#3: Patent Wars

All of this discussion about patent wars in class makes me wonder whether or not they are good or bad for our society. There are obviously two sides to the story, and after reading a few articles on the issue I thought it would be interesting to share my findings.

I read one article about the history of patent wars which was really fascinating. Basically, few people realize patent litigation rates were the same or higher in the early nineteenth century than they are today. Zorina Khan’s research shows that “the patent litigation rate today is around 1.5% [while] the average patent litigation rate between 1790 and 1860 was 1.65%. Moreover, “between 1840 and 1849, for instance, patent litigation rates were 3.6% — more than twice the patent litigation rate today.” The Sewing Machine War of the 1850s had the same issues we see in the smart phone war: “numerous overlapping patents covering single products; high-profile lawsuits; expensive litigation; lawsuits in multiple venues; patent-licensing entities obtaining injunctions against manufacturers and entering into licensing agreements; patents sold and traded among firms, etc.” I think this goes to show that maybe the patent war is not so sever as it may seem to us.

Then again it is enough of an issue to still cause politicians to act. The America Invents Act (AIA) was signed into law in September 2011. It is recognized as "the most significant reform of the U.S. patent system since 1836" in helping reform litigation disputes. (http://asmarterplanet.com/blog/2013/01/patented-innovation-and-patent-wars-some-historical-perspective.html).

There are also proponents to the litigation war. Jesus Diaz writes an opinion piece in which he argues that these litigation wars only allow the best products to survive in the market which is ultimately beneficial for consumers. He uses Apple as an example. They are constantly suing “copy cat” companies that are not producing anything better or different than the iPhone. This then, according to Diaz, gives consumers the best products. For example, Windows 8 "introduces diversity, new methods, evolution. That, as someone who loves brilliant technology, excites me. You should be excited too. And you should hope that Apple wins all these patent wars against the lame and lazy. Because that would mean they'll all have to do something new to beat Apple at their own game." For Diaz, Apple’s victories will drive innovation, will drive prices down, and promote more and ultimately better products. (http://gizmodo.com/5938193/apple-winning-the-patent-wars-is-great-for-innovation).