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Patent Chief Decries Continued Downward Spiral of Patent Quality

Techdirt is reporting that Jon Dudas, head of the US Patent Office, is lamenting the continuing quality drop in patent submissions. Unfortunately, while this problem is finally getting the attention it deserves, the changes being implemented don't seem to be offering the correct solution. "When you set up a system that rewards people for not actually innovating in the market (but just speculating on paper), then of course, you're going to get more of that activity. When you set up a system that rewards those people to massive levels, well out of proportion with their contribution to any product, then of course you're going to get more of that activity. When you set up a system that gives people a full monopoly right that can be used to set up a toll booth on the natural path of innovation, then of course you're going to get more of that activity. When the cost of getting a patent is so much smaller than the potential payoff of suing others with it, then of course you're going to get more of that activity. The fact that Dudas is just noticing this now, while still pushing for changes that will make the problem worse, is a real problem. Patents were only supposed to be used in special cases. The fact that they've become the norm, rather than the exception, is a problem, and it doesn't seem like anyone is seriously looking into fixing that."

24 of 179 comments (clear)

  1. Also, dudas, 'chinaman' is not the preferred ... by eldavojohn · · Score: 5, Funny

    from the dudas-just-wants-his-rug-back dept. He doesn't want it back, he wants it replaced. He still has the original but it has Asian-American urine all over it which is too bad because that rug really tied the room together.
    --
    My work here is dung.
  2. Jon Dudas? by XxtraLarGe · · Score: 3, Funny

    At first I accidentally read that as Don Judas. Now that would be an interesting name for the head of the USPTO!

    --
    Taking guns away from the 99% gives the 1% 100% of the power.
  3. That is my fault. by khasim · · Score: 3, Funny

    I patented the means of patenting "quality patents".

  4. Re:Also, dudas, 'chinaman' is not the preferred .. by pete-classic · · Score: 3, Funny

    Well, no, not exactly. It's a complicated case, eldavojohn. Lotta ins. Lotta outs. And a lotta strands to keep in my head, man. Lotta strands in old Duder's--

    He wanted compensation for the first rug. He wanted the second one back. The one that held sentimental value for Maude.

    -Peter

  5. Why allow corporations to own patents? by MisterSquirrel · · Score: 5, Interesting

    Not only is innovation stifled, but it serves to further concentrate wealth, and the power over future wealth, into the hands of fewer and bigger corporations. How about we change it so that only an individual can hold the rights to a patent, without allowing the benefits to accrue to the employer of that individual? And that individual must be the actual creator of the patented idea in question?

    1. Re:Why allow corporations to own patents? by Colonel+Korn · · Score: 4, Insightful

      I thought the express purpose of our government was to concentrate wealth into the hands of the fewer and bigger corporations that own it.

      --
      "I zero-index my hamsters" - Willtor (147206)
    2. Re:Why allow corporations to own patents? by Anonymous Coward · · Score: 5, Interesting

      By limiting patents to individuals it doesn't necessarily follow that society benefits. Even with non-transferrable patents individuals could still file specious, absurd and obvious patents on things like software and mathematical formulas under that system.

      It would also simply concentrate patents into the hands of wealthy individuals. As someone who's reasonably well educated and creative I have happened upon at least three or four ideas in my life that are worth a patent. Not silly stuff, I mean solid ideas with practical industrial benefit. Of course I cannot afford the $10,000+ to patent such ideas, and since publishing is no longer a protection against having these ideas misappropriated by persons in the USA I choose to keep them to myself. Those ideas will probably be thought of by someone else soon enough, I am nothing special, but for the time being they stay in my mind and may die with me. I have no desire to make money from them, but I cannot publish if I want the legitimate currency of recognition, nor can I patent them because it's not affordable. Does this sound like a system that is working to the benefit of mankind in promoting the arts and sciences?

      After 10 or 15 years of following this subject I have reached the conclusion that patents are profoundly anti-science, beyond reform and there is no course of action left but their complete abolition. The same is possibly true of intellectual property generally, but there are certain aspects that might still be rescued and turned to the benefit of humanity.

      If things carry on the way the are there will be a de facto abolition of patents anyway. WIPO will cease to be legitimately recognised as it loses credibility backing an unconsciable and broken process. The world will fragment (more than it is already) into camps which do not recognise one anothers intellectual property claims and trade agreements will collapse. We already have the situation where US and European companies cannot trade in each others respective territories. Like the RIAA/MPAA many IP organisations are unwilling to adapt, they are playing for broke and will ultimately lose the farm. Ultimately internet publication with verifiable timestamped accountability brought about by extensive traffic logging will replace all IP claims and the old institutions, but for those of us with ideas who are caught in this transition period it's not a happy state of affairs and I suspect many valuable ideas are simply being lost or held back.

