Lecture 10-2 National and Regional Issues

Course Description:
IT INNOVATION & ENTERPRENEURSHIP
Course Code : IST 4078
Lecturer : A. Maina
Lecture 10:2 National and regional issues

(Patents)
Lecture 10-2: Patents
Objectives:..
2
IST4078: IT Innovation & Entrepreneurship : Instructor _ Ann.Maina
 In the previous class, we discussed a number of

issues that an entrepreneur ought to analyze, to
learn about markets, economies, technologies and
business conditions.
 One of which was National and regional issues ie
National issues Regional issues
Taxation Licensing
Regulation Securities and
Antitrust legislation incorporation laws
Patent protection Incentives
Government support
Legal structures
▫
3
Intellectual property rights

 In this class, we will be focusing on one of
the important national issue that an
entrepreneur should not ignore; ie PATENTS
 What is a patent?
 A patent is exclusive right granted by a
sovereign authority to a product, process or
service innovation that is novel or confers a
new solution to a technical problem.
4
 Patents are granted to encourage people

and firms to invent as they will be able to
benefit from their intellectual effort and
financial investment.
 A patent provides the inventor exclusive
rights to the patented process, design, or
invention for a certain period in exchange
for a complete disclosure of the invention
 Find out, under which section in the constitution of your country does
intellectual property rights (IPR) fall under.
5
Patents time duration

 Patent protection is granted for a limited period of
20 years, this however depends on the type of
patent (utility, plant & design).
 Patent protection
 means that the invention cannot be commercially made,
used, distributed or sold without the patent owner's
consent.
 However, once a patent expires, the protection
ends, and an invention enters the public domain,
ie , the owner no longer holds exclusive rights to
the invention, which becomes available to
commercial exploitation by others. 6
 All patent owners are obliged, in return

for patent protection, to publicly
disclose information on their invention
in order to enrich the total body of
technical knowledge in the world.
 Such an ever- increasing body of public
knowledge promotes further creativity
and innovation in others.
7
status of a patent
 Patent is considered a form of intellectual

property that gives its owner the legal right
to exclude others from making, using, or
selling an invention for a limited period of
years in exchange for publishing an
enabling public disclosure of the invention
 However, this rights may change depending
on the status of the patent in play.
8
status of a patent cont..

 The status of patent can be
classified in to three categories
a) Abandoned
 To patent you pay some fee and
then pay yearly fee. If you stop

paying the yearly fee the patent
status becomes abandoned and
patents is no longer protected
9
b) Active
 patent that is protected and can only be used only
with authorization by patent owner usually at a fee.

 A patent owner has the right to decide who may -
or may not - use the patented invention for the

period in which the invention is protected.
 The patent owner may give permission to, or
license, other parties to use the invention on

mutually agreed terms.
 The owner may also sell the right to the invention
to someone else, who will then become the new

owner of the patent. 10
c) Expired
 After 20 years a patent expires
and invention is no longer

protected and is available to be
used for free. Some developing
countries search for expired and
abandoned patents and use them
in technology development. 11
What can be patented?

 Patentable subject matter can be broadly classified
into four broad categories:
 1. Process
 2. Machine
 3. Manufacture
 4. Composition of Matter
Conditions for patentability
1.Must be patentable matter
2.Must have Industrial applicability
3.Novel
4.Must have an inventive step 12
Types of patents
Fig.ure Reference (unimarks, legal solutions,2020)

13
Types of patents
The patent law provides three categories of
patents:
 1.Utility Patents–A utility patent is granted for a
new product process, machine method of

manufacturing and composition of matter.
 This category excludes most botanical
creations related to plant and agricultural use.

 A utility patent can also be obtained for new and
useful improvements to existing processes,
compositions of matter, machines, and
manufactures. 14
Utility Patents cont..

