Patent Licensing Research Articles

Competition versus cooperation? Which is better in a remanufacturing supply chain considering blockchain

Remanufacturers often sell remanufactured products via their own channels (i.e., competition mode) or manufacturers’ channels with brand advantage (i.e., cooperation mode). Besides, blockchain improves consumers’ perceived quality of remanufactured products by alleviating their concerns. We develop game models by considering the influences of brand advantage and blockchain. Findings show that the brand advantage has critical effects on the manufacturer’s mode selection except for the remanufacturer, but blockchain influences both of their selections. Moreover, the remanufacturer may choose either cooperation or competition when the patent license fee is exogenous, but will only choose cooperation when the patent license fee is endogenous.

Licensing standard-essential patents in the IoT – A value chain perspective on the markets for technology

Innovative industries need efficient markets for technology (MFTs). One determinant of MFT efficiency neglected until now is licensing level—that is, the level in the value chain where patents are licensed. Patents may be licensed upstream, to firms that put the patented knowledge into practice. I refer to this as integrated licensing. Alternatively, patents may be licensed further downstream in the value chain, in particular to makers of final devices. I call this bifurcated licensing since it separates intellectual property rights from the technical knowledge they cover. I study the licensing level of essential patents on communication standards such as LTE and Wi-Fi in relation to the Internet of Things (IoT). The choice of licensing level in this context is currently a hotly debated topic. To show how bifurcated licensing affects MFT efficiency, I present empirical evidence from a qualitative study comprising interviews with 30 individuals from 22 diverse firms, focusing on startups. IoT device makers clearly find the uncertainty regarding infringement, patent validity, and the licensing process hinders efficient licensing, which is compounded by the large number of IoT device makers and, for SMEs and startups, by resource constraints. As a theory contribution, I show that a patent's licensing level need not correspond with the implementation level of the patented knowledge—in other words, licensing may be bifurcated rather than integrated. I develop a model of how licensing level affects MFT efficiency. Implications for practice are that device-level licensing of standard-essential patents (SEPs), if broadly implemented, would have a negative effect on innovation and entrepreneurship in the IoT. Policymakers should ensure that SEP licensing is simplified.

Evolutionary Game Analysis on Impacts of Organization Distance on Open Innovation Mode Selection of High-Tech Industrial Clusters

Based on the evolutionary game theory, this study aimed to explore the decision-making behavior of the enterprise when it adopted the open innovation model from the perspective of organizational distance. The evolutionary game theory is an important method to study the enterprise’ decision-making under bounded rationality. It applies to describe the trend of decision-making based on the enterprises’ open innovation choices in industrial clusters. This paper employs open innovation and institutional theory, utilizes industrial clusters as the research object, and measures the geographical proximity of enterprises in high-tech industrial clusters employing organizational distance. Within the analytical framework of the duopoly model, the impact of organizational distance and patent licensing fees on the innovative performance of a high-tech industrial cluster is studied. The findings indicate that the export-oriented open innovation model is more appropriate for the innovation of high-tech industry clusters. There is a significant relationship between organizational distance and the R&D spillovers of businesses. Increased patent fees can encourage industry clusters to adopt an open innovation model with an outward orientation if they are located in close proximity to each other. Further research analyzed the effect of organizational distance on the selection of an open innovation mode employing an evolutionary game model and indicated that geographical proximity would encourage enterprises to adopt open innovation export strategies. The conclusion of this study has both theoretical and practical ramifications for the independent innovation of high-tech industry clusters.

University–Industry Technology Transfer: Empirical Findings from Chinese Industrial Firms

The knowledge and innovation generated by researchers at universities is transferred to industries through patent licensing, leading to the commercialization of academic output. In order to investigate the development of Chinese university–industry technology transfer and whether this kind of collaboration may affect a firm’s innovation output, we collected approximately 6400 license contracts made between more than 4000 Chinese firms and 300 Chinese universities for the period between 2009 and 2014. This is the first study on Chinese university–industry knowledge transfer using a bipartite social network analysis (SNA) method, which emphasizes centrality estimates. We are able to investigate empirically how patent license transfer behavior may affect each firm’s innovative output by allocating a centrality score to each firm in the university–firm technology transfer network. We elucidate the academic–industry knowledge by visualizing flow patterns for different regions with the SNA tool, Gephi. We find that innovation capabilities, R&D resources, and technology transfer performance all vary across China, and that patent licensing networks present clear small-world phenomena. We also highlight the Bipartite Graph Reinforcement Model (BGRM) and BiRank centrality in the bipartite network. Our empirical results reveal that firms with high BGRM and BiRank centrality scores, long history, and fewer employees have greater innovative output.

