Posts Tagged: "IBM"

This week, patent data analytics firm IFI CLAIMS published its annual report of the top 50 U.S. patent recipients and the global 250 largest patent portfolios for 2022. The list provides a comprehensive snapshot of the patent landscape with insights into growing trends in the industry. One of the most eye-catching details is Samsung taking the first spot for U.S. patent grants in 2022, ending IBM’s 29-year reign at the top. The difference between the two is also surprisingly wide, with a gap of nearly 2,000 patent grants. According to an IFI press release, the number of U.S. patent grants was at its lowest since 2018 despite the number of patent applications reaching a record high. Since the beginning of the COVID-19 pandemic, the number of patent grants has decreased three years in a row.

The U.S. District Court for the Southern District of New York last week dismissed a trade secrets lawsuit against International Business Machines Corp (IBM) and IBM China by Beijing Neu Cloud Oriental System Technology Co. The Chinese firm alleged that IBM stole trade secrets from its joint venture in order to sell IBM products to the Chinese market. IBM China and Beijing Teamsun Technology Co. originally formed Beijing Neu Cloud in 2014 as a joint venture to distribute IBM technology in China. But in a 2021 complaint, Beijing Neu Cloud alleged that IBM induced “Neu Cloud and its majority owner through later-breached contracts to expend resources and provide IBM with access to sensitive, confidential customer information, which IBM then secretly used to create competing ventures in China.”

Investors, both speculative and strategic, are adjusting to the emergence of a bold new category of assets—digital collectibles. NFTs, or Non-Fungible Tokens, are so called because they are irreplaceable or one-of-a-kind artifacts–effectively, digital “limited editions.” NFTs trade on blockchains or distributed ledgers, typically without middlemen or brokers. The primary advantage of most blockchains is transparency and efficiency. Agreements are recorded on an open ledger for all to see. This is especially attractive to frequent traders who require accurate pricing and full disclosure for difficult-to-value assets. Now, two stalwarts in the intellectual property world, IBM and IPwe, believe that NFTs can be used to take patent monetization to new heights.

The U.S. Court of Appeals for the Federal Circuit (CAFC) on March 1 affirmed a district court’s decision that a patent owner’s “scandalous and baseless allegations” against IBM, SAP America, Inc. (“SAP”) and JP Morgan Chase (“Chase”) warranted monetary sanctions. The CAFC decision also noted that patent infringement is not a predicate act for purposes of the Racketeer Influenced and Corrupt Organizations Act (RICO) and that “redundant, immaterial, impertinent or scandalous” matter may be stricken from the record as a lesser, alternate sanction to monetary sanctions.”

On January 12, patent database provider IFI Claims published its Top 50 U.S. patent grant recipient list for 2020, as well as its Global 250 list of top owners of active patent assets worldwide. The Top 50 list includes many of the usual suspects among top patent filing organizations, including IBM, which takes the top spot among all firms receiving U.S. patents for the 28th year in a row. Perhaps the most surprising finding from the study is that patent application filing activity increased slightly during 2020 despite the massive disruptions to daily life caused by the COVID-19 pandemic.

Information technology giant IBM recently announced that it had agreed to join the LOT Network, a nonprofit patent risk management consortium designed to immunize its members from lawsuits filed by patent assertion entities (PAEs). The move brings an additional 80,000 patents and patent application under the aegis of the LOT Network, which currently offers its members immunity to 2.3 million global patent assets should those patents ever be sold to companies that make more than half of their gross revenue from patent assertions. Since the IBM announcement last week, LOT Network has added a few new members, including Japanese carmaker Toyota, which just announced today that it has agreed to join the consortium. Since we last covered LOT Network in August 2018, the organization has more than doubled in size from about 275 companies up to 623 companies. Since it was founded in 2014, LOT Network’s membership has increased by a compound annual growth rate of 115%.

U.S. patent grants grew by 15% from 2018 to 2019, with IBM heading the pack for the 27th consecutive year, according to IFI CLAIMS Patent Services’ 2019 report. There were 333,530 U.S. patents granted last year, compared with 288,832 in 2018, which represented a 3.5% decline from 20I7. IFI said the growth could possibly be attributed to examiner clarity on patent eligibility following the USPTO’s guidance on Alice, as illustrated in IPWatchdog’s article by Kate Gaudry last year.

