Patents or open source, are patents good for us?
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Transcript of Patents or open source, are patents good for us?
Patentsor
open source
Think!
Patent
Temporary monopoly
On any inventions, in all fields of technology that are new, inventive
and industrially applicable
New: never disclosed
anywhere in the world
Inventive: not obvious for skilled man
Industrial applicable: can be made or used
in any kind of industry, including agriculture
Excluded as invention:
a) discoveries, scientific theories and mathematical methods;
b) aesthetic creations;c) schemes, rules and methods for
performing mental acts, playing games or doing business, and programs for computers;
d) presentation of information.
Exceptions to patentability
a) Inventions contrary to “ordre public” or morality
b) plant or animal varieties;c) Methods for the treatment of the
human or animal by surgery or therapy and diagnostic methods practised on the human or animal body.
97% of inventions is
junk
Arguments against patents
Patents hinder innovation
Patents destroy wealth
Small innovators are forced out off
the market
Big tech misuses patents to kill
small tech
Patents are granted for anything
Patents suffocate competition
Patents are on the expense of consumer
Data tells us more
Do patents hinder innovation?
1931
1930 1935 1940 1945 1950 1955 1960 1965 1970 1975 19800%
20%
40%
60%
80%
100%
USA television sets
1781
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350000
Steam engines in the USA and S-curve fit
1960 1970 1980 1990 2000 2010 2020 20300
100
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Globally installed capacity of photovoltaic cells
[GWp]
Last 10 Years, some 5000 patents have been filed on solar cells
1960 1970 1980 1990 2000 2010 2020 2030 20400
2000
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12000
Predicted global electrical power consumption and the installed PV capacity
3,3%
Global Electricity consumption [GW] PV
production [GWp]
2024
Patents do not hinder innovation
Do patents destroy wealth?
0 50000 100000 150000 200000 250000 300000 3500000
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USA Patents versus wealth
Granted patents
GD
P/ca
p Y2
005
ppp
$
1800
2014
Source: www.gapminder.org
0 10000 20000 30000 40000 50000 60000 700000
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NL Patents versus wealth
Granted pantents
GD
P/ca
p Y2
005
ppp
$ 2014
1800
Source: www.gapminder.org
A positive correlation exists between wealth and patents numbers
1855 1865 1875 1885 1895 1905 1915 19252000
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5000
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6500
7000 GDP/cap in 2005 US$ PPP
Belgium The Netherlands
Germany
Year
2005
US$
GDP
/cap
Source: www.gapminder.org
Patent free era in NL
In the Dutch patent free era, the Netherlands became from
leading in wealth to lagging in wealth, compared to its neighbors whilst they
maintained their patent systems
1500150115021503150415051506150715081509151015111512151315141515151615171518151915201521152215231524152515261527152815291530153115321533153415351536153715381539154015411542154315441545154615471548154915501551155215531554155515561557155815591560156115621563156415651566156715681569157015711572157315741575157615771578157915801581158215831584158515861587158815891590159115921593159415951596159715981599160016011602160316041605160616071608160916101611161216131614161516161617161816191620162116221623162416251626162716281629163016311632163316341635163616371638163916401641164216431644164516461647164816491650165116521653165416551656165716581659166016611662166316641665166616671668166916701671167216731674167516761677167816791680168116821683168416851686168716881689169016911692169316941695169616971698169917001701170217031704170517061707170817091710171117121713171417151716171717181719172017211722172317241725172617271728172917301731173217331734173517361737173817391740174117421743174417451746174717481749175017511752175317541755175617571758175917601761176217631764176517661767176817691770177117721773177417751776177717781779178017811782178317841785178617871788178917901791179217931794179517961797179817991800180118021803180418050
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120
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NL patents per decade
Zaagmolen1593
1500150115021503150415051506150715081509151015111512151315141515151615171518151915201521152215231524152515261527152815291530153115321533153415351536153715381539154015411542154315441545154615471548154915501551155215531554155515561557155815591560156115621563156415651566156715681569157015711572157315741575157615771578157915801581158215831584158515861587158815891590159115921593159415951596159715981599160016011602160316041605160616071608160916101611161216131614161516161617161816191620162116221623162416251626162716281629163016311632163316341635163616371638163916401641164216431644164516461647164816491650165116521653165416551656165716581659166016611662166316641665166616671668166916701671167216731674167516761677167816791680168116821683168416851686168716881689169016911692169316941695169616971698169917001701170217031704170517061707170817091710171117121713171417151716171717181719172017211722172317241725172617271728172917301731173217331734173517361737173817391740174117421743174417451746174717481749175017511752175317541755175617571758175917601761176217631764176517661767176817691770177117721773177417751776177717781779178017811782178317841785178617871788178917901791179217931794179517961797179817991800180118021803180418050