Long-Acting Injectable Drugs for HIV-1 Pre-Exposure Prophylaxis: Considerations for Africa.

Sub-Saharan Africa carries the highest burden of HIV-1 and AIDS. About 39% of all new infections in the world in 2020 were in this region. Oral PrEP was found to be very effective in reducing the risk of HIV-1 transmission. However, its effectiveness is highly dependent on users adhering to the drugs. The availability of long-acting injectable PrEP that eliminates the need for a daily pill may increase PrEP uptake and adherence in people who struggle to adhere to oral PrEP. The USA’s FDA approved long-acting cabotegravir (CAB-LA) for PrEP of HIV-1 in December 2021. In this review, we discussed the implementation challenges to the successful roll-out of CAB-LA in Africa and measures to address these implementation challenges. Some health system-level challenges include the cost of the drug, its refrigeration requirement, and the shortage of healthcare providers trained to administer parenteral medicines. In contrast, client challenges include lack of knowledge, accessibility of the drug, side effects, stigma, and lack of family and community support. These challenges can be addressed by several measures emanating from lessons learned from the successful implementation of ART, oral PrEP, and immunization in the continent. Some steps include advocating for waiving of CAB-LA patent licence, conducting demonstration projects in Africa, promoting the use of renewable energy sources such as solar energy, healthcare provider training, task shifting, community engagement, client education, and implementing adherence promotion strategies.

The organizational, economic, and marketing research of pharmacy activities in extemporaneous compounding of drugs

Aim. To conduct a complex organizational, economic, and marketing study of the work of a pharmacy with extemporaneous compounding of drugs.Materials and methods. The research materials were scientific publications in periodicals, reporting data on economic and financial activities of the pharmacy. General scientific and special methods, such as system analysis, historical, analytical, economic, marketing research modeling, were used in the work. The calculation of the cost of “Una” paste, calculation of profitability, determination of the break-even point and modeling of options for the flow of discounted income from the sale of the paste were carried out according to the computer processing described in the guidelines approved by the Ukrainian Center for Scientific Medical Information and Patent Licensing Works of the Ministry of Health of Ukraine.Results. The main financial and economic indicators of the work of the pharmacy with extemporaneous compounding of drugs were analyzed. The low profitability of work of the Department of OTC Drugs and Prescription and Production Department was determined; it was 2.31 and 17.77 %, respectively. It was found that the conditional fixed costs of the Prescription and Production Department amounted to UAH 76420.60 in 2021, and 0.15 UAH of conditional fixed costs was accounted per 1.00 UAH of manufactured products. The method for determining the cost price, price and profitability for extemporaneous products on the example of “Una” paste was developed, and the components of added value were determined. Computermodeling of possible financial flows for the sale of “Una” paste based on three market events (the most likely, optimistic and pessimistic options) was carried out. Changes in the break-even point and the profitability level at different prices were shown. It was determined that the price of “Una” paste for a package of 52 UAH would bring the profitability of the product to the level of 40.04 %, and the share of profit in the added value to 52.43 %.Conclusions. Based on the results of the analysis of the main financial and economic indicators of the work of the pharmacy, it has been found that the profitability indicators of the Department of OTC Drugs and Prescription and Production Department are at low levels. The profitability of certain types of dosage forms and cosmetic products has been calculated. The economic analysis of determining the cost price and the price of products on the example of “Una” paste has been developed. Using mathematical modeling, the break-even point of “Una” paste and financial flows in three variants of possible market events (the most likely, optimistic and pessimistic) have been determined. The price of “Una” paste has been set, at which the optimal level of profitability of 40 % will be achieved.Key words: profitability; economic indicators; assortment of products; extemporaneous compoundingof drugs; pharmacy.

