Do you know 98% of new inventions fail? Yes, it fails, because people do not understand the importance of various components of the intellectual property system and not use it effectively as an integral part of its business strategy. Business demands consistent flow of IP fuel TM in the mainstream and remain ahead of the competition. Business demands consistent quality, products and services to market place so as to develop long-term market viability.
An IP is a method to achieve business objectives. It is a way of communication between business, legal, technical, and marketing departments within an organization. The competitive risks can minimize by linking IP processes and management to the business. Finally, the properly formulated and executed IP strategy would definitely “lead the business.”
Business Strategy
To make revenue out of an idea, one needs to implement it through a well planned strategy and preparing a business plan for the same. As an entrepreneur, you have developed a great business plan after intense business analysis. A business plan is important because it looks ahead and will help you plot a path towards sensible, realistic and achievable goals. However, in current market pressures where consumers have a say about what they need and what they want, one can’t survive without having a projection of future demands and a highly focused R&D strategies. Needless to say that, the R&D strategy as well as its due protection must be an integral part of a business plan. As the experience of many giants, IP had a key role to play in many of their success stories.
It is noteworthy at this point that a patent is territorial in nature and the protection awarded is limited to the jurisdiction of the country in which the patent has been granted. One should consider the potential size and success of an invention while selecting countries overseas, and must remember to include any extra costs, such as translation, attorney fee etc.
IP Strategy
Depending upon which industry you are dealing in, there may be different strategies to choose from. There are companies who believe in defensive filing where they protect whatever IP they have to make sure that they wouldn’t be stopped from using the same in near future. It applied generally to the industry where more than one companies are involved in the same kind of products and have the R&D focused in same line.
On the other hand some companies, who are focused on the development of unique products, go for an aggressive IP strategy so as to keep the competitors at bay. The most cited example for this is Pharmaceuticals.
Even, some companies choose to better keep the IP as a trade secret, in case the technology is too vulnerable to be easily designed around or in extreme case a know technique applied in a different way.
Patent Filing Strategy
It is always advisable that the potential markets should be studied well before investing capital into the patent prosecution. In case the company is pretty confident about the value of technology involved, one can go for an international filing through PCT route. In case the promising countries are just 3-4, then convention route is suggested. It should however, be noted that the patent laws of respective countries should be taken under consideration well in advance so as to avoid any losses.
Many a times there is a provision of “Provisional Application” filing in case some R&D data is awaited, so as to get a priority date. One can always avail that benefit in case there is a competitor involved in similar R&D.
Watch Competitors Technology
Like any other strategy, IP strategies of competitors should also be closely watched for. Analysis of new product developments, technology advancements and future projections do help in re-assessing the business strategies and help in its betterment.
IP portfolio of all competitors should be assessed minutely. This helps avoiding repetitive R&D and unnecessary cost involvement.
Establish In-house IP cell
As an IP strategy is needed for development and company growth, so is an IP Cell dedicated to a company. The IP Professionals help you identify unexplored areas in a technology after a detailed analysis of a particular technology you are interested in. Further, the invention disclosures and protection need not be outsourced. An in-house IP cell saves los of costs involved in professional searches, patentability opinions and consultation and most importantly, it can help in making R&D strategies. A well informed IP Professional may prove to be an asset as s/he can help avoid lots of investment in futile R&D and IP protection strategy by analyzing the technology well in advance.
Making the most of your patent
Getting a patent grant is just the beginning of a story. Executing the patent in right manner may add word “success” to this “story”. One should start licensing/using the protected technology once a priority date is fixed to reap the real fruits. One should not hesitate to go ahead for a proper evaluation of the patent and putting a number to its real cost, as there are chances of a patent being under/over-estimated very often.
Enforcing your rights
It should be noted that protecting your rights is your responsibility. One should be vigilant enough to avoid the Patent Rights being infringed. While doing marketing and promotion of the patented product one should clearly mention the patent/application number for information purpose. In case you come to know about your rights being infringed, you must not delay in reporting the case in a proper manner to avoid further damages.
Furthermore, due diligence should be done while negotiating the terms and conditions of a License agreement. Rights being procured and executed by a licensee should be watched closely. In case of any further developments by licensee on the licensed technology, IP rights should be carefully decided upon.
Infringement
As there are two sides of a table, one may be on either side, same goes in case of Patent Infringement. You may be the Patentee and you might also be an infringer of other’s Patent rights. In any case utmost care should be taken while taking a legal action. In case your rights are being infringed, do a rigorous assessment of the extent of the infringement and take help of a patent professional in the same. A techno-legal analysis by a Patent Agent may prove savior to you. The defense strategies involve proving the patent as an invalid one. Utmost care thus be taken as the infringement suit may result in the Patent revocation.
On the other hand, if you receive a legal notice citing an infringement on your part, do not respond/take action without a professional advice. As discussed above, you can go for patent invalidation, or proving that the infringement was an innocent infringement, and/or seek license from the patent holder. Any of the above courses of action should never be taken without a legal opinion by a Professional.
Technical issues
The technical issues raised during a Patent infringement suit include:
- Patent Revocation
- Claim(s) Invalidation
- Amendment of Patent Claims
- Declaration of Non-infringement
- Infringement
- Licensing
- Cross referencing etc.
Industry with IP
Auto Industry
Biotechnology
Drugs and Pharmaceuticals
Fertilizers
Food Processing
Gems and Jewellery
Heavy Industry
Mines
Oil and Gas
Textiles
Power
Information Technology