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NL patents per decade
Indexed purchasing power soap
Source: The prices of the most important consumer goods, and indices of wages and the cost of living in the western part of the Netherlands, 1450-1800, J. Luiten van Zanden
1500150115021503150415051506150715081509151015111512151315141515151615171518151915201521152215231524152515261527152815291530153115321533153415351536153715381539154015411542154315441545154615471548154915501551155215531554155515561557155815591560156115621563156415651566156715681569157015711572157315741575157615771578157915801581158215831584158515861587158815891590159115921593159415951596159715981599160016011602160316041605160616071608160916101611161216131614161516161617161816191620162116221623162416251626162716281629163016311632163316341635163616371638163916401641164216431644164516461647164816491650165116521653165416551656165716581659166016611662166316641665166616671668166916701671167216731674167516761677167816791680168116821683168416851686168716881689169016911692169316941695169616971698169917001701170217031704170517061707170817091710171117121713171417151716171717181719172017211722172317241725172617271728172917301731173217331734173517361737173817391740174117421743174417451746174717481749175017511752175317541755175617571758175917601761176217631764176517661767176817691770177117721773177417751776177717781779178017811782178317841785178617871788178917901791179217931794179517961797179817991800180118021803180418050
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NL patents per decade Indexed purchasing power peat
Source: The prices of the most important consumer goods, and indices of wages and the cost of living in the western part of the Netherlands, 1450-1800, J. Luiten van Zanden
1500150115021503150415051506150715081509151015111512151315141515151615171518151915201521152215231524152515261527152815291530153115321533153415351536153715381539154015411542154315441545154615471548154915501551155215531554155515561557155815591560156115621563156415651566156715681569157015711572157315741575157615771578157915801581158215831584158515861587158815891590159115921593159415951596159715981599160016011602160316041605160616071608160916101611161216131614161516161617161816191620162116221623162416251626162716281629163016311632163316341635163616371638163916401641164216431644164516461647164816491650165116521653165416551656165716581659166016611662166316641665166616671668166916701671167216731674167516761677167816791680168116821683168416851686168716881689169016911692169316941695169616971698169917001701170217031704170517061707170817091710171117121713171417151716171717181719172017211722172317241725172617271728172917301731173217331734173517361737173817391740174117421743174417451746174717481749175017511752175317541755175617571758175917601761176217631764176517661767176817691770177117721773177417751776177717781779178017811782178317841785178617871788178917901791179217931794179517961797179817991800180118021803180418050
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140
NL patents per decade
Indexed purchasing power pepper
Source: The prices of the most important consumer goods, and indices of wages and the cost of living in the western part of the Netherlands, 1450-1800, J. Luiten van Zanden
The absence of patents appear to destroy wealth
Are small innovators forced
out off the market?
No
1593
1980 1985 1990 1995 2000 2005 2010 2015 20200
50000
100000
150000
200000
250000
By using patents, small innovators can survive, sometimes with a legal
fight.
Does big tech misuse patents to kill small tech?
With the aid of a patent troll, the inventor could reclaim his IP and sell it
for a decent price.
People pay 6-10 €ct more, for
less beschuit
Because of his patent, the inventor could raise license fees
Big tech patents are 150 times more
valuable than small tech patents
In EU, non uses clauses prevents abuse, in USA there is no such relief
system
Non usus: if you don’t practise the invention within 3 years after
grant, you cant stop others anymore, a license is obligatory
by law (Article 57(2) ROW)
NPE’s sitting on their rights doing nothing are not possible in EU, contrary thereto, in the
USA they can (and do sometimes)
Are patents granted for anything?
In the Netherlands they are (since
1995)
66% of USA applications gets granted
50% of EPO applications gets granted
Patents are not granted for anything
Do patents suffocate
competition?
SEP’s are pooled, licenses are given out
under FRAND conditions
SISVEL HOLDS POOLS ON a.o.:
LTE, LTE-A, Wi-Fi, Wireless, MPEG-a, DVB-T, DVB-T2, WSS, DECT, DSL, 802.11 n,
802.11 ac (WLAN MIMO)
Licenses are given out at fixed prices per device in contingents
IP holders are a.o. Phillips, Samsung, Nokia, KPN, TDF,
Orange
SISVEL aggressively
attacks infringers
Paying license fees avoids problems
patents can suffocate competition if
infringed without paid license fees
Are patents on the expense of
consumer?
1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 20200
10
20
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40
50
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80
90Price of Si PV cell in $/Wp
2004 2006 2008 2010 2012 2014 20160
1
2
3
4
5
36$ct
80$
Patents are on the expense of the consumer, if he
chooses to buy the underlying technology
Patentsor open source
Is at the choice of the
innovator
Discarding the entire patent system, is a bad idea, for
all of us