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The Surprising Rise of China As IP Powerhouse (techcrunch.com)
hackingbear quotes a report from TechCrunch: China is not only taking the spotlight in strong defense of global markets and free trade, filling a vacuum left by retreating Western capitalist democracies, China is quickly becoming a (if not the) global leader in intellectual property protection and enforcement. And there too, just as Western democracies (especially the United States) have grown increasingly skeptical of the value of intellectual property and have weakened protection and enforcement, China has been steadily advancing its own intellectual property system and the protected assets of its companies and citizens. In addition to filing twice as many patents as the U.S., China is increasingly being selected as a key venue for patent litigation between non-Chinese companies. Why? Litigants feel they are treated fairly. Reports indicated that in 2015, 65 foreign plaintiffs won all of their cases against other foreign companies before Beijing's IP court. And even foreign plaintiffs suing Chinese companies won about 81 percent of their patent cases, roughly the same as domestic Chinese plaintiffs. China's journey from piracy to protection models the journeys of other Western and Asian countries. While building its industrial economies, the U.S. and major European powers violated IP laws with no consideration. As reported by The Guardian, Doron Ben-Atar, a history professor at Fordham University, has noted that "U.S. and every major European state engaged in technology piracy and industrial espionage in the 18th and 19th century." It took Western economies a hundred or more years to change that behavior. China's mind-whipping change is happening over decades, not centuries.
This is quite an interesting development, but it also doesn't surprise me. The patent system in the USA has basically jumped the shark now. You can get patents on almost anything, no matter how obvious or ridiculous it might be, and the more money you can spend on an attorney who has no idea how anything works but can get a list of words past the USPTO, the more absurd the patents can be. The result is that the system is now stuffed full of rubbish patents that are either at risk of invalidation, contradictory, or so specific that they are trivial to walk around (but add to the body of 'prior art' that can be used to invalidate other patents). All you can really do with patents now is drag someone into court and waste a lot of money on litigation. Just look at the Apple/Samsung fiasco to see how this works from a company that put a lot of effort into protecting its big invention.
It seems like the Chinese are just playing the game as well and benefiting from their lower costs to do it much more effectively. Among those I know with engineering companies, almost everyone just patents as a defensive strategy to prevent patent trolls coming along and dragging them into court (the mutually assured destruction nature of aggressive patent litigation doesn't apply to these NPEs). In a way I welcome the break down of the system in this way. Eventually everything will be patented ten times, making it very hard for a troll to gain much traction against legitimate companies trying to do useful things.