 Processes refer to any acts or methods of doing
something, usually involving industrial or technical
processes. A process is a sequences of steps to do
something.
 Compositions of matter are basically chemical
compositions, which can include a mixture of ingredients
or new chemical compounds.
 Machines include things that are generally defined as a
machine, such as a computer, while
 manufactures are defined as goods that are
manufactured or made.
15
Design Patents
 2.Design Patents –deal with appearance or aesthetics
of an object, and not the functionality.
 A design is defined as the "surface ornamentation" of
an object, which can include the shape or
configuration of an object.
 In order to obtain this type of patent protection, the
design must be inseparable from the object.
 While the object and its design must be inseparable, a
design patent with only protect the object's appearance.
 In order to protect the functional or structural features
of an object, a person must also file for a utility
patent. 16
Design Patents cont..
 For IT Design make include things like

network topology and architecture,
software computational components
and their interaction
 Customers consider design to be
important it determines appearance

and how well solution developed
17
Plant Patents
 3.Plant Patents–obtained to protect new and
distinctive plants. Any new variety of plant that has
been asexually reproduced can be granted a plant
patent.
 The new plant must not exist in nature or in an uncultivated state.
Therefore new plants, mutants, hybrids, and seedlings may be patented
provided the inventor can satisfy the Patent Office that the new plant did
not evolve from nature.
 A few requirements to obtain this type of patent are that the plant is not
a tuber propagated plant (i.e. an Irish potato), the plant is not found in an
uncultivated state, and the plant can be asexually reproduced.
 Asexual reproduction means that instead of being reproduced with seed,
the plant is reproduced by grafting or cutting the plant. Plant patents
require asexual reproduction because it's proof that the patent applicant
can reproduce the plant.
18
Obtaining Patent Protection

 Regardless of the type of patent you are seeking,
patent protection can only be obtained by filing an
application with the relevant Patent and Trademark
Office e.g. United States Patent and Trademark Office (USPTO).
 There are both provisional and non-provisional
patent applications available to patent-seekers.
 A provisional patent application can be filed to
give the applicant more time to figure out the
specifics of the invention or discovery while
protecting the invention or discovery from
being patented by someone else. 19
 A person who files a provisional patent application has

one year from the date of filing to file a corresponding
non-provisional application.
 The non-provisional patent application begins the
official examination process from the time of filing to
determine if an invention or discovery is eligible to
receive patent protection.
 Although the information that must be included in the patent application will depend
on the type of patent that is being sought, non-provisional patent applications will
typically include a description and claim of the invention or discovery, drawings, an
oath or declaration, and fees.
 As per the Patent Cooperation Treaty (PCT), a person can also file an international
patent application.
20
Elements of a patents
1.Abstract
short technical description of the patent
2.Specification
details a patent and how it differs from other inventions
3.Description
provides complete invention component and how it works
4.Background
describes patent prior art. Prior art are existing related technologies
and is important because it helps establish how patent is new and
differs from other inventions
5.Diagrams -may include diagrams showing how invention works
6.Claims -gives scope and boundaries of an inventions
See example of US patent template forms under;
 https://www.uslegalforms.com/findlaw/patents/
 https://www.uslegalforms.com/prodpages/US-01542BG.htm%7Cfdlaw 21
Patents Search engines

 Google patent –searches for us patent office,
European patent office and WIPO.
 worldwide.espacenet.com–produced by European
patent office
 ww.pat2pdf.org –a free patent tool
 Patentscope WIPO search engine that provides
access to international patents
 Freepatentsonline
 About.com
 Registry
 inventnowIST4078: IT Innovation & Entrepreneurship : Instructor _ Ann.Maina 22
Google patent engines

 Searches for us patent and trade office
(USPTO), European patent office(EPO) and
World intellectual property organization
(WIPO) .
 The patents are from 1970S

 USPTO used to provide single patents on
request but today they are provided in bulk
allowing organizations to carry out mass
analysis of patents 23
Patents Search engines
 Allow fielded search based on

structure of patents
You can search by :
1.Owner
2.Abstract
3.Status: abandoned , active
4.And other fields of patents
24
Searching patents
 You search for patents the same way you search
for document on web
 You can search for category of patents
 1.Information technology patents
 2.Web site patents
 Or you can type more specific information about
patents
 1.Patent title
 2.Parent grant or application number
Exercise: Try searching for IT patents online and
share among your group members 25
Patents searches
1.Whole text search

2.Cited patents , when a patent is
cited in another patent it means
knowledge of cited patent has been
found useful in new patent
3.Patent classes –US patent
database number of classes over
400. 26
Example of Patents
 METHOD AND SYSTEM FOR CONSTRUCTING
SOFTWARE COMPONENTS AND SYSTEMS AS
ASSEMBLES OF INDEPENDENT PARTS –patent no-
US6226692B1
 Abstract -system and a method for designing and
constructing software components and systems by
assembling them from independent parts which is
compatible with and extends existing object
models.
 Diagram showing how system is develop.
27
 Pub. No.: US6226692B1

