IP is a category of property an inventor or an entity can own that is not a physical thing. Owning an IP creates a limited monopoly in the protected property which paralyses others from creating, using or producing the same thing under their own name.
IP is a general term for intangible assets owned and legally protected by a company/individual from outside use, plagiarism or application without legal consent/financial recompense. Arising from its ability to provide a company/individual with competitive advantages, IP defines itself as an important asset that aims to provide the same protective rights as to physical property. Gaining these rights is vital as it prevents replication by competitors and potential competitors – providing a significant threat to the inventors’ business.
A recent outbreak of Initial Public offerings (IPOs), high profile mergers and acquisitions has impelled IP into an increasingly critical position in global economies. However, most of the organizations often fail to understand the value of and the risks to their IP, even though their IP accounts for a higher share of the value of company.
Example: Nokia has been a leading innovator in telecommunications for more than thirty years and it continues to grow owing to the management of the broadest and strongest patent portfolios while simultaneously investing in the development of next generation technologies. Similarly, Kodak has accumulated more than 22,000 patents and other IP covering more than 100 countries.
IP rights are like any other Property Rights. They allow the creators, or owners to benefit from their own work or investment in a creation allowing to create a monopoly. Just like in case of Physical Property you can control who is allowed to do what with it, within limits, same is the case for IP as well. Here the focus is not on the physical aspect, but the thought and ideology. For instance, the idea, working principle and design of a product one invented.
A well organized and efficient IP structure can help the economies globally, and the protection of innovation acts as a catalyst for economic development and growth. Innovation is important as without it, more of the same things will be produced and sold up to a point where all the resources for Economic Growth will be completely exhausted. Since innovation is expensive, risky, and prone to imitation, then the inventor may decide not to innovate, hence the need and significance of IP.
Proper articulate IP atmosphere helps strike a balance between the interest of innovators and the public interest, providing an environment in which creativity and innovation can flourish, wherein the people are highly motivated to come up with ideas and inventions as they are aware that they are backed up by proper incentives and protection of their individual ideas.
The government tends to recognize the innovators’ rights for a specific period of time and after that, the IP is available to everybody, universally and in return, the creator shall promote progress and innovations by creating.
Importance of IP and its benefits to Inventors
IP is a matter of growing global importance. Policymakers have long recognized the importance and need for IP rights to protect the inventions and creative works of individuals and firms. In today’s competitive environment, innovation is considered to be the mainstay for every business that leads to the development of IP. When individuals and firms identify, develop and leverage innovations, competitive advantage is provided which promotes the long-term success of the company. IP is not just limited to technological companies per say, but it is valuable to every business and individual who invests time and money in research and development for creating aboriginal products and services. It supports the society to come up with new ideas and promotes innovation for the larger upliftment of our society. With the growth of business revenues, IP strategy can include protecting the unique aspects and fostering innovations to give a head-start to explore new geographies. The patent portfolio of an organization is vital for its future success and it must also realize the maximum potential of its existing portfolio through effective portfolio management.
To remain ahead of competition, entrepreneurs/innovators should continue to evolve their products and maintain a consistent quality of products and services. Therefore, an effective IP system is the primary key to manage the assets of their business. Without the safeguarding of ideas, innovators will not be able to reap benefits to the fullest of their inventions and this might even demoralize them.
Common Types of IP are:
- Patents
- Trademarks
- Copyrights
- Trade Secrets
- Geographical Indications
If you possess an IP, then you can control, within limits, what people do with your content, idea or logo.
PATENTS
A patent is the right to control the manufacture, sale, import, and use of an invention. Granting exclusive rights to the inventor is intended to encourage the investment of resources and time into the development of new useful ideas and discoveries. The protection against public use is just provided for a limited period of time post which, the patented innovation enters the public domain. A patent provides patent owners with protection for their inventions. Protection is granted for a limited period, generally 20 years.
