EditorsAbout the SiteComes vs. MicrosoftUsing This Web SiteSite ArchivesCredibility IndexOOXMLOpenDocumentPatentsNovellNews DigestSite NewsRSS

04.13.18

East Asia Should Have Adopted the Patent Strategy of South Asia, Notably India

Posted in Asia, Patents at 6:10 pm by Dr. Roy Schestowitz

A world map

Summary: China seems to be so interested in patent maximalism that it has lost sight of the effect on foreign investment, e.g. US/European/Taiwanese/Japanese/Korean firms operating/manufacturing in mainland China

TONIGHT we focus a little less on the EPO and USPTO. Let’s face it, a lot of software development is nowadays being done in India and virtually all sophisticated hardware is being designed/developed or at least manufactured in eastern Asia, usually in China. India’s de facto ban on software patents in the country is working well for the country, whereas in China, where not much Western software development is being outsourced to, software patents are broadened and more widely accepted, especially since one year ago.

As one can expect, radical sites like IAM try to make China a “role model” while constantly shaming India. IAM wrote about an “Indian licensing transparency debate” a few days ago, citing a few patent parasites like “Nokia and Ericsson” in the headline. To quote:

Asian patent owners including Canon, Huawei and Samsung have joined a group of big European companies in asking the Indian Patent Office to stop collecting certain licensing information. The opinions come amidst a public-interest litigation in which Professor Shamnad Basheer is pressing the country’s government to more strictly enforce the legal requirement that patentees disclose how they are commercially exploiting the Indian patents they hold. Each year, owners of Indian patents must submit Form 27 – which asks them whether or not the invention covered by the patent is being ‘worked’ in India.

The Indian Patent Office has managed to resist pressure from the maximalists; let’s hope it keeps it that way.

“The Indian Patent Office has managed to resist pressure from the maximalists; let’s hope it keeps it that way.”As for China? A lost cause almost. It’s setting itself ablaze with low-quality patents.

“How Lenovo Navigates The Patent Gauntlet” was published a few days ago by Ira Blumberg, a former patent troll lawyer who became disgusted by it (soon to become Lenovo’s head of ‘IP’), as mentioned here before [1, 2, 3]. To quote Blumberg:

Most people have no idea of the patent roadblocks their smartphones have to go through before they ever reach the hands of consumers.

Take my company Lenovo, a $50 billion technology enterprise that is one of the world’s top makers of smartphones, tablets, personal computers, and other smart gadgets. We spend tens of millions of dollars each year to patent our innovations. Yet despite all our diligent patenting efforts, Lenovo is still forced to run a gauntlet of patent claims from others.

[...]

For all these reasons, Lenovo and other major companies in the wireless market have joined Via’s LTE patent pool as both licensors and licensees.

It is an axiom of economics that markets function better when there is adequate information and impartial ground rules for buyers and sellers. If patent owners and product makers wish to avoid a repeat of yesterday’s costly smartphone war in tomorrow’s connected car business, we had better bring a lot more transparency and fairness to the patent business.

Lenovo does not seem to initiate much litigation, at least not outside China. In relative terms, Lenovo is not the same kind of giant some Chinese enterprises are, e.g. Huawei.

“Lenovo does not seem to initiate much litigation, at least not outside China.”Earlier today we learned that in China, based on a Chinese author, “software patents related to input methods (IM)” cause problems. The country foolishly embraced software patents and this leads to legal chaos (good for law firms). The outline says:

This month, the Beijing IP Court handed down six first instance decisions in an ongoing patent battle between internet search companies Sogou and Baidu. The rights concerned are software patents related to input methods (IM) for Chinese characters. The court called three counts of infringement in favour of the plaintiff, Sogou, and another three decisions for the defendant Baidu. The rulings cap the first round in one of the highest profile competitor cases in China’s internet industry. The two-and-a-half year long dispute has been an attention-getter in China, with the total damages requested reportedly setting a new record for patent litigation…

Sogou and Baidu are not small companies and the above looks like nuisance litigation relying on patents that would not be granted (almost) anywhere outside China. So bear in mind what China does to its own operating/producing companies. It exposes them to a lot of litigation.