 Claims
generating enterprise strategy,

comprising:
1.an object database management system;
2.a distributed computer network;
3.intelligent mobile software agents (IMSAs);
28
US6226692B1 -BACKGROUND
 Enterprise resource planning systems.
 These IT systems provide middleware solutions to link legacy
(client-server) systems and point to point (Web service)
systems.
 Examples IBM's Websphere, Microsoft's .NET, SAP's
NetWeaverand Oracle's Fusion as well as Workday's service
oriented architecture (SOA), Cape Clear' s enterprise service
bus (ESB) solutions and Sybase's modular object relational
database.
 However, these are generally old applications wrapped in
middleware, which perpetuate the legacy system processes
and disadvantages. For the most part, the legacy ERP
systems use a relational database model.
29
Exercise 1
1.Search for Information technology

patents with Google patents (at least
three patents each)
2.Describe the patent in one sentence if
you understand it
3.Share among your group members
30
Patent classification schemes

 International patent classification (IPC) most
widely used classification scheme for patents
 •Human necessities
 •Performing operation –transport
 •Chemistry –metallurgy
 •Textile: paper
 •Mechanical engineering:; lighting, heating
 •Civil engineering building accessories
 •Physics
 •Electricity
 •instrumentation
31
Kenya intellectual property institute (KIPI)
 Organization responsible for patenting in Kenya

 Vision-
 To be a leader in the promotion of Industrial
Property for wealth creation.
 Mission –
 To grant Industrial Property Rights and promote
innovation for social and economic development.
32
Functions of KIPI according to their website
 1. To administer Industrial Property Rights;

 2. Provision of Technological Information to
the public;
 3. Promoting Inventiveness in Kenya and
 4. Provision of Training on Industrial Property.
 Firms and individual from other countries can

also apply and get patents by KIPI
 If you want to see Kenya patents go KIPI
website and down the IP journal and peruse
through them
33
Benefits of patenting
 1.Stop others using your invention
 2.Get protection for specified amount of time like 20 years
 3.You can use patent to develop products
 4.You can license patent at a fee
 5.You can raise prices since competitors are blocked
 6.The patent can be a barrier for competitor to enter
industry
 7. Knowledge about invention becomes available to
society and can be used to create other inventions.
 8.You company will be favored by investors as inventing is
an indication organization has innovation capabilities
 9.Patents for invention when used to create substitute
products will help organization enter new market. 34
Disadvantages of patents
 1. Makes knowledge public which might
have been better protected by other
means like trade secrets
 2.Cost of patent -whether patent will be
successful or not. The majority of patents

are never used. (when inventing make
sure its something that can be
commercialized easily)
 3.Paying annual fee
 4.Expensive to invent and legal costs 35

Disadvantages of patents cont..

 5.Competitors may use details in patents that are not
protected for their own benefit such as design
 6.Competitors may invent variants of patent that
make it difficult to improve you invention through
incremental innovations
 7.A very comprehensive understanding is required for
areas with many patents to make sure that you
patent doesn’t infringe on existing patents
 8.Its very expensive to protect patent through
litigation
 9.Patents are territorial so the patent you obtain may
not apply to other countries. It may be necessary to
get patents in those countries
36
Patentable and non patentable matter
 Unpatentable
 Scientific Theory, mathematical method or
discovery –you use telescope and discover a planet
 A Rule or scheme for performing mental act,
playing a game or rule of doing business
 The way information is presented
•What cannot be patented may be protected by other
intellectual property right protection mechanisms
37
Edison's patents
 1.Edison had alarge number of

patents. Some sources say he had
largest number of patents at his
time
 2.The list of patents can be seen in
Wikipedia -Edison patents
38
Questions for Deciding whether to patent/invent
 1.You capabilities and resources

