Strategic implications of AIA for IT entrepreneurs: A practical primer about the new patent world

Protecting intellectual property remains a crucial requirement for technology entrepreneurs. This paper focuses on the global issues created by the America Invents Act: specifically, the implications for patent protection of IT innovations. Around the world, key differences remain among patent systems, although some of the essential elements match more closely now than ever before. We contrast patent protection in the United States with China, and the European Union. A key implication is that, today, more than ever, an IT entrepreneur must be aware of the options available via national patent offices versus regional patent offices versus the Patent Cooperation Treaty: each comes with its own pros and cons. We highlight the strategic implications by sharing a short case illustrating both filing and enforcement options for a designer of IT software. In addition, possible, unintended consequences are emphasized, not only for technology entrepreneurs, but also for national innovation rates. Lessons learned are generalizable to other technology arenas.