Posts in Europe

Red Tape Index (RTI), a project of the regulatory intelligence platform Labrynth, published a patent index today placing the United States Patent and Trademark Office (USPTO) below every peer office measured on the price, speed, and openness of the patent system. The Patent Friction Index assigned the United States a composite score of -42.62, a figure that stayed negative under every alternative scoring rule tested.

Yesterday, the UK Supreme Court issued a ruling in Tesla, Inc. v. InterDigital Patent Holdings, Inc. representing the latest development in UK jurisprudence surrounding fair, reasonable and non-discriminatory (FRAND) obligations on standard-essential patents (SEPs). Applying the reasoning of its landmark SEP decision in Unwired Planet, the UK Supreme Court revived Tesla’s claims that InterDigital’s SEPs to 5G vehicle communications technologies are not being offered on FRAND terms through Avanci’s patent pool and further upheld the jurisdiction of UK courts to decide global FRAND terms.

Alden Abbott recently captured Europe’s digital-policy contradiction with a memorable image: Brussels says it wants technology champions, but when a champion emerges, it makes the winner share the trophy. The European Commission’s July 16 binding specification measures (BSMs) against Google turn that metaphor into an administrative program. One measure requires Google to provide eligible search engines—including AI chatbots with search functions—access to anonymized ranking, query, click, and view data. The other requires “free and effective” interoperability with 11 categories of Android functionality, including device sensors, app context, app and operating-system control, on-device AI models, and background execution. Google must furnish documentation and technical assistance and extend access to covered future functionality when it becomes available to its own services.

Last week, economic consulting firm Cornerstone Research published a report, titled Intellectual Property Litigation: U.S. Trends in Global Perspective, detailing global diversification in patent litigation and indicating that the United States is no longer the dominant forum for patent disputes. This shift away from a U.S.-centric infringement landscape has taken place at the same time that intangible assets now represent the vast majority of corporate value with many intellectual property (IP) owners increasingly choosing trade secret protection for domestic disputes, a trend being driven by advances in artificial intelligence (AI) technology.

On April 30, the Office of the U.S. Trade Representative (USTR) released this year’s Special 301 Report, which surveys the effectiveness of intellectual property (IP) rights and enforcement abroad and identifies foreign nations where IP protections are uncertain or disregarded. The 2026 report marks the first time in 13 years that a Priority Foreign Country (PFC) has been named, with Vietnam being identified as a PFC for persistent failures to address several long-standing IP concerns. The USTR has also added the European Union (EU) to the Special 301 Report’s Watch List, the first time since 2006 that the continental government has been identified for IP-related concerns in addition to individual European nations.

Today, the European Union Intellectual Property Office (EUIPO) published a study exploring challenges faced by EU small- and medium-sized enterprises (SMEs) in obtaining financing by offering intellectual property (IP) as collateral. Set against the backdrop of the EU’s recently launched Savings and Investment Union (SIU) program, the EUIPO’s study identifies several structural barriers preventing SMEs from obtaining IP-backed financing and concludes with a series of policy recommendations designed to address the SME credit gap and unlock tremendous economic value for the wider EU market.

The U.S. Chamber of Commerce’s Global Innovation Policy Center (GIPC) today released its 2026 International IP Index, which flagged concerning trends about the “growing erosion of IP leadership” among the world’s high-performing economies, according to the report’s authors. In particular, the report noted that scores in eight EU Member States have declined this year, although the top ten rankings remained the same from 2025. The United States was again number one, with a relatively stable score of 95.15% compared with last year’s 95.17%.

A British consumers’ organization has withdrawn its competition claim against Qualcomm after it determined the Competition Appeal Tribunal was likely to find Qualcomm was not at fault.    The consumers’ organization, Which?, filed the claim in February 2021 on behalf of around 29 million British consumers, alleging that Qualcomm had “breached UK competition law by taking advantage of its dominance in the patent-licensing and chipset markets.”

The UK Supreme Court today issued a landmark judgment on AI patentability that is likely to impact all software patents going forward. The decision in Emotional Perception v. Comptroller General of Patents, Designs and Trade Marks primarily held that the approach taken in Aerotel Ltd v Telco Holdings Ltd [2006] EWCA Civ 1371; [2007] Bus LR 634; [2007] RPC 7 (Aerotel) should no longer be followed. Under Aerotel, courts and examiners consider a four-step test for assessing whether a claim is excluded from patent eligibility: 1) properly construe the claim, 2) Identify the actual/ alleged contribution, 3) Ask whether the contribution is excluded and 4) check if the contribution is technical.

On Thursday, the European Union Intellectual Property Office (EUIPO) and the European Patent Office (EPO) issued a joint report on IP and innovation in various industrial sectors of the European economy. Identifying IP-driven industries by analyzing registrations for IP rights within the EU, the agencies conclude that such industries contribute nearly half of the entire European gross domestic product (GDP) while also providing a third of the EU’s jobs, which offer workers larger wages on average when compared to total EU employment.

Yesterday, the European Union Intellectual Property Office (EUIPO) and the Organisation for Economic Co-operation and Development (OECD) published the results of a joint study detailing the close connection between illicit trade in counterfeits and labor exploitation. The joint study shows clear, repeated associations between the intensity of counterfeit trade and abusive labor conditions, strongly suggesting that such conditions structurally enable the production and distribution of counterfeits.

Global litigation over standard essential patents (SEPs) is facing new strategies by implementers, mainly related to venue selection. There is an increasing risk of foreign decisions aimed at interfering with decisions on infringement of patents granted and issued in foreign jurisdictions – in clear tension with the territoriality principle. There is also a trend of abuse of process in the selection of venues within specific countries aimed at creating obstacles and delaying remedies and effective protection for national IP rights.

This year saw a world in which many employees had forms of Generative AI (GenAI) at their fingertips, either in the workplace or on their personal devices, and a world in which organizations continued to face unprecedented levels of cyber risk as they continued their digital transformation journeys. While data breach litigation is not new and tales of company confidential information being copied and pasted into open GenAI tools have haunted employers for what feels like years, trade secret issues arising from data breaches and GenAI use were not really trending issues in the courts in 2025. Indeed, perhaps surprisingly, equitable and contractual duties of confidence lay at the heart of the few cases involving trade secrets that were considered by the UK courts in 2025, with directors being under the microscope and the courts again grappling with issues around the identification and particularization of the confidential information at issue.

It’s been a year of significant decisions from the Unified Patent Court (UPC), from both the first instance Local Divisions (LDs) and Central Division (CD) and the Court of Appeal (CoA).  Jurisdiction and, as more appellate decisions become available, the substantive law on patent validity and infringement, have come into focus. Decisions relating to enforcement also provide helpful indications for the future.