Patent licensing strategy for stakeholders entering the Internet of Things (IoT)

Patent licensing strategy for stakeholders entering the Internet of Things (IoT)

Overcoming inefficiencies in patent licensing: A method to assess patent essentiality for technical standards

The market for patent licenses, despite its paramount importance for technological innovation, has various inefficiencies. A particular problem with widely used technical standards such as LTE and Wi-Fi is the lack of information regarding which patents are “essential” to implement the standard. This information is crucial because it simplifies determining infringement and implies specific “FRAND” licensing rules. While many standards-developing organizations stipulate that such patents are explicitly declared, little is known about which are actually essential. The absence of publicly available information on essentiality incurs significant social costs due to the resulting friction in the licensing market. With the growing use and importance of standards to mobility and energy markets, and to the Internet of Things, these costs are likely to rise. Responding to calls from industry, courts and policymakers, commercial and academic studies have attempted to assess essentiality, but they all have limitations. This paper reports on the technical feasibility of a system of expert assessments for patent essentiality. Based on a factorial design, we conducted a field experiment with 20 patent examiners performing over 100 assessments. Comparing the outcomes to a high-quality reference point shows that sufficiently accurate expert assessments, at a price level that allows large scale testing, are technically feasible, and we identify routes to further improvement.

Entrepreneurial mentoring, financial support and incubator patent licensing: evidence from Chinese incubators

PurposeBased on Chinese incubators as the research sample, this paper aims to examine whether and how incubators' entrepreneurial mentoring and financial support affect incubator patent licensing. Entrepreneurial mentoring functions through the buffering mechanism and financial support functions through the bridging and curating mechanisms.Design/methodology/approachA negative binomial model is used to empirically explain the relation between entrepreneurial mentoring or financial support and incubator patent licensing. In addition, a cross-sectional test is performed to explore whether province-level incubator support policies strengthen the effect of entrepreneurial mentoring and financial support on incubator patent licensing.FindingsThe results reveal that incubators' entrepreneurial mentoring positively affects patent licensing. In contrast, incubators' financial support has an inverted U-shaped relationship with patent licensing. In addition, the two relations are stronger when an incubator locates in a province with more incubator support policies.Originality/valueThe authors contribute to the literature on incubator performance by identifying an important but less discussed factor: entrepreneurial mentoring. Through the connection with mentors, tenants efficiently commercialize the value of their patents, facilitate patent licensing and expand the product market. Furthermore, the inverted U-shaped association between financial support and patent licensing shows that incubation support does not always have a linear effect on incubator patent licensing. Overall, this study provides evidence on the effect of incubator support on incubator patent licensing.

Overview of Intellectual Property Rights (IPRs)

Intellectual Property Right is exclusive right is granted by government of India for protection originality of work of inventor. Simple intellectual property right is intangible creation of human mind. In this intellectual Property right includes in Patent, Trademark, Trades crates, Industrial design, Layout design and Copyright oriented rights. Intellectual right is important for maintaining the quality, safety, efficacy of any Pharmaceutical product and services. It is certification authority and standard authority for certification and identification of product in would wide market. This intellectual property right is the rights given to people over the creation of their minds. They usually give the creator an exclusive right over the use of his/her creations for a certain period of time. Intellectual property refers to creations of the mind, inventions in artistic, literary, scientific and industrial field. It is important application for Protection of invention of inventor and maintaining the quality as well as standard of work of inventor. the present review describes The Basic concept in IPR, Objectives in IPR, Type of IPR (Patents, Trademarks, Copyrights And Related Rights, Geographical Indications, Industrial Designs, Trade Secrets, Layout Design For Integrated Circuits, Protection of New Plant Variety), Duration of Intellectual Property Rights, Concept Related Patents (Types of Patent, Tangible And Intangible Property, Novelty, Non-Obviousness, Utility, Anticipation, Prior Art, Global Perspective Of Patent System, Role Of International Organization, Indian Patent Act 1970, Patentability, Patent Infringement, Commercialization, Patent Licensing), Applications of IPR.