    3. Re:Why allow corporations to own patents? by Anonymous Coward · · Score: 5, Interesting

      I like your idea. It seems as though engineers get zero to little for patenting an idea while their company accrues all of the benefits of the patent. (e.g., here is $200 dollars for the rights to your patent!) However, companies do take on the risk that the patent will be worthless and pay for the patent prosecution costs -- they also provide much of the resources for the engineers to be able to come up with the ideas. Also, patents are a form of property and it would not be good for individual inventors to not be able to sell patents to companies ... who would buy and in most cases enforce them? Perhaps the ultimate (but perhaps very rare) best solution would be a corporate policy that allows their engineers to negotiate a percentage of any future revenue generated with the patent ... although this may lead to issues with determining the value of the patent especially when placed in a massive portfolio (e.g., IBM -- is any single patent of theirs worth anything -- or is it the entire portfolio of patents that is worth something as a whole ...)

      However, in the United States, the inventor must be listed on the patent as the inventor. If they are not, or if someone else is listed on the patent as an inventor (and they are not an inventor) then the patent is invalid.

      [Aside: There is case law on what constitutes an inventor -- the basic concept is someone who actually came up with the patentable portions of the idea ... not someone who simply implemented the idea.]

    4. Re:Why allow corporations to own patents? by sm62704 · · Score: 3, Informative

      patents are profoundly anti-science

      Not anti-science; anti-technology. You can't patent a scientific discovery, And as you say, it shouldn't be that way. If a patent was twenty bucks you would have published.

      --
      mcgrew's razor: Never attribute to stupidity that which can be explained by greedy self-interest
  6. really? what a surprise by thermian · · Score: 5, Insightful

    it doesn't seem like anyone is seriously looking into fixing that

    Well, when the benefits of owning dodgy patents can be into the tens of millions, it would be well worth sinking a few million into the right peoples pockets to make sure no change goes unchallanged.

    All the while keeping any revision of the system on hold long enough for the rest of the world to overtake the US.

    Yeah, there are places in the world where innovate is still a word with a real and exciting meaning, not just a tired and overused technology business buzzword. I do wish this would be realised by the people who are in a position to change this bizarre patent mess.

    --
    A learning experience is one of those things that say, 'You know that thing you just did? Don't do that.' - D. Adams
  7. Isn't this easily solved by wile_e_wonka · · Score: 3, Insightful

    Couldn't this problem be easily solved by telling all the patent examiners

    "Memo: Hey, As of this morning we're going to raise the bar a bit as to what counts as 'novel.' So, clerk x, could you please deny the patent on your desk for Claratin E. Thanx, xoxo, your noble leader."

    1. Re:Isn't this easily solved by jedidiah · · Score: 3, Informative

      I think they just did that and someone successfully sued to prevent it.

      --
      A Pirate and a Puritan look the same on a balance sheet.
  8. increase the fees dramatically by jeske · · Score: 4, Interesting

    Patent fees have simply not kept pace with the value of IP and innovation. If they put them on a pricing schedule that goes up over time, and start them at $300k today, we'll see a dramatic reduction in frivilous patents.

    Even more radical would be to place limits on the collectible licensing fees based on the original filing fee. This would encourage some companies to pay more for their patents, in order to create a greater enforcement cap, but would cause them to do so only because they believed the patents to be defensible.

    1. Re:increase the fees dramatically by SlickNic · · Score: 3, Interesting

      I agree with the above although there should be an exception to allow an individual to gain a patent relatively inexpensively but it can't be used by a company without paying the full patent price and being subject to licensing fees if they want to keep the patent beyond a set number of years (say 3 years). There also needs to be a stipulation requiring someone that has created a patent to have a product within a set amount of time. If someone creates the actual product before the person with the original patent there should be a limit on royalties (say less than 1% of net profit) and they are both given full rights to sell the devices.

      --
      Saying "all faiths are equivalent" is akin to saying "all drugs are the same".
  9. Re:Patent fees? by Corpuscavernosa · · Score: 5, Informative

    Perhaps we could implement a fee structure where small inventors pay less than large corporations that can afford more

    Already done. Usually about half price for the little guys.

    --
    We figured out a long time ago that it's easier to elect seven judges than to elect 132 legislators.
  10. Overlooking Economic barriers by Bombula · · Score: 5, Interesting

    It's fine to condemn frivolous patent trolling, but one important part of the reality is that it is often enormously expensive to implement a genuinely innovative idea. Innovation therefore only goes into production when huge sums of money support the organization behind it, and this is profoundly stifling of individual invention and creativity. Individuals with good ideas often cannot realize any rewards for their ideas except through patenting and litigation, since it is notoriously difficult for a individual inventor or innovator to secure a licensing agreement with a producer ahead of the fact. In absence of that option, post-facto licensing in the form of patent lawsuits is the only alternative. It sucks, but that's the way it is. If large companies were more willing to honestly license good ideas rather than attempt to circvumvent them or win wars of attrition against individuals through protracted litigation, there would be far less need of patent trolling.