Last night at the Smithsonian American Art Museum and National Portrait Gallery, the old home of the original Patent and Trademark Office, the Intellectual Property Owners Education Foundation (IPOEF) held its annual Awards Dinner. The IPOEF Awards Dinner is one of the great industry events; an unapologetic celebration of innovation. Each year, this Awards Dinner recognizes the Inventor of the Year, as well as recognizing an IP Champion, Executive of the Year and youth winners of the IP Video Contest. Manny Schecter, Chief Patent Counsel for IBM and president of the IPOEF, began the awards program segment of the evening by saying what is undeniably true: this evening gives us the opportunity to put aside our differences and disagreements and “remember why it is that we do what we do and celebrate innovation.”

This week in Other Barks & Bites: US Inventor will host an inventor rally during AIPLA’s Annual Meeting to protest the PTAB; the Federal Circuit vacates dismissal of infringement case against Sirius XM; the USPTO updates subject matter patent eligibility guidelines, changes TEAS access, and seeks participants for a beta release of the Patent Center; WIPO reports that China received half of all patent application filings in 2018 while the United States saw its first patent filing decline in a decade; Google files a supplemental brief at the Supreme Court in its case against Oracle; Katy Perry files a motion to overturn the “Dark Horse” copyright verdict against her; the FCC approves the merger between mobile wireless firms T-Mobile and Sprint; and U.S. Customs proposes rulemaking to improve its detention of copyright-violating goods imported at the U.S. border.

This week in Other Barks & Bites: Senators Rubio and Cornyn introduce a bill to prevent Huawei from buying and selling U.S. patents; the CASE Act to create a small claims system for copyright claims is voted onto the Senate floor; the USPTO releases an updated trial practice guide for America Invents Act trials at the Patent Trial and Appeal Board; IBM increases its blockchain patent filings, while carbon mitigation patent filings have dropped around the world; Google faces patent lawsuit for “brazen” infringement; a settlement in a trademark case allows historic Yosemite sites to resume use of their names; and Microsoft boost in cloud sales in the latest quarter leads to a big beat on revenue.

This morning’s edition of the Wall Street Journal carried a front-page article describing how the once mighty and untouchable online-advertising operation at Google has begun to struggle thanks to increased competition. With a disappointing revenue report that shows Google ad revenue slowing, and an inability or refusal to answer questions yesterday on the earnings call, Alphabet stock is currently heading for its worst trading day. Google accounts for over 99.5% of Alphabet revenue, so a slowdown in advertising revenue should be and is alarming. Online advertising revenue is where Google, and therefore Alphabet, derives its revenue.

This week in Other Barks & Bites: a trio of U.S. Senators introduce a bill for countries and municipal governments that want to register trademarks; Williams-Sonoma and Amazon go to court in trademark case over rights to resell merchandise; Apple wins a ruling that ends a seven-year long dispute over the iPad trademark; Prenda Law attorney at the center of a copyright settlement mill scheme could receive a prison term of 12.5 years; the Kardashians avoid an adverse ruling in a trademark case over the Khroma cosmetic line; the World Intellectual Property Organization unveils new AI-powered tools for trademark searches; and Poland’s ruling conservative party indicates freedom of speech concerns over the new EU copyright reforms.

This week in Other Barks & Bites: Huawei is in hot water with both the U.S. and UK governments, while Qualcomm has just completed a new patent licensing deal with Huawei; IBM tops a new global list for most artificial intelligence-related patent applications filed; Apple files another appeal of a major patent infringement damages award handed to VirnetX in the Eastern District of Texas; and see how the biggest IP players are doing Wall Street.

This marks the final installment in my four-part interview with IBM’s Vice President and Assistant General Counsel Mark Ringes and Chief Patent Counsel Manny Schecter. I found our conversation fascinating and want to thank them both again for their time and insight. Below, we conclude with an in-depth discussion on how the U.S. patent system is affecting startups and the state of enforceability following Director Iancu’s Section 101 Guidance.