Hey Patent Pals!
For my final blog post, I am going to be talking about what I learned in the class. It is very sad that the course is coming to an end, and I think that I speak on behalf of everyone when I say that we are very appreciative of the time that Professor Lavian put into the course. I cannot emphasize how fun and informative this class was, and I hope that students in the future choose to take the course as well!
With regards to what I learned in the course, there is so much to talk about. From how to file a patent to how to analyze a patent, this course provided a very comprehensive overview of patents, especially with regards to wireless and mobile devices. As someone who worked at Apple last summer, technology, especially with regards to intellectual property, has always interested me very much, and I am proud to say that I am much more knowledgable about them after having been a student in this course. That being said, because there is so much to discuss, I am going to narrow what I learned to three main points:
- What Makes an Invalid Patent
- The Rise of Patent Trolls
- The Role of Intellectual Property as a Business Asset
What Makes an Invalid Patent?
In class, we learned that in order for a patent to be approved, it must satisfy three main criteria - it must be useful, novel, and non-obvious!
Usefulness - In order for a patent to be useful, it must meet a need or solve a problem. In addition, the patent must fill a current or anticipated need. As an example, a useful patent can be "reduced to practice", operated, or enabled (i.e. it can be built and function). Furthermore, a useful patent can be an improvement on an already existing patent- Novelty - Anticipation occurs when a single piece of prior art practices all of the elements of a single claim. That being said, a novel patent has not been published or implemented before. Ways around justifying a seemingly un-novel patent include answering one of the following questions. If the structure is known, are the elements used in a new way? If the function is known, is there a new problem to solve?
- Non-obviousness - Perhaps most importantly, a patent can be rejected if it is obvious, meaning that a Person having Ordinary Skill in the Art (POSITA) defines it to be that way. The patent must not be trivial or insignificant - it must serve a specific function. The example we discussed in class was the bottle cap color example.
The Rise of Patent Trolls
In class, I also learned about the rise of patent trolls. A patent troll can be loosely defined as any entity that earns or plans to earn the majority of its revenue from the licensing or enforcement of its patents. Other factors to consider include the fact that a patent troll is an entity that holds a patent for a product or process but has no intentions of developing or manufacturing it. Furthermore, a patent troll could be a party that purchases a patent from one firm, and then sues another firm for infringing on the patent. At the end of the day, the definition of “patent troll” is highly amorphous, and the types of business models, patent enforcement, and licensing practices that are considered to constitute “trolling,” as opposed to more socially acceptable forms of monetizing patent rights, vary widely in public opinion.
The Role of Intellectual Property as a Strategic Business Asset
Finally, we also learned about how intellectual property could be used as a strategic business asset. Today, intangible assets comprise 80% of the S&P 500's market value, and intellectual property is playing an increasingly larger role within a variety of industries. The mobile patent wars serve as an example of the ever-increasing size of the IP marketplace. Currently, 250,000 patents are going into smartphones, and that number continues to grow. Over the course of the last few years, server multi-billion dollar deals have taken place for IP acquisition (i.e. Google purchases Motorola Mobility. In order for IP to be a strategic business asset, companies must seek to grow them. Strategies for growth include internal use, licensing, selling, joint venture/spin-off, and/or enforcement.
The Future!
I am extremely grateful for everything that I have learned in this course. Like I mentioned, there was too much to cover, so I only discussed my top 3 biggest takeaways from the course. I speak on behalf of everyone in the class when I say that we are excited for how we can apply this knowledge in the future! I hope to one day start my own technology start-up, and knowing how to file a patent (and what makes a patent invalid) is extremely helpful. Furthermore, I now know what to do in order to fight back against a patent troll if I ever have to deal with one. Finally, I understand that a patent can be a strategic business asset, and the key is to find an effective way to monetize it in order to truly be successful.


