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[News] Patents Decline Sharply, Damage of Patents to Works Explained

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Applications on the slide at the EPO

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| A little snippet for you. I have just heard from Ciaran McGinley, the 
| Controller of the European Patent Office, that the number of applications it 
| has received so far this year is down 8%. [...] Internationally, PCT filings 
| are down by 5%. Ouch!   
`----

http://www.iam-magazine.com/blog/detail.aspx?g=e54cc8a8-23f7-4112-8ffd-b13ed7669302

Patents and the Regress of Useful Arts

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| Patent systems are often justified by an assumption that innovation will be 
| spurred by the prospect of patent protection, leading to the accrual of 
| greater societal benefits than would be possible under non-patent systems. 
| However, little empirical evidence exists to support this assumption. One way 
| to test the hypothesis that a patent system promotes innovation is to 
| simulate the behavior of inventors and competitors experimentally under 
| conditions approximating patent and non-patent systems. Employing a 
| multi-user interactive simulation of patent and non-patent (commons and open 
| source) systems (âPatentSimâ), this study compares rates of innovation, 
| productivity, and societal utility. PatentSim uses an abstracted and 
| cumulative model of the invention process, a database of potential 
| innovations, an interactive interface that allows users to invent, patent, or 
| open source these innovations, and a network over which users may interact 
| with one another to license, assign, buy, infringe, and enforce patents. Data 
| generated thus far using PatentSim suggest that a system combining patent and 
| open source protection for inventions (that is, similar to modern patent 
| systems) generates significantly lower rates of innovation (p<0.05), 
| productivity (p<0.001), and societal utility (p<0.002) than does a commons 
| system. These data also indicate that there is no statistical difference in 
| innovation, productivity, or societal utility between a pure patent system 
| and a system combining patent and open source protection. The results of this 
| study are inconsistent with the orthodox justification for patent systems. 
| However, they do accord well with evidence from the increasingly important 
| field of user and open innovation. Simulation games of the patent system 
| could even provide a more effective means of fulfilling the Constitutional 
| mandate âto promote the Progress of . . . useful Artsâ than does the orthodox 
| assumption that technological innovation can be encouraged through the 
| prospect of patent protection.                           
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http://www.stlr.org/volumes/volume-x-2008-2009/torrance/


Recent:

Economic Downturn => Downturn in Patent Filings

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| The first chart below shows a time series for the percentage of continuation
| applications and RCE filings as compared to the total UPR filings (Utility,
| Plant, and Re-Issue applications). Remember here, that for most PTO
| statistics, RCE filings are counted as a utility application. According to
| this data, 27.6% of all of the UPR filings thus far in FY09 are RCEs -
| continuing a steady trend of of rising RCE filings. (Note - the RCE data also
| includes historical data for CPA and R129 filings).
|
| [...]
|
| In the title of this post, I link the economic downturn with the downturn in
| patent filings. Some may also link the drop in patent filings with other
| recent events that may drop the allure of a patent application - namely, KSR
| v. Teleflex; eBay v. MercExchange; Bilski; Seagate; the prospect of further
| patent reform; the Second Pair of Eyes review; 750,000 backlog of unexamined
| patents; and the 26 month average pendency before the first OA.
`----

http://www.patentlyo.com/patent/2009/04/economic-downturn-downturn-in-patent-filings.html
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