Presentation Transcript
Intellectual Property and Its Role in Economic Development : Intellectual Property and Its Role in Economic Development Jared Nyagua
IP and New Technologies Division, WIPO
WIPO National Roving Workshop on IP Strategy
Beira, Nampula and Maputo, Mozambique
February 6 to 14, 2006
Topics to be Covered: Topics to be Covered I. What is IP?
II. Why is IP Important?
III. What is IP Strategy?
IV. Who will make IP Strategy?
V. How to make IP Strategy?
Slide3: I. What is IP? PROPERTY
Real
Personal
Capital
Intellectual VALUE CREATION ACTIVITY
Product Creation
Investment
Improvement
Sale
Rent or Licensing RESULTS
Revenues/ Profits
Employment
Appreciation
Solution of Needs
Slide4: Patents (inventions)
Trademarks
Industrial designs
Geographical indications
Copyright (works of authorship)
Trade Secrets, etc. + What are “IP Assets”?
II. Why is IP Important?: II. Why is IP Important? Economies based on land, physical assets
Trade in goods
Cheap labor
Nationally based trade
Pre-Internet economy Old Economy New Economy Knowledge Based Economies
Value-added goods /IP Licensing
Productive Human Capital
Regional/Global Markets
Internet
There is an IP Divide...: There is an IP Divide... 91% of patents are from OECD countries.
PCT filings and national patent filings in developing countries are by non-residents primarily. Why IP is Important?
Slide7: Cultural industries
Trade in cultural goods has grown exponentially over the last two decades. Between 1980 and 1998, annual world trade of cultural goods surged from US$95.3 billion to US$387.9 billion.
On a global scale, trade remains concentrated in a few countries: in 1998, thirteen countries were responsible for more than four-fifths of imports, and twelve countries for the same proportion of exports. Why IP is Important? World Trade of Cultural Goods
(in millions of dollars, 1980-98) Source: Study on International Flows of Cultural Goods Between 1980-98, UNESCO 2000.
Because of technology access... : Because of technology access... Lack of IP assets is a disadvantage
Royalty drain instead of royalty stream
Owning IP assets is an advantage
Why IP is Important?
Because of IP Licensing... : Because of IP Licensing... Worldwide licensing revenues
In 2001, $US 100 billion estimated
Pharmaceutical licensing
In 1996 US$3.5bn
In 2000 US$10.5bn
IT licensing
University and research center licensing
In 2000 $US 1.3 billion by non-profits in North America
New entrants--Singapore, Brazil, Korea
Because IP Owners Use IP Assets to Make Money...: Because IP Owners Use IP Assets to Make Money... Build valuable portfolios of IP as base for licensing revenues;
Offensive: Monopoly power for price and products;
Defensive: Avoid and defend against litigation;
Enhance products, upgrades, higher revenues and margins;
Promote brand value for advertising;
Attracts Investments, Strategic alliances, joint ventures;
Enhance corporate valuation. Why IP is Important?
Slide11: Because IP is in Every Sector...
Slide12: Can IP Assets be Developed? III. What is IP Strategy?
Public IP Strategy: Public IP Strategy What is happening here?
The task is to identify what governmental and enterprise policies support such results, and to provide tools to Member States to implement such policies in a proactive way. Can IP Assets be Developed?
Public IP Strategies Today: Public IP Strategies Today Australia
Canada
Philippines
Japan
ASEAN
Romania
European Union
Mexico
Two Complementary Ways: Two Complementary Ways IP Importation=
TOT local creation Can IP Assets be Developed?
Slide16: Universities, public research centers;
SME promotion and incentives;
Targeting and protecting new technology;
Recognizing local inventions in joint ventures, FDI, technical assistance projects;
Modification, enhancement of traditional knowledge/folklore. Can IP Assets be Developed?
IV. Who Will Make IP Strategy?:
Academia
[Universities,
Research Centers]
Government
Private Sector
[large enterprises,
SMEs,
individual inventors,
NGOs]
IV. Who Will Make IP Strategy?
V. How to Make IP Strategy?: V. How to Make IP Strategy?
The IP / Innovation Strategy House: The IP / Innovation Strategy House Economic Growth
Technological Development and Solutions Networks Laws and Policies IP Audit and Plan Clusters Funding/Valuation Policy
Commitment • Marketing Incentives Education
Slide20: Expenditure in R&D as % of GDP
(2001) Total Expenditures (1989-2000 average) in R&D as a % of World GDP: 2.12%
Sources: 2002 World Development Indicators (World Bank) and UNESCO Institute for Statistics (March 2005).
¤ Data for 2000 # Data for 2001
Expenditure on R&D as % of GDP has been increasing in Uganda…: Expenditure on R&D as % of GDP has been increasing in Uganda… Source: UNESCO Institute for Statistics, March 2005
...But the source of funds (%) for expenditure on R&D comes mainly from abroad: ...But the source of funds (%) for expenditure on R&D comes mainly from abroad Source: UNESCO Statistics Institute, March 2005
Uganda has 14 Universities and at the National Agricultural Research Organization (NARO) there are 9 Research Centers. Still, the average of researchers per million people (2001) is still low: Uganda has 14 Universities and at the National Agricultural Research Organization (NARO) there are 9 Research Centers. Still, the average of researchers per million people (2001) is still low Source: UNESCO Statistics Institute, March 2005
The Program: The Program Theme One: Introduction
Theme Two: Professional Training
Theme Three: Policies and Incentives
Theme Four: Funding
Theme Five: IP Strategy Game (small groups)
Theme Six: IP Audit Tool
(small groups)