“…bear in mind what China does to its own operating/producing companies. It exposes them to a lot of litigation. “Meanwhile, a Taiwanese (arguably in China, but it’s a highly political and polarising topic) company everyone knows as “HTC” celebrates this win : “ND of Cal. Dist. Ct. Held Display Patents Asserted Against HTC Were Patent Eligible under 101/Alice…”

The same sort of caselaw that would have rendered all Chinese software patents invalid overnight. HTC was also mentioned this week in relation to Local Intelligence, LLC v HTC America, Inc. et al (US parasite against a Taiwanese company that operates in the US). The court ruled, perhaps incorrectly, that surveillance patents are not invalid under 35 U.S.C. § 101 (even though it seems like software patents). The district courts, however, are known for not being as strict as CAFC. The Docket Report put it concisely as follows:

The court denied defendant’s motion to dismiss on the ground that plaintiff’s patent for displaying location-relevant communications on a phone encompassed unpatentable subject matter because the asserted claims were not directed toward an abstract idea.

Shall HTC appeal, it’s still possible that this lawsuit will go away. But if this was in China, there would be no § 101 equivalent for HTC to rely on. China has become a much riskier market to operate in. HTC can probably take a lot more of its manufacturing back to Taipei (or New Taipei). China has already driven away Korean companies like LG, which like most Taiwanese/Japanese/Korean companies did its manufacturing in mainland China. Has China’s forever-ruling party thought about the full implications of such patent policies? Look no further than the Eastern District of Texas in the US. After TC Heartland it has become a massive liability to have any form of business operations there; having even a small branch there would cause a company to risk many lawsuits in notorious courts. And as we explained 3 days ago, "China became the Eastern District of Texas".

Share this post: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • Digg
  • del.icio.us
  • Reddit
  • co.mments
  • DZone
  • email
  • Google Bookmarks
  • LinkedIn
  • NewsVine
  • Print
  • Technorati
  • TwitThis
  • Facebook

If you liked this post, consider subscribing to the RSS feed or join us now at the IRC channels.

Pages that cross-reference this one

What Else is New


  1. Links 26/3/2019: Python 3.7.3, New Copyright Nightmares

    Links for the day



  2. The Linux Foundation is Not About Linux

    Linux Foundation (LF) objectives/missions do not resemble what the Open Source Development Labs, Inc. (OSDL) was founded to accomplish; this puts at grave threat the very raison d'être of both GNU and Linux



  3. Guest Post: The Linux Foundation Needs to Define “Support”

    Part of an ongoing series of articles we do about the Linux Foundation



  4. Dimitris Xenos on Unconstitutional Supranational Arrangements for Patent Law: Leaving Out the Elected Legislators and the People’s Participatory Rights

    A new paper from a British scholar proves to be timely because of the EPO's violations of the European Patent Convention (EPC) and failed push to force-feed Europe with the unconstitutional Unified Patent Court (UPC)



  5. The Campinos-Battistelli Strategy is Working: Patent Trolls Are Coming to Europe!

    It cannot be any less obvious that today's European Patent Organisation (and Office) works for patent offices and for those who pay these patent offices (law firms) rather than for science, technology and the public (including the European public)



  6. Links 25/3/2019: Linux 5.1 RC2, Nano 4.0, PyPy 7.1

    Links for the day



  7. Links 24/3/2019: Microsoft Does Not Change; Lots of FOSS Leftovers

    Links for the day



  8. Just Published: Irrational Ignorance at the Patent Office

    Iancu and his fellow Trump-appointed "swamp" at the USPTO are urged to consult academics rather than law firms in order to improve patent quality in the United States



  9. Microsoft Paid the Open Source Initiative. Now (a Year Later) Microsoft is in the Board of the Open Source Initiative.

    The progression of Microsoft entryism in FOSS-centric institutions (while buying key "assets" such as GitHub) isn't indicative of FOSS "winning" but of FOSS being infiltrated (to be undermined)



  10. Jim Zemlin's Linux Foundation Still Does Not Care About Linux Desktops

    We are saddened to see that the largest body associated with Linux (the kernel and more) is not really eager to see GNU/Linux success; it's mostly concerned about its bottom line (about $100,000,000 per annum)



  11. Links 23/3/2019: Falkon 3.1.0 and Tails 3.13.1

    Links for the day



  12. The Unified Patent Court is Dead, But Doubts Remain Over the EPO's Appeal Boards' Ability to Rule Independently Against Patents on Nature and Code

    Patents used to cover physical inventions (such as engines); nowadays this just isn't the case anymore and judges who can clarify these questions lack the freedom to think outside the box (and disobey patent maximalists' dogma)



  13. Patent Law Firms Still Desperate to Find New Ways to Resurrect Dead Software Patents in the United States

    There's no rebound and no profound changes that favour software patents; in fact, judging by caselaw, there's nothing even remotely like that