 2.Possible benefits if invention succeed. Possible
loss if competitor creates similar invention.
 3.The likely hood of succeeding in innovation
 4.Risks associated with your invention
 5.Value of innovation as well cost of patenting
and maintaining the patent compared with
alternative investments you would make (cost
benefit analysis of innovation as compared to
alternative ways of generating income.
39
Trade secrets
 Trade secret protect something by keeping it
secret.
 A secret (method, device or formula) that
gives a manufacturer an advantage over the
competition.
40
Differences between patents and copyright
 1.Copyright protection cheaper than

patents
 2.Copy protect expression of idea patent
protects technical implementation of idea

 3.Copyright cheaper and inexpensive to
create than patents

 4.patent protect invention but copyright
may protect common ideas expressed in a

unique way.
41
Sub Saharan capability building constraints

 •Lack of tradition of analyzing patent and patent histories of
basic technologies (Khalil-Timamy)
 •If you analyze patents you are able to get innovation that
are becoming mainstream so that you can either adopt or
invest in research and development in those areas
 –You are able to know patents that you can incorporate in
your IT innovations after getting licenses of if they are
abandoned or expired
 –You able to plot technology trends that you can based your
innovations (networker role)
 •Understanding patent and patent systems enhances
innovation and reduces costs of innovation. you should try to
innovate substitute products when its advantageous to get
licenses of existing innovation 42
 Patchy databases on national technology

profiles and domestically available
competencies. (Khalil-Timamy)
 The world wide web is a distributed
searchable database and you know how

it has been useful to the world.
Searching patent databases and
analyzing patents has similar benefits to
innovators
43
 No short courses on patent use and

sharing of success stories.
 For instance in Kenya its not possible to
who is Kenyan with most patents and
one who has utilized most patents to
innovate. This can inspire young people
and also encourage would other
potential local innovators as well
investors 44
LAB Exercise 2 (discuss among groups)

1.Discuss how sub-Saharan companies has created and
exploited patents
2.Visit KIPI and ARIPO websites
 List contents of websites and why you think they are important
 How do the websites help achieve the vision, mission and objects of
these organizations
 Visit ARIPO and read about the objectives of ARIPO. How can these
ideas about countries collaborating be adapted to be used for groups of
innovators collaborating.
 2.Search Africa patent success stories. If found write
one sentence about each
 3.Search Africans with large number of patents –if
found write one sentence for any five 45
Next Lesson…
GROUP PRESENTATIONS
.
 END
ANY QUESTIONS
OR COMMENTS?
47

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Course Description:

IT INNOVATION & ENTERPRENEURSHIP

Course Code : IST 4078

Lecture 10:2 National and regional issues

 In the previous class, we discussed a number of

Intellectual property rights

 Patents are granted to encourage people

Patents time duration

 All patent owners are obliged, in return

 Patent is considered a form of intellectual

status of a patent cont..

 To patent you pay some fee and

then pay yearly fee. If you stop

with authorization by patent owner usually at a fee.

or may not - use the patented invention for the

license, other parties to use the invention on

to someone else, who will then become the new

and invention is no longer

What can be patented?

Fig.ure Reference (unimarks, legal solutions,2020)

new product process, machine method of

creations related to plant and agricultural use.

Utility Patents cont..

Design Patents cont..

 For IT Design make include things like

important it determines appearance

Obtaining Patent Protection

 A person who files a provisional patent application has

Patents Search engines

Google patent engines

 The patents are from 1970S

Patents Search engines

 Allow fielded search based on

1.Whole text search

 Pub. No.: US6226692B1

generating enterprise strategy,

1.Search for Information technology

Patent classification schemes

Kenya intellectual property institute (KIPI)

 Organization responsible for patenting in Kenya

Functions of KIPI according to their website

 1. To administer Industrial Property Rights;

 4. Provision of Training on Industrial Property.

 Firms and individual from other countries can

successful or not. The majority of patents

 4.Expensive to invent and legal costs 35

Disadvantages of patents cont..

Patentable and non patentable matter

 1.Edison had alarge number of

Wikipedia -Edison patents

Questions for Deciding whether to patent/invent

 1.You capabilities and resources

Differences between patents and copyright

 1.Copyright protection cheaper than

protects technical implementation of idea

create than patents

may protect common ideas expressed in a

Sub Saharan capability building constraints

Sub Saharan capability building constraints

 Patchy databases on national technology

searchable database and you know how

Sub Saharan capability building constraints

 No short courses on patent use and

LAB Exercise 2 (discuss among groups)