|| Marina Abed Tatiana Voinova Valérie Chardonnens Stefanie Derzsi Protection of innovation.
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Transcript of || Marina Abed Tatiana Voinova Valérie Chardonnens Stefanie Derzsi Protection of innovation.
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Marina Abed
Tatiana Voinova
Valérie Chardonnens
Stefanie Derzsi
Protection of innovation
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Fast Growing Creative Economy
Technology licensing USD 100 billion (2005) worldwide Patents & intellectual property driven
business models Sharing innovation secrets with others
(e.g. open source software)
Past: Technology Dissemination Patterns grated as a reward for temporary monopoly (Italy & Britain) Purpose: transferring foreign technology into a country
Today: Technology Protection Protect creative economy through intellectual property US primary export product – copyright (books, music etc)
1980s Today0%
20%
40%
60%
80%
100%
Tangible assets Intangible assets
Assets of publically traded companies
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Legal Protection of Innovation
Europe: Property right follows from “natural rights” Social contract: new property belongs to an inventor
USA & Japan: Commercial exploitation favored over creator’s rights Japan: practice of early licensing
After patent is published, everyone can use it with licensing fees If the patent is not appropriated later, fees are paid back
Balance protection of inventors & sharing to promote growth
Intellectual property rights
PatentProtects an ideaInnovations and technical ideas
CopyrightsProtects work Artistic, musical or literary work
TrademarkProtects a brand
Trade secretProtects know-how Confidential knowledge within a company
Protection Rights Social Contract
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Patents: Pros and Cons
Cons Benefits of patent system may outweigh the costs “Negative right”: forbids people from using a process for a certain time
Seen less as property rights & more as innovation drivers
Pros Drive innovation by creating incentives to
share Give owners temporary and
geographically defined monopoly Foster exchange between R&D groups Balance expensive innovation and cheap
copying & re-engineering
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Patents: Four Examination Criteria
Past 17th century: Were not based on discoveries Gave exclusive rights to manufacture & sell (Britain)
Today: Very specific, require approval from authorities Registration conducted on “first-to-file” basis
To secure patent protection, inventions examined by experts with deep domain-specific knowledge :
Technical idea / technical solution for a technical problem Useful and realizable Novelty: must be something not disclosed before Should not be obvious (show existing technology and demonstrate
improvements achieved)
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Patenting Worldwide
Today Exists: 50 million in 65 languages Only 15 million are still valid US patents doubled 1990-2000
Everyday: 10,000 new patents everyday
Patents are best source of technology documentation
About 80% of technology info published in patents Classified according to IPC (International patent classification) with
65,000 classes IPC allows to compare patents from different sources Patents show technological strategies and gate-keepers
Brain-mapping: Patents show gate-keepers
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Patents become important for corporations Once patented, an alternative solution could be found Not patenting creates a risk that others will patent Strategies: (1) Patent (20 years), (2) Publish (in non-technical publication to
hide from the competition) Petty patents: limited protection for 5-15 years, less administration
Patenting Worldwide
Strategies for protection: different goals and enforceability
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Patenting in Europe
Swiss companies apply in general for EU patents. Application is possible in Munich, The Hague and Berne.
Problem: A European patent is not valid in all European countries due to the lack of a EU-wide patent
Reasons: Block for language reasons Lack of centralized decision-making power Laws are a national matter
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International patenting
Source: wipo.com
Time and cost intensive process
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Problems with patenting software in Europe
US: Software patenting and business methods can be patented since 1998. Example: Amazon “Double-click” Patent applications exploded
CH: Software, mathematical methods and scientific theories are not patentable
EU: Business methods cannot be patented and software needs to undergo a strict examination
“Data processing is not regarded as a technological field”
“Data-processing inventions are not viewed as inventions in the sense of patent”.
European Patent Convention (EPC)
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Patent protection: The patent war Patent war between Apple, Samsung, Nokia and Microsoft Google bought Motorola 2011 because of huge patent base
Source: US patent Office, 2012
Till 2000 Microsoft had no patents!
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The mobile phone patent war
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Cross licensing is a way to avoid lawsuits and potentially enhance innovation
Often patents by companies covers different essential aspects of a product
Thus by cross licensing, each party maintains their freedom to bring the
commercial product to market.
Benefit:
Not considered as a cartel
Enhancement of innovation
Downside:
Big players dominate and keep
small third players out
Cross-Licensing
Cross-licensing
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Protection rights: Patents, Copyrights and Trademarks
CopyrightPatent Trademark
A patent is an exclusive right granted for an invention.
A trademark is a sign capable of distinguishing the goods or services of
one enterprise from those of other enterprises.
Copyright is a legal term used to describe the rights that creators
have over their literary and artistic works.
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Copyrights: Protection of art
What is protected? All literature, artworks including painting sculpturing, movies, music scientific articles computer programs, databases, advertisements, maps and technical drawings.
How long lasts the protection? The protection lasts a lifetime and in most countries 70 years after death.
When is a copyright in place? In contrast to patents there is no explicit format needed and the protection is in place from the beginning
Important exception: Libraries allow copying for private and small-scale
Important note: There is no international copyright BUT there
exists copyright conventions as the “Berne Convention”
and the “Universal Copyright convention”
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Lawsuit 1999 against Napster: Easy accessible file sharing platform for music Napster was sued for billions and shut down in 2001 Rescued by other companies, today streaming platform
What changed with Napster? Music industry revenues collapsed with loss of protection laws Today in many countries downloading is allowed but uploading
is forbidden.
Final conclusion: Copyright protection changes with copying technologies Copyright is always lagging behind technology
Napster changed the view on copyright
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Invented in England 1897 to protect own economy
However labels as “Made in Germany” became labels of quality
What criteria need to be fulfilled for registration?
1. Has to differ from existing ones
2. First to use has priority
3. Not misleading nor public property
4. Has to be applied for and used in public
5. Loss of right if you don’t use it (in general after 5 years)
6. The owner has to watch the market himself for infringements
What is the benefit of a trademark?
They last forever and it is much easier to control infringements than with
patenting BUT building up a trademark is expensive and difficult
Trademarks: Brand Protection
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Protection mix: IKEA
Copyright Patent Trademark
Not one component but the right mix makes the difference!!!
IKEA brand name Product names Logos Service names
Products Methods of manufacturing Technology
Website Designs Images Movies Advertisement
Trade secrecy
Business models
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Protection of Innovation
Discussion