Benefits of Protecting Your IP - Patents as Business Tools David Paton Patent Attorney Venner Shipley LLP 31st January 2013 John Chettle Patent Attorney
Benefits of Protecting Your IP 1. Recent trends in patents 2. Benefits of patents 3. Government incentives 4. Design protection
Benefits of Protecting Your IP Intellectual Property Trade marks Industrial Designs Patents Other IP Copyright
General Trends in Patent Filings
Patent Filings 2008-2011 (% Growth year-on-year) Patent Office 2008 2009 2010 2011 Worldwide 2.6-3.6 7.5 7.8 Europe 2.1-6.7 6.2-3.0 FR, DE, GB -0.9-4.4 0.0 0.7 USA 0.0 0.0 7.5 2.7 Japan -1.3-10.8-1.1-0.6 China 18.2 8.5 24.3 35.1-4.2 4.0 5.2 Rep. of Korea -1.1
Who is Filing in Europe? Fastest Growth (EPO Filing Figures): 2011 Total vs 2010 Rank USA 59,089-2.5% 1st Germany 33,289 +0.5% 3rd China 16,153 +27.2% 4th UK 6,484-9.4% 8th India 1,494 +13.1% 20th Russia 892 +26.2% 22nd Brazil 579 +11.3% 27th
Indication of patent filings in select Cleantech areas: Biofuels, Solar PV, Carbon Capture, Wind
Patent Filings in Select Cleantech Sectors 800 2500 700 Biofuels 600 500 1500 Europe Worldwide 400 300 200 0 2007 2008 2009 2010 2011 16000 Solar PV 14000 12000 10000 Europe Worldwide 8000 6000 4000 2000 0 Europe Worldwide 1000 500 100 0 Carbon Capture 2000 2007 2008 2009 2010 2011 2007 2008 2009 2010 2011
Benefits of patents A monopoly of the patented technology Enforceable against others and not necessarily restricted to one industry sector Licensable and saleable Provides a clear indication of the scope of the technology to potential investors Provides a tangible asset and gives a concrete definition of the protected technology
Benefits of patents Negotiating tool in disputes with competitors Marketing tool Stamp of quality Shows a difference from your competitors Tax incentive
Initiatives to promote patents Fast track programmes for green technology Accelerated search, publication, examination and grant of patent applications relating to green technology. E.g. UK, US, China, Canada, Rep. of Korea. UK Green Channel Patent Applications Wide-ranging definition: inventions having an environmental benefit can apply. Must file a request not automatic but is free. Possible to obtain tax relief at an earlier stage
Initiatives to promote patents Classification of green patents New European classification system for patent applications relating to clean energy. Patent Box R&D Tax Credits
Patent Box What is it? Preferential corporation tax regime Part of the UK government s growth agenda Aim is to encourage companies to retain and commercialise existing patents and to develop new innovative patented products Also aims to encourage companies to locate high-value jobs in the UK Also applies to SPCs, plant breeders rights and plant variety rights
Patent Box What are the benefits? Allows companies to elect to apply 10% rate of corporation tax Applies from 1 April 2013 10% corporation tax applies to all profits attributable to qualifying IP rights Non-qualifying profits will continue to be taxed at main rate
Patent Box How do you obtain the benefits? In order for a product to qualify it is only necessary for a part of the product to be covered by a granted patent. Requirement to have a granted patent before you can claim the tax break Green channel can assist in obtaining a granted patent at an accelerated rate in order to take advantage of new tax regime. Claimant company must own qualifying IP right or have an exclusive licence in respect of qualifying IP right Claimant company must have made significant contribution to either creation or development of the invention or a product incorporating the invention
Industrial Design Appearance of a product may be important to differentiate your product from your competitors Design rights protect the overall appearance of a product May also protect the design of graphical user interfaces, such as the form of icons on tablet computer screens and other attributes of high-technology products May be used as an alternative or a supplementary right to patents Relatively cheap to obtain Can obtain protection across Europe with one application
Industrial Design - Growth
Summary Increasing trend towards seeking protection for IP. Real and tangible benefits to owing patents and designs A number of incentives have been put in place to encourage companies to obtain patents Thank you!