The four major requirements for patentability are:
| Patentable subject matter- The subject matter must be patentable example a software, business model, process, a new product, device or pharmaceutical drugs. Artistic creations, mathematical algorithms, principles or theories are not patentable. | |
| Utility- The invention must have a practical “utility”, or in other words, it must be useful for the general public and should be susceptible to industrial application. | |
| Novelty- The product, service or idea must be ‘new’. One cannot patent something that is already publicly known. | |
| Enablement- the disclosure must explain enough about the invention so that someone skilled in the art can both make and use the invention. |
TRADEMARKS
Having the longest term of protection of all IPs, a trademark can be applied to any word, name, symbol, or device, or any combination, used to identify and distinguish the goods of one manufacturer or seller from others and provides the right to use a mark which is associated with a product or service.
Closely related to trademarks are service marks, collective marks and certification marks. Like a trademark identifies the source of a product, a service mark identifies the source of a service. A collective mark is a trademark or service mark that is used by a group or organization. A certification mark is a mark used by someone other than the mark's owner to certify quality, accuracy or other characteristics of the user's goods or services.
For instance, the McDonald’s “Golden Arches” are probably one of the strongest trademarks in the world, because it is so recognizable. Two basic requirements must be met for a mark to be eligible for trademark protection: it must be in use in commerce and it must be distinctive. If people use your mark for same or similar products, you can stop them.
Adidas has sued almost everyone who attempts to infringe on the logo, including companies that use two, four, and even up to seven stripes in designs.
Nike is the name of 2 companies which have their own unique trademarks.
-Nike Hydraulics, founded in 1993 includes manufacturing industrial trucks and tractors.
-Nike, Inc. is an American multinational corporation that is engaged in the design, development, manufacturing, and worldwide marketing and sales of footwear, equipment, accessories, & services.
COPYRIGHTS
Copyrights are a form of protection granted to the authors of original works of. A copyright is intended to protect a tangible form of expression rather than the idea or subject matter altogether. An ‘idea’ cannot be copyrighted. Copyright includes novels, poetry, movies, paintings, structures, plays, articles, songs or other such forms of artwork are examples of similar forms of artwork.
For example, the code used to create computer programs may be registered as a "literary work." Maps and architectural plans may be registered as "pictorial, graphic and sculptural works." A dance could be registered as both a choreographic work (if written down or otherwise recorded) and as an audiovisual work (if filmed).
TRADE SECRETS
Any idea or fact that is not disclosed by a business comprises the fourth type of IP: trade secrets. A trade secret is a unique form of IP and does not have a defined time horizon. An issue could simply remain a secret particularly while filing for a patent, or it could remain closely guarded for the lifetime of the firm. For instance, Coca-Cola’s recipe, Dominos’ pizza. A trade secret, by definition, is proprietary or business-related information that a firm or any individual uses or to which they possess exclusive rights.
Examples of trade secrets include above mentioned recipes, business methods, strategies, tactics, or any other piece of information that gives the business a competitive advantage.
GEOGRAPHICAL INDICATIONS
A Geographical Indication is an indicator used on products that have a specific geographical origin and possess qualities that belong to that region. Geographical Indication is primarily granted to agricultural, manufactured, natural, handicraft originating from a specific geographical territory.
Example: The Government of Andhra Pradesh earned another GI tag in the year 2017 in respect of Pochampally Ikat. Pochampally Ikat derives its name from the area in where it is woven – Pochampally in Telangana. It is visually identified by the çhowka design which is a diamond with square, having different edges. It is made of natural materials such as cotton or silk or a combination of both, having designs that are expressive of the diffused diamond or chowka design. This work has a particularly good demand in both, domestic as well as international market owing to its remarkable aesthetic look and primordial simplicity.
Whether it's the trade secrets of a hedge fund's algorithms, the copyrights or patents underlying the smart phone, the trademarks that protect well-known brands, IP molds the modern economy; the knowledge of IP will assist in equipping those individuals and companies looking to compete and survive into today's technology-driven economy.
From early stage ideation to IP commercialization, IPCurate helps their clients by providing guidance at every step in their entrepreneurial journey. IPCurate provides complete support in ideation, innovation and entrepreneurship. The services of IPCurate include IP filings for all the above mentioned types of IP, namely Patents, Trademarks, Copyrights and Trade Secrets. IPCurate not only provides end-to-end services in prosecution services of IP, but also assists University in conducting integrated engagement programs of innovation and IP. Granting rights to one’s IP accelerates the transformation of ideas into commercial products and strengthens the idea of promoting innovation.