    --
    A-Bomb
  11. Re:No Silver Bullet by Corpuscavernosa · · Score: 4, Interesting
    I agree that there is no silver bullet but the quality of examiner IMHO is the biggest hurdle. You can become an examiner directly out of college. You then become overworked, pressured, and required to turn out a caselaod of applications. The USPTO has horrible turnover with the average being approximately 3 years (I have a few friends who became examiners and they said that was the average). 3 years doesn't allow anyone to become a real subject matter expert.

    You've got kids dealing with really high-level stuff in a lot of cases. Optics, physics, biotech. No wonder it's easier for companies to push shitty applications through.

    --
    We figured out a long time ago that it's easier to elect seven judges than to elect 132 legislators.
  12. Screws the little guy by everphilski · · Score: 4, Insightful

    If they put them on a pricing schedule that goes up over time, and start them at $300k today, we'll see a dramatic reduction in frivilous patents.

    This only screws the little guy over and ensures that bigger corporations will keep patenting. 300k to a Microsoft, IBM or pharmaceutical company is small fries. To a small business owner or full-time dreamer like me, it breaks the bank. It's an artificial barrier to entry that does not address the real problems.

    The threshold should not be financial, it should be by virtue of technical merit. Set the bar higher, the terms shorter, etc. Have a maximum duration over which a patent owner must implement said patent, or forfeit it, similar to enforcement of trademarks (see trademark dilution). It's not precisely the same concept, but I think it's a virtuous idea.

  13. The issued patents aren't the whole problem by dtmos · · Score: 3, Interesting

    As we have discussed before, there is an equally significant problem with patent applications that are improperly rejected. Since issued patents enable one to obtain funding to bring new technology to market, this is as least as serious a problem for our society as the more well-known "junk patent" problem.

  14. I have a simple solution by nguy · · Score: 4, Insightful

    Techdirt is reporting that Jon Dudas, head of the US Patent Office, is lamenting the continuing quality drop in patent submissions.

    Here's an idea: reject them. Eventually, people will get the message.

    If you keep accepting them, you'll keep getting more.

  15. Slightly different than that. by khasim · · Score: 4, Insightful

    Actually, they are for "the little guy" and they do create "petty monopolies".

    They were designed to create an environment where an inventor could create something and market it for a set number of years with our government providing protection from competition. In exchange for that, the invention would be free to be copied when the patent expired.

    Now, patents are used to BLOCK development. Because you can get a broad patent on ANYTHING, just about EVERYTHING is being patented.

    So Company-A is working on a new invention. Company-B hears about the work and rushes out to get a patent on a broad "process" that covers (but does not specify) the invention that Company-A is working on.

    Now Company-A owes money to Company-B for an invention that Company-B never produced.

    Fuck that. Just have the patent office require a WORKING, PHYSICAL model of the invention PRIOR to accepting the patent application. That's how is used to be.

    Of course, this would kill all the software "patents" and "practices" patents and so forth. Which I think is a good thing(tm).

  16. Go back to the original idea? by shimage · · Score: 3, Insightful

    Patent comes from the latin patens, meaning "open" (notice our usage of the adverb, "patently": patently absurd, patently obvious). A patent is supposed to be you "opening" your product up so that other people can understand how it works. In return for increasing the greater good (by not making it difficult to reverse engineer) you got a brief monopoly. Using this metric, if something is obvious upon inspection, it doesn't deserve a patent, regardless of how innovative or original it is.

    The key difference is that, today, patents are seen as a carrot to promote innovation. As originally conceived, the system assumed (correctly in my opinion) that innovation will always happen, and that what we really needed was a carrot to promote the "opening" of the technology (in the same sense that opensource is open).

  17. DMCA, brought to you by: Jon Dudas! by Steve1952 · · Score: 4, Interesting
    If you like the DMCA (and all the RIAA abuses) then you will love Jon Dudas. According to his official USPTO biography:

    "He guided enactment of major patent, trademark, and copyright policy, including the 1999 American Inventors Protection Act and the Digital Millennium Copyright Act."

    Most patent attorneys consider him unqualified because he had no previous patent experience prior to becoming head of the USPTO.

  18. Re:Patent fees? by Belial6 · · Score: 3, Interesting

    Actually, they should have the sliding scale based on the number of patents you have. Huge corporations would get increasingly more expensive patents. They could mitigate this cost by releasing older, less valuable patents into the public domain. The small inventor would be able to afford the very low cost initial patents. If any of their patents paid off, they could then afford more. If they don't pay off, they could release them into the public domain, and not have to worry that some corporation will patent it behind them, and cut off their idea from the rest of the world.