[Fsfe-ie] Possible opinion formers: academics

Ian Clarke ian at locut.us
Thu Dec 4 11:04:23 CET 2003


Justin Mason wrote:
> I used to work for Iona -- they were very keen on software patents, at
> least at one stage.  If I recall correctly, the board was keen on
> establishing a patent portfolio, since that's viewed as a Good Thing by
> investors and shareholders.  So it would be unlikely, I'd say.

I have experienced investor-pressure to get software patents to while in 
the US - unfortunately such investors are operating on a "Cargo Cult"* 
principal.

There are actually robust business reasons that software patents are a 
bad idea, and I used these arguments to persuade my partners and 
investors not to go down that route.  These are:

1) Its expensive for a small company

2) It takes 3 years, which may as-well be a lifetime for a small company

3) They are useless if a large company infringes the patent as they will
    simply accuse you of infringing one of their patents and force you to
    cross-license

4) By the time you have discovered (3) you have already disclosed your
    invention as part of the patent process and there is nothing you can
    do about it

I successfully advocated a trade secret strategy which is:

1) Free

2) Doesn't take any time

3) If it is a genuinely novel idea it won't be independently re-invented
    and so the issue of someone else "infringing" it won't arise

I relay this story to highlight the fact that most investors *do* like 
to see patents, but they typically don't know why.  I also relay it to 
highlight that there are good reasons why patents are a bad thing even 
from the perspective of the person seeking the software patent.

Ian.

* http://www.physics.brocku.ca/etc/cargo_cult_science.html


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