-----Original Message-----
From: Tiip Newsletter [mailto:[log in to unmask]]
Sent: 14 June 2004 19:49
To: tiip
Subject: TIIP Newsletter 2004-3: Patent Thickets
Newsletter
TECHNOLOGICAL INNOVATION AND INTELLECTUAL PROPERTY
Issue 2004-3
PATENT THICKETS
To view the complete contents click on:
http://www.researchoninnovation.org/tiip/index.htm
* * * * Contents:
Patents are often discussed in a mythical world where a single inventor
obtains the only patent on a product. This newsletter issue explores the
more complex worlds of software, semiconductors and biotech where each
product may involve hundreds of patents. This complexity gives rise to a
number of related problems often referred to as "patent thickets."
Strategic Patenting
One problem arises when competing firms potentially infringe each other's
patents. James Bessen argues that when competing firms aggressively build
large patent portfolios, incentives to perform R&D may be reduced. However,
high patentability standards may correct this problem.
Software Patents
Evidence of this kind of strategic patenting is found with software patents
by James Bessen and Robert M. Hunt. Firms in some industries have acquired
large numbers of software patents and the investment these firms make in R&D
appears to have declined, relatively, rather than to have increased.
Fragmented Ownership
Another problem, called the "anti-commons" by Michael Heller and Rebecca
Eisenberg, occurs when firms have to negotiate with many owners to obtain
needed technologies. Transaction costs may inhibit firms from using
innovative technologies. Rosemarie Ziedonis finds empirical evidence of the
effects of fragmented ownership in the semiconductor industry.
Anti-commons & Biotech
John Walsh, Wesley Cohen and Ashish Arora report survey evidence on the
extent to which licensing has restricted access to research tools needed for
biomedical research. They report that access to research tools has not been
a problem in some areas of biotech because researchers have found "working
solutions" around the anti-commons. But this is partly because many
university researchers have mistakenly assumed that they are exempt from
patent infringement.
Gov't-funded Biotech Research
Rebecca Eisenberg and Arti Rai propose a modest policy change that may
alleviate some of the problems of access to research tools. Currently, the
Bayh-Dole act gives universities control over how research results are
patented and licensed. But the universities do not necessarily act in the
public interest. Eisenberg and Rai suggest that the agencies that fund the
research should have more say over licensing terms.
Sharing Innovations
Oren Bar-Gill and Gideon Parchomovsky point out another mechanism that may
help some anti-commons problems. When innovation is cumulative, some
researchers may prefer to publish rather than patent some of their findings.
This is because follow-on inventors will then have greater incentives to
improve the technology, possibly enhancing the profits on the original
invention. Bar-Gill and Parchomovsky suggest policy changes to encourage
publication.
----------
To unsubscribe from this list, or change the email address where you receive
messages,
please go to [log in to unmask]" target="_blank">http:[log in to unmask]
--
This message has been scanned for viruses and dangerous
content by the NorMAN MailScanner Service and is believed
to be clean.
The NorMAN MailScanner Service is operated by Information,
Systems and Services, University of Newcastle upon Tyne.
************************************************************************************
Distributed through Cyber-Society-Live [CSL]: CSL is a moderated discussion
list made up of people who are interested in the interdisciplinary academic
study of Cyber Society in all its manifestations.To join the list please visit:
http://www.jiscmail.ac.uk/lists/cyber-society-live.html
*************************************************************************************
|