Relicensing scheme selection in closed-loop supply chains with differentiated new and remanufactured products

Secondary markets have gradually been attracted widespread attention from various industries, in which firms recycle or remanufacture used products to obtain the product value remaining after consumers’ consumption. A key issue in the secondary market is remanufacturing patent licensing, which significantly affects the remanufacturing operational efficiency and firms’ profitability. In a closed-loop supply chain (CLSC), certain original equipment manufacturers (OEMs) often authorize the downstream retailer or an independent third-party to collect and remanufacture products by charging a relicensing fee. This study considers two relicensing schemes: the OEM licenses the retailer to remanufacture (Model R), and the OEM licenses the third-party to remanufacture (Model TP). By developing game-theoretical CLSC models that consists of the OEM, retailer, and third-party, we compare equilibrium quantities and prices, profits, consumer surplus, environmental performance, and social welfare under the two relicensing schemes. The results show that the OEM earns a higher profit under the Model TP than that in Model R. In addition, even though Model R yields higher environmental performance, consumers are better off in Model TP. From the supply chain and social planner’s perspectives, when consumers’ willingness-to-pay for the remanufactured product is sufficiently high, Model R outperforms Model TP. Finally, we extend the basic model by allowing the case of additional retailer competition and the coexistence of authorized and unauthorized remanufacturers and prove that the main results are qualitatively robust to these extensions.

A Framework to Manage University–Industry Technology Transfer

This paper focuses on university–industry relationships, and the value in such linkages that motivates firms to choose a particular mode to acquire university-generated research output. We combined insights from literature review and 15 exploratory interviews of multiple stakeholders, and developed a framework to examine university–industry linkages. We grounded our framework on the social exchange theory (SET) and quadruple helix concept. It proposes university climate readiness (e.g. incentive system), firm climate readiness (e.g. managers’ attitude toward academic research), and exchange readiness (e.g. a firm’s absorptive capacity) as antecedents to science-business collaboration, coupled with environmental readiness factors (e.g. unique socio-cultural setting in developing economies) as moderating variables. The framework highlights (1) functional value (i.e. technology pricing, quality, and applicability) and (2) relational value (i.e. trust between academia and industry) in the said relationship. The framework further provides a basis for practitioners to arrive at a suitable university-developed technology transfer mode (e.g. patent licensing, research services, and research partnerships).

The role of the university research laboratory in technology transfer to firms in Brazil: Two case studies in biotechnology

This paper analyzes the role of the university research laboratory in university–industry interactions for technology transfer. Specifically, it examines how the laboratory research infrastructure, team qualification and local incentives influence knowledge and technology transfer in biotechnology. Despite the importance of the research laboratory for an entrepreneurial university and the development of new technologies, few studies have focused on this level of analysis. This research addresses this literature gap with data from two leading laboratories in a highly-ranked Brazilian university. Data were collected through questionnaires on laboratory infrastructure and channels of collaboration with firms, interviews with laboratory leaders and key post-doc fellows, and documentary research. The results show that physical infrastructure, biological samples and qualified teams enabled technology transfer to firms. The main channel of interaction between these laboratories and firms is the generation of spin-offs, which perform the bilateral hybrid function of disseminating university research results and brokering patent licensing to larger firms. Spin-offs also contribute to the absorptive capacity of larger firms and, above all, allow laboratories to disclose results to the community and potential end-users. The findings present a new perspective on spin-off technology transfer in Brazil and open new research avenues for other developing countries.

Patent Licensing, Non‐Practising Entities, and Investment in R&D*

AbstractThis paper studies the impact of Non‐Practising Entities (NPE's) on investment in innovation. The issue is considered in an environment with strategic investment behavior and licensing. Patent strength turns out to be central in determining the impact of an NPE on innovation. A patenting scheme which assigns rights only to incremental innovation improvement (relative to the innovations of competitors) raises aggregate investment relative to a ‘winner‐takes‐all’ scheme. In a ‘winner‐takes‐all’ scheme the most successful/encompassing innovation obtains all the intellectual property rights, and less successful innovators none, and in this environment the presence of an NPE negatively impacts aggregate investment.

China's Challenges in Implementing Compulsory Drug Patent Licenses and its Response in the Context of COVID-19

China's Challenges in Implementing Compulsory Drug Patent Licenses and its Response in the Context of COVID-19

On the Criteria for Identifying Unfairly High Prices for Standard-essential Patent Licensing

It is of practical significance for China that the Anti-monopoly Law of the People’s Republic of China intervenes in the definition of standard-essential patents and the setting of criteria for determining unfairly high prices for patent licensing in order to eliminate the adverse effects of specific license fee collection behaviors on competition. The practical situation of the determination of unfairly high price of standard-essential patent licenses in China reflects many problems of the current determination standards, such as the unclear definition of unfairly high price, the deficiency of comparative prerequisites in the comparable transaction method, and the untenable reasoning in the qualitative analysis method. Therefore, the criteria for determining unfairly high prices of standard-essential patent licenses should be improved. The focus should be on quantifying the price in order to analyze its reasonableness for reference of determining the unfairness of the high price. In the determination, the conduct of the patentee and its effects should be evaluated at the same time in order to ensure the comprehensive and objective results of the determination. In order to deal with the variability of unfairly high prices of standard-essential patent licenses, should give discretionary power to law enforcement officers and improve antitrust enforcement in the field of standard-essential patents.

