By Paul Morinville
Patent
litigation in China takes 8.6 months to conclude, and it costs less than $200,000.
Compare that to the U.S. where it can take five to six times longer (not
including the inevitable appeals) and cost at least three to five millions of
dollars for even an uncomplicated dispute over relatively simple technology.
Technology areas that China leads are
virtually all related to software. As shown in analysis by Kevin Madigan and
Adam Mossoff in their paper Turning Gold to Lead: How Patent
Eligibility Doctrine Is Undermining U.S. Leadership in Innovation (April
13, 2017), protecting software in the United States is a high-risk endeavor.
This report shows nearly 17,000 patents invalidated for subject matter
eligibility of which 1,700 are still valid in China and/or Europe. It is no
surprise that the U.S. is losing entire swaths of technology to the Chinese.
If the U.S. continues the status quo, we will
lose these markets for a generation or more. Under the current patent system,
Fairchild would not have existed and there would be no Silicon Valley. At least
not in the United States. It would be in China.
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