  14. Links 22/3/2019: Libinput 1.13 RC2 and Facebook's Latest Security Scandal

    Links for the day



  15. Why the UK Intellectual Property Office (UK-IPO) Cannot Ignore Judges, Whereas the EPO Can (and Does)

    The European Patent Convention (EPC) ceased to matter, judges' interpretation of it no longer matters either; the EPO exploits this to grant hundreds of thousands of dodgy software patents, then trumpet "growth"



  16. The European Patent Office Needs to Put Lives Before Profits

    Patents that pertain to health have always posed an ethical dilemma; the EPO apparently tackled this dilemma by altogether ignoring the rights and needs of patients (in favour of large corporations that benefit financially from poor people's mortality)



  17. “Criminal Organisation”

    Brazil's ex-President, Temer, is arrested (like other former presidents of Brazil); will the EPO's ex-President Battistelli ever be arrested (now that he lacks diplomatic immunity and hides at CEIPI)?



  18. Links 21/3/2019: Wayland 1.17.0, Samba 4.10.0, OpenShot 2.4.4 and Zorin Beta

    Links for the day



  19. Team UPC (Unitary Patent) is a Headless Chicken

    Team UPC's propaganda about the Unified Patent Court (UPC) has become so ridiculous that the pertinent firms do not wish to be identified



  20. António Campinos Makes Up Claims About Patent Quality, Only to be Rebutted by Examiners, Union (Anyone But the 'Puff Pieces' Industry)

    Battistelli's propagandistic style and self-serving 'studies' carry on; the notion of patent quality has been totally discarded and is nowadays lied about as facts get 'manufactured', then disseminated internally and externally



  21. Links 20/3/2019: Google Announces ‘Stadia’, Tails 3.13

    Links for the day



  22. CEN and CENELEC Agreement With the EPO Shows That It's Definitely the European Commission's 'Department'

    With headlines such as “EPO to collaborate on raising SEP awareness” it is clear to see that the Office lacks impartiality and the European Commission cannot pretend that the EPO is “dafür bin ich nicht zuständig” or “da kenne ich mich nicht aus”



  23. Decisions Made Inside the European Patent Organisation (EPO) Lack Credibility Because Examiners and Judges Lack Independence

    The lawless, merciless, Mafia-like culture left by Battistelli continues to haunt judges and examiners; how can one ever trust the Office (or the Organisation at large) to deliver true justice in adherence or compliance with the EPC?



  24. Team UPC Buries Its Credibility Deeper in the Grave

    The three Frenchmen at the top do not mention the UPC anymore; but those who promote it for a living (because they gambled on leveraging it for litigation galore) aren't giving up and in the process they perpetuate falsehoods



  25. The EPO Has Sadly Taken a Side and It's the Patent Trolls' Side

    Abandoning the whole rationale behind patents, the Office now led for almost a year by António Campinos prioritises neither science nor technology; it's all about granting as many patents (European monopolies) as possible for legal activity (applications, litigation and so on)



  26. Where the USPTO Stands on the Subject of Abstract Software Patents

    Not much is changing as we approach Easter and software patents are still fool's gold in the United States, no matter if they get granted or not



  27. Links 19/3/2019: Jetson/JetBot, Linux 5.0.3, Kodi Foundation Joins The Linux Foundation, and Firefox 66

    Links for the day



  28. Links 18/3/2019: Solus 4, Linux 5.1 RC1, Mesa 18.3.5, OSI Individual Member Election Won by Microsoft

    Links for the day



  29. Microsoft and Its Patent Trolls Continue Their Patent War, Including the War on Linux

    Microsoft is still preying on GNU/Linux using patents, notably software patents; it wants billions of dollars served on a silver platter in spite of claims that it reached a “truce” by joining the Open Invention Network and joining the LOT Network



  30. Director Iancu Generally Viewed as a Lapdog of Patent Trolls

    As Director of the Office, Mr. Iancu, a Trump appointee, not only fails to curb patent trolls; he actively defends them and he lowers barriers in order to better equip them with bogus patents that courts would reject (if the targets of extortion could afford a day in court)


CoPilotCo

RSS 64x64RSS Feed: subscribe to the RSS feed for regular updates

Home iconSite Wiki: You can improve this site by helping the extension of the site's content

Home iconSite Home: Background about the site and some key features in the front page

Chat iconIRC Channel: Come and chat with us in real time

CoPilotCo

Recent Posts