transformation system” that comprises a platform to manage exchange rates between various currencies, transfer requests, and customer accounts.

The timing could not be better. The price of a bitcoin as of December 12 is $17,756.96, up from $1,000 on January, and the premium on cryptocurrency and blockchain patents is sure to rise, too.

“Enterprises may handle a large number of financial transactions on a daily basis,” reported ETHnews, citing the bank’s patent. “As technology advances, financial transactions involving cryptocurrency have become more common. For some enterprises, it may be desirable to exchange currencies and cryptocurrencies.”

Blockchain-type Patents 

It is interesting to note that inventors from four different states are shown on the patent –  Georgia, Colorado, Florida and North Carolina, BofA’s home state. This may give some indication of the seriousness which it is taking the patent.

Top Assignees

According to an article in IP Watchdog, the four top assignees in the blockchain/cryptocurrency area are Bank of America, Mastercard, Paypal and CapitalOne, all financial entities. They followed by technology-based businesses IBM, Microsoft, Amazon and Apple.

Both groups appear to be pursuing leverage.

It is estimated that the Bank of America has filed more than 20 blockchain patents over the past four or five years. Its interest is unclear, but it may well simply want to prevent patent disputes by holding key patents.

For a copy of the new patent, issued on December 5, go here.

 

Image source: uponarriving.com; ipwatchdog.com

Financial Times article slams US patent syst for business model bias

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.

Tech Titans

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

London IP Summit will feature transaction leaders; Washington patent policy event, a US Senator

Two timely IP conferences, one in London focusing on patent deals, and the other in Washington, looking at patent policy issues, will take place in this fall. 

This year’s London IP Summit will be held at the London Stock Exchange on October 16,and feature several of the leading figures in patent licensing and transactions.

So far, they include Stephen Pattison, ARM; Kasim Alfalahi, Avanci; Gustav Brismark, Ericsson; Roberto Dini, Sisvel; Tim Frain, Nokia; and Manny Schecter, IBM.

“The London IP Summit is an industry leading event dedicated to bringing together IP owners, experts and investors to address key challenges and operational issues faced by companies and IP professionals today,” reports LIPS.

“Due to the sensitive nature of the topics discussed, LPS-London IP Summit is the only IP event organised under the Chatham House Rule*, offering safe and secure environment to speakers and to attendees in order to encourage openness and sharing of information. Participation at the event is by invitation only

 * When a meeting, or part thereof, is held under the Chatham House Rule, participants are free to use the information received, but neither the identity nor the affiliation of the speaker(s), nor that of any other participant, may be revealed.

For the full program or to register go here.

*****

In Washington, DC on November 14, IAM is presenting the 3rd annual Patent Law and Policy conference, “Courts, Congress and the Monetization Landscape,” at the Reagan International Trade Center, across the street from the White House. The event will provide the political background needed to put IP into better context amidst changes.


Coverage includes the latest Supreme Court decisions and the machinations in Congress, to the policies of the Trump administration, the event provides delegates with timely and relevant insights from panelists representing a broad cross-section of the patent community.

Senator Chis Coons (D-Delaware) will be a speaker, as will interim USPTO Director Joseph Matal.  Laurie Self of Qualcomm, a passionate defender of the right to license patents, also will present.

For the Patent Law and Policy program or to register, go here.

Register by October 6 using code ONLINEEB to receive $100 off the standard rate. (CLE credit is available.)

 

Image source: 10times.com; qualitytalks.com

Blockchain patent publications picked up speed in August

An uptick in recent blockchain patent publications may be an indication that the technology is quietly picking up steam, with competing big banks and tech businesses vying for leadership.

“The US Patent and Trademark Office (USPTO) published in late August 2017 nine additional patent applications related to blockchain technology that was filed by Bank of America,” reports The Coin Telegraph, an industry publication.

The patents, which relate to the carrying out and settling transactions within a payment network, were all filed on Feb. 22, 2017, so the process took only seven months. So far, BofA has filed over 30 blockchain technology-related patent applications, including some 18 in 2016.

“The various patents already filed by the bank mainly focused on the whole cryptocurrency exchange and payment process. Among them were the areas of real-time conversion, transaction validation, risk detection, and online and offline storage.

“The other patents involved the use of distributed ledgers to validate the factualness of information and those who handle it, as well as a peer-to-peer payment system that operates on the blockchain.”

In September 2016, the bank partnered with Microsoft for a joint project aimed at developing and testing blockchain applications for trade finance.

“Under the deal,” reports The Coin Telegraph, “the bank will collaborate directly with Microsoft Treasury for the creation of a Blockchain system that can speed up transactions between the partners.The partners have already hinted that they are already testing how the system can facilitate the letter of credit process.”

***** 

Leading cryptocurrency startup Coinbase received in mid-August a patent related to a security system for storing and distributing private keys.

The USPTO approved and published the patent on August 15, reports Econotimes.com. Entitled “Key ceremony of a security system forming part of a host computer for cryptographic transactions’, the patent lists former Coinbase engineers James Hudson and Andrew Alness as inventors, CoinDesk reported. The patent application for “key ceremony” was submitted in 2015. The startup has filed a number of patents related to security of private keys in the past.

*****

Also last week, the USPTO published the details of Visa’s new patent application. The biggest credit card company’s plans for the digital asset network are quite broad, reports Bitcoin Magazine. However, it might be possible that the company is planning to file a patent for the Visa B2B Connect.

The blockchain enterprise company Chain and Visa announced their new partnership in October 2016, in which the two firms decided to develop “a simple, fast and secure way to process B2B payments globally.” The Visa B2B Connect platform’s pilot is expected to launch in 2017, indicating a connection between the USPTO digital asset network patent and the new B2B solution.

*****

Coincidence? Maybe. Publication dates cannot be controlled, but they can be managed. A spate of controversial financial transaction patents publishing in mid-August should draw more attention than they would otherwise deserve.

 

Image source: datafloq.com; cointelegraph.com

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