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As the economy is shifting weight from physical to intellectual capital dominance, accompanied by the emergence of the pro-IP era, it is natural to try to reassess the traditional challenges, trade-offs and operating standards of the IP system. There is no change in the fundamental nature of information and technology with its associated legal and...
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Citations
... For instance, in the electronics industries technologies are often complex, protected by numerous patents that are owned and spread across various companies. To not block each other due to fragmented and distributed ownership situations cross licensing models, patent pools and other approaches are used to prevent hold-up situations (Eppinger, 2015;Granstrand, 2003). The situation is often different in the pharmaceutical industries, where novel chemical formulations are commonly patent protected and then licensed, if at all, only for different indications or regions often to a small number of companies. ...
Developing innovations for the digital economy, such as IoT devices and connected mobility solutions is likely to require OEMs to combine IP from multiple sources (licensors) who exploit their IP to as many as possible licensees (other OEMs). Those involved in the provision of what we call distributed multi-IP solutions (d-mIPs) find themselves entangled in a complex many-to-many network or ‘licensing web’ having to operate payments based on licensing contracts under a variety of terms and conditions. In the digital economy and ‘pro-licensing era’ efficiently operating licensing payments to/from multiple licensors/licensees becomes increasingly mission-critical. Unfortunately, the current semi-manual processes are inherent of information asymmetries, uncertainties, trust problems and transaction costs, hence must be considered as inefficient. This paper discusses the challenges licensees and licensors face when operating licensing payments for d-mIPs. We propose a system based on distributed ledger technologies and smart contracts for automating trustworthy licensing payments that can substantially reduce currently existing challenges. The proposed system not only contributes to enabling the digital economy, but has further potential to enable new business models.
Copyright, which was initially introduced for the encouragement of authors of literary and artistic works, is not able to offer artists sufficient economic incentive to create. Royalty payments to all but the top artists are typically small and firms in the creative industries are typically large, making for a very unequal bargaining situation. Already, though, digital delivery of cultural products is beginning to change this scenario and we can consider possible effects on markets and the implications for copyright and cultural policy.
