Why Intellectual Property Collaboration Is Critical In A Fracturing World
27 Aug 2024
Why Intellectual Property Collaboration Is Critical In A Fracturing World
With the world turning increasingly fragmented, polarised and protectionist, countries like Singapore that rely on free trade face immense challenges. But there are opportunities too amid today’s upheavals. One such is to be found in rapid technological advancements, especially that offered by generative artificial intelligence (AI).
Innovation on the tech front and others spurs economic growth, creates jobs and unlocks new pathways for businesses and countries to thrive. One indicator of its importance: global research and development (R&D) spending hit a record high of US$2.5 trillion (S$3.3 trillion) in 2022.
However, innovation in itself is insufficient. To be successful, commercialisation is needed too, along with another critical component – intellectual property (IP) protection.
But why IP? And why does it matter to Singapore?
For most consumers, IP is not top of mind when they go shopping for, say, smartphones or fridges, but it is hugely important in several ways. IP protects innovations through patents, designs, trade secrets and copyrights, among others. It incentivises creativity and investment, encouraging individuals and businesses to invest in R&D. Innovation and IP rights are inseparable. IP protection undergirds innovation and is the fuel for the success of any enterprise.
With IP protection in place, businesses can commercialise what they have to offer in different ways, including licensing or franchising. Licensing IP enables businesses to collaborate and innovate to come up with newer and better products and services. Zooming out, IP protection and commercialisation can also be a catalyst for global collaboration, even amid the current fragmentation of international trade.
Given that innovation and IP protection are intertwined, Singapore is a champion of both. Just as Singapore is connected to the world’s trade, it is also, through the efforts of IPOS (Intellectual Property Office of Singapore), plugged into the global IP system to ensure that the country reaps the full benefits of global innovation flows, supported by IP protection.
Singapore participates in several global IP initiatives that promote cross-border IP protection and dispute resolution, making it easier for businesses to market their products globally more efficiently. These include the Madrid Protocol, which is a treaty that provides for the international application and registration of trademarks in multiple countries; the Patent Cooperation Treaty, which assists applicants in patent protection internationally for their inventions; as well as the ASEAN Mediation Programme, which allows businesses in the region to use mediation instead of litigation to resolve their IP or technology disputes in a timely and cost effective manner.
IPOS is also an active member of the ASEAN Working Group on IP Cooperation, contributing to discussions and initiatives on the development of regional IP programmes. Working with its ASEAN counterparts, it developed the ASEAN IP portal, a one-stop online platform that allows IP professionals and businesses to access IP information for the entire region.
Singapore also actively drives IP collaboration in several areas. Since 2012, it has been championing global discussions through IP Week @ SG, a global annual IP forum attended by business leaders, policymakers, IP offices, lawyers and academics. This year’s conference, taking place over Aug 27 to 28, will discuss topics such as how technology advancements, like generative AI, are changing the innovation and IP landscape, and how businesses can capture the full value of their intangible assets.
During the conference, the IPOS Group will be signing memorandums of understanding with the World Intellectual Property Organization, the Visual, Audio, Creative Content Professionals Association, and the Maritime and Port Authority of Singapore. These will help build IP capabilities and equip freelance creative professionals with resources to enable them to protect and monetise their work and build on existing joint efforts to advance innovation in the creative
and maritime sectors.
On the tech front, ChatGPT propelled the world of generative AI onto the global stage, offering the world a glimpse of the power, potential and pitfalls that this advanced technology brings. Global discourse on AI continues unabated – with topics ranging from AI replacing humans to ethical concerns. The IP front has not been spared, with many questions around authorship, inventorship and infringement being raised.
IPOS has been closely monitoring how other countries are dealing with issues raised by the advent of generative AI. It is also collaborating with other partners to yield a better understanding of them.
For instance, IPOS and the Singapore Management University Centre for AI and Data Governance published a study in February 2024 that analysed the global AI landscape and approaches taken by different major legal systems in dealing with issues at the intersection of AI and IP. Separately IPOS’ subsidiary, IPOS International, produced a patent analytics report that looks at the leading players, key trends and emerging opportunities in this area.
The reports are invaluable resources for policymakers, lawmakers, technology players, IP creators, rights owners and civil society to better understand the complex issues surrounding AI, which can lead to better policymaking and collaboration.
Intangible assets (IA), which include IP, are a cornerstone of today’s innovation-driven economy. Here too, it is an area which is of growing importance for Singapore. Over the past 30 years, the share of IA market value among S&P 500 companies has increased from about 60 per cent in the 1990s to around 90 per cent today. Yet, valuing IA is still in its infancy.
As a business hub, Singapore recognises the importance of valuation. In 2021, it launched the Singapore Intellectual Property Strategy 2030. A key element of this strategy is the crafting of a framework for IA valuation and disclosures. The aim is to help companies come up with credible, consistent and comprehensive information about their IA. This in turn helps investors in their funding decisions, which would benefit IA-rich firms.
Singapore’s role as a business valuation hub was given another boost when the International Valuation Standards Council selected it in 2022 as its first base outside Europe to drive its advocacy efforts in Asia.
As can be seen in the examples above, Singapore is an IP powerhouse, a role that assumes greater importance in a world marked by a fracturing international trade system and disruptive tech innovations. By developing new sinews for cross-border collaboration in IP, Singapore is actively binding key players together even amid wrenching changes to the global ecosystem. In the process, it helps itself too in carving out a role that sustains its relevance in an uncertain world.
This article was written by Dr Stanley Lai for The Straits Times Opinion and was published on 27 August 2024.
See the full article here.
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