The Importance of IP and Licensing

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1 Katerina Galanopoulou, IP Manager, Microsoft Hellas 2nd InnoFORUM 2010, Athens, Greece Photograph Chris Harvey Agency: Dreamstime.com Innovation, Intellectual Property and Small Business

2 Gordon Brown, UK Prime Minister: [I]t is vital that our portfolio of earlyearly-stage, highhigh-value businesses survive the downturn... so we do not lose the value which has been created in the ideas and intellectual property arising from the sustained investment in research over the past ten years. (26 Feb. 2009) Shri Kamal Nath Nath,, India Minister of Commerce and Industry: New patent law amendments give a fresh impetus to India s trade and growth story. (25 Feb. 2009) Kamil Idris Idris,, Former Director General of WIPO: IP is a power tool for economic development... International acceptance and utilization of IP tools means that there will be more innovation and therefore more creative change and cultural and economic growth. (2002) Photograph Crown Copyright. Getty Images; WIPO 1. Innovation drives growth, and depends on IP.

3 2. Small and medium enterprises depend on IP. IP use by SMEs means increased market share, turnover, employment 89% of ICT SMEs use IPRs 46% use or plan to use copyright Market Share increased Turnover increased N.of employees increased ICT SMEs with IPR ICT SMEs without IPR 32% use or plan to use patents 50% of open-source software developers use patents 10%+ 2.1% 0.0% higher market share, turnover, employee growth for IP owners expected annual growth in IT spending expected annual GDP growth in economy overall IDC study for European Commission, Intellectual Property Rights and Competitiveness: Challenges for ICT-Producing SMEs (2008), _IPR.pdf ;

4 2. Small and medium enterprises depend on IP. SMEs use IP to promote new products and collaborate, less often to block competitors Copyright Trade mark Design right Utility model Exploit new produc ts, services or processes Exchange IPRs Block com petitors Gain access to funding sources 75% 69% of ICT SMEs say IP is important to their business model use patents to realise financial benefit of new products/services 46% use patents to foster collaboration 34% use patents to gain access to funding 32% use patents to block competitors 31% 10% use patents to generate licence revenues use patents to cross-license other patents IDC study for European Commission, Intellectual Property Rights and Competitiveness: Challenges for ICT-Producing SMEs (2008), _IPR.pdf ;

5 3. SMEs are important to Microsoft. Microsoft.EU Growth and SMEs EU SMEs and other business partners: 120bn business (1% of EU s nominal GDP), 40% of employment and 57% of tax revenues of total EU ICT industry. Academic support: 240 European universities and institutes. Bizspark: partnering with Bizspark: governments in 31 European countries to provide substantial support for startstart-up companies. Partnerships for Growth: Growth: SME business, skills, financing, and innovation resources programme EU Grants Advisor Innovation Centres: development assistance, software partnerships softandgrowthsmes.aspx

6 4. SMEs need good IP protection and access. EU China IPR SME Helpdesk iprhelpdesk.eu/emodule/index.html The present rules, as set forth in the European Patent Convention (EPC) and national patent laws, are adequate... Better affordability, consistency, access of IPs is a common plea of SMEs. SME fees concessions or tax credits can be very helpful. Basic informational services about IP for SMEs are vital. Advisory services on particular industries, regions or issues are also important for improving SME access.

7 Photograph Chris Harvey Agency: Dreamstime.com Thank you!

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