Be you a founder, would-be investor or acquirer, correctly valuing the intellectual property of a company is rarely a simple task, but it can be even more challenging when that IP involves artificial intelligence or machine learning. See what our colleague Josh Tucker has to say about the challenges and importance of protecting underlying IP on 7 Mile Advisors’ Deal Talk podcast, “How Patents, AI and Machine Learning Affect Value.”
CBD, CBG, CBA, CBN, THC—the race to find the holy grail of cannabinoid production is in full swing. Money flows abound, unicorn-hungry investors looking to capture market share are swirling around promising frontrunners with lucrative IP. One interesting segment of cannabis IP gaining traction focuses on cannabinoids synthesis from microorganisms such as yeast.
Given the growth of investments in and shift of regulatory views regarding cannabis-related products, many companies in industries like medicine, lifestyle and foods/beverages are looking to carve out niches and be leaders in the relatively new space. As with any new technology space, it is essential to have a robust intellectual property protection strategy to both establish and preserve one’s position as a dominant player in an emerging market. One important step that a company may take when creating such a strategy is applying for patents.
On January 7, the U.S. Patent and Trademark Office released new guidance for how patent examiners should evaluate patent-eligible subject matter under 35 U.S.C. § 101. In “Evaluating the Evaluation: Breaking Down New USPTO Guidance for Patent-Eligible Subject Matter,” colleagues Jack S. Barufka, Ngai Zhang, Matthew W. Hindman and Tiffany C. Kuo examine the new guidance—and what it means for patent eligibility going forward.
With bitcoin prices rising from the dead over the last few weeks (up nearly 25% from a December 14 low), there’s a degree of renewed excitement regarding blockchain and cryptocurrency. But as general public interest rises and falls, the steady process of creating useful applications and systems for distributed ledger technology continues. The issuing of new patents is one observable part of this process, and as such, it’s worth noting that trading platform tZERO, a portfolio company of the e-commerce giant Overstock, was recently awarded a patent outlining how it may merge legacy trading systems with cryptocurrencies and digital asset technology.
Too often, a company with a new, promising product is caught by surprise when a competitor asserts an infringement claim against it on the technology underlying the product. Sometimes, the surprise isn’t that such a claim has been made, but rather that the company’s CGL insurance doesn’t have—or expressly excludes—patent coverage. Over at Policyholder Pulse, our colleague Sean Williams examines this all-too-common quandary and looks at some options for “Plugging the Patent Coverage Gap.”
As the blockchain avalanche continues, and ever-increasing numbers of blockchain-based patent applications seek issuance, savvy inventors and practitioners continue probing for patent-eligible space. Blockchain apps ultimately will face the same barriers as other software applications—key among them being new rules on subject matter eligibility. For those hoping to make it past such obstacles, performance-related refinements to blockchain technology may provide a safe harbor.
What is it worth to be able to block employees from using social media while on the job? And how should one determine that value, exactly? While it might be easy to determine the value of a stand-alone invention, it is much more difficult to determine the value an invention that is embedded within a complex product that itself has many parts and does many different things. Patent damages case law is in flux, and every court opinion regarding how to apportion and value inventions merits careful studying. A recent case demonstrates the perils of using faulty methodology to determine the value of patented software-based inventions.
Three years after Elon Musk announced in his famous “All Our Patent Are Belong To You” blog post that Tesla would be opening all of its patents to the public, he tweeted a recommendation of Max Tegmark’s recent book Life 3.0: Being Human in the Age of Artificial Intelligence—which just happens to allude to a not-too-distant future world in which, based on current patent law, all inventions might be free and open to the public. In this story, superhuman general artificial intelligence is secretly created by humans, and its creation began the end of human invention.
Today, May 22, 2017, in the TC Heartland v. Kraft Foods opinion written by Justice Clarence Thomas, the U.S. Supreme Court held that the proper venue for a patent infringement lawsuit is (1) the state of incorporation for the defendant, or (2) a district where the defendant has committed acts of infringement and has a regular and established place of business. The Court held that for purposes of the patent venue statute, 28 U.S.C. §1400(b), a domestic corporation “resides” only in its State of incorporation, rejecting the argument that §1400(b) incorporates the broader definition of corporate “residence” contained in the general venue statute, 28 U.S.C. §1391(c).
Internet & Social Media Law Blog