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This article discusses the challenges in the patent system, including the increase in quantity over quality, the rise in litigation, and the lingering effects of the Dot-Com Bomb. It also explores different myths and realities surrounding innovation and the importance of intellectual property for small innovators. Additionally, it examines the role of free software innovators and producers, as well as the need for patent reform to support SMEs.
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Patents and Innovation Association for Competitive Technology Jonathan Zuck March 2006
The Patent Problem • More Quantity, Less Quality • Increase in litigation • “Dot Com Bomb” Fallout Still Evident • Backlog • Bad name for “software”
vs Innovators Producers
Innovation Business • Risk capital • Market creation • Returns from Licensing not Labor
Small Innovators • Venture Capital • Partnerships with larger firms • Need leverage • Need business model flexibility • No “net” – Returns are “do or die”
IP to the Small Innovator • IP Makes me Attractive • IP Makes me Safe • IP Makes me Profitable
FreeSoftware Innovators & Producers Research Applied App Dev App Emulation Duplication Innovation Production
Shopping Cart Progress Bar Blueprints Recipe Schematic Spec What People Are Saying Compression, Encryption, Facial & Voice Recognition, Clustering Non-Obvious Technical Contribution Quality New Tangibility of Implementation Mechanical Pharmaceutical Software Driven Software
Patent Reform • SMEs Need Predictability and Accessibility • Improved Pre-grant Process • Better searching • Better examination - $$ • More Comprehensive “prior art” • Improved Post-grant Process • Opposition Process • Litigation and Court Reform
Questions What is software? What is innovative?