Geography and the speed of green technology diffusion

ABSTRACT A fast adoption and diffusion of green technologies will be essential for a successful transition of the world’s economies towards more sustainable modes of production and consumption. This article investigates the speed of green technology diffusion in China using a unique data set, which lists geocoded patent licence agreements for green technologies from 2000–2019. We focus on the relation between spatial determinants, including geographic proximity and regional technological specialisation, and the time-to-adoption, thus analysing the factors explaining the time between technology development (patent application) and technology adoption (licencing). The main finding is that geographic proximity to the innovator is associated with an accelerated time-to-adoption. Moreover, we find that the more a region specialises in green technologies, the faster a patent is licenced within that region.

A Closed-Loop Supply Chain Operation Problem under Different Recycling Modes and Patent Licensing Strategies

A closed-loop supply chain operation is an effective way to improve the dual benefits of economy and environment. Inspired by the practice of closed-loop supply chain coordination, this paper attempts to investigate the supply chain operation strategies of different recycling modes and patent licensing strategies and consider the impact of government subsidies. We construct a multi-player game model of an original manufacturer, a remanufacturer, and a retailer under a waste product recycling mode, patent licensing strategy, and government subsidy system. We provide the operation strategies under different strategy combinations in the closed-loop supply chain, and then analyze their differences and the interests of various subjects. We further analyze the impact of government subsidies on the operation strategies of the supply chain. The results illustrate that when the original manufacturer adopts the fixed fee patent licensing strategy, the recycling price of waste products is higher. When the original manufacturer adopts the unit fee patent licensing strategy and the retailer and the remanufacturer participate in the recycling of waste products simultaneously, the original manufacturer will increase the unit patent licensing fee. When the remanufacturer recycles waste products alone, consumers can obtain greater unit income in the waste product recycling market. Different government subsidies have different effects on the wholesale price and the retail price of new products and remanufactured products.

THE MANDATORY LICENSE OF PATENT LAW FOR REASONS OF PUBLIC INTEREST AND THE SARS-CoV-2 PANDEMIC: CONSIDERATIONS ON CONSTITUTED LAW AND LEGE FERENDA

The study analyses, especially in an international context and in the context of the SARS-Cov-2 pandemic, the current relevance of issuing a compulsory patent right license (or patent application) — id est, national patent, European patent or via Patent Treaty Cooperation —, the transfer of technology (know-how) and access to test data, by other companies (public or private), submitted to the competent health authority and regarding vaccines and other inputs necessary to overcome or lessen the effects of this pandemic. The analysis carried out reveals that, by itself, this compulsory license is not the most appropriate legal tool to increase the availability of vaccines and other essential substances and processes to face the aforementioned pandemic at a global level.

The Implementation Status and Improvement Suggestions of Drug Patent Compulsory Licensing in China-Based on the COVID-19 Pandemic

Objective: To refer to the legislative basis and practice of compulsory licensing of drug patents in developed countries, based on the current situation of compulsory licensing of pharmaceutical patents in China, and to improve the research on compulsory licensing of pharmaceutical patents in China. Methods: Understand the development status of drug patent licensing at home and abroad, compare and analyze domestic and foreign countries from the aspects of applicable conditions and practical measures, summarize the existing problems of compulsory licensing of drug patents in China, and put forward targeted improvement suggestions. Results: Compared with foreign legislative foundations and practices, China's compulsory licensing system for drug patents lacks operability, and there are still great deficiencies and room for improvement in terms of applicable conditions and practical operations. Conclusion: First, clarify the reasons for the application in the patent law and regulation system, expand the scope of applicable drugs, cancel the restrictions on the subject of the application, and shorten the judicial review period for the compulsory licensing of drug patents; secondly, improve the quality assurance and relief mechanism of the compulsory licensing drugs to protect the vital interests of patients; and finally, be good at using the deterrent power of the compulsory licensing system for drug patents.