LED products launched a 337 survey. According to Section 337 of the US Customs Act of 1930, in order to protect various patents registered in the United States, once products with infringement of the above patents are found, these products will be prohibited from being sold in the US market. Although there are only four domestic LED companies involved in the case, it has caused great concern in China's LED industry. The National Semiconductor Lighting Engineering R&D and Industry Alliance is also analyzed by the Alliance Patent Pool Working Group and experts.
Although the lawsuit is aimed at LED products and their downstream products, LED intellectual property rights will face greater challenges in the future. Manufacturing, sales, management, and finance seem to be difficult for Chinese companies. Therefore, foreign companies are using laws, contract traps, patent litigation, and anti-dumping investigations. Foreign companies are using various legal means to intensify their lost things. Chinese LED companies have clearly realized that as the competitiveness of Chinese products increases, their competitors will try to use the provisions of Section 337 to suppress competition. In order to protect their legitimate interests, in the future, we should change the practice of not being willing to go to court in the past, and should study the US law and use it.
For semiconductor lighting R&D institutions, how to combine patents and investment, legal work is very important, and it is also an important way to avoid technical risks. The mutual authorization of patents and the work of patent pools allow patents to be shared with each other. Taiwan's ICM&A (Int el lectual Capital Management & Analysis), namely "Intellectual Property Management and Analysis System". The system monitors global product, technology, patent changes and developments in related industries on a daily basis, but the software and hardware invested in this system exceeds NT$300 million. By establishing a database, you can clearly see the capital structure, technology field, market share, competitors and product structure of domestic and foreign competitors or partners. Further deeper patent analysis, involving the number of patents, regional deployment, number of patent citations, business value, content differences, etc., can clearly know where we are stronger and weaker than others. Whether we perform tasks in an organized and systematic manner, or do it purposelessly, it varies greatly.
Legal affairs is a very difficult thing. Not only the law, but also the product, technology, management, capital market, we must fully understand, and even provide analysis as early as the front end. Its personnel must be honed in institutions and manufacturing units for at least three months. Otherwise, can't you know what manufacturing is? How to predict changes? The work of dismantling the "patent mines" is to find patents that have been announced and competitors apply, find out the inadequacy of patent definitions, technical loopholes, and raise objections to make this patent useless. After training, the future will be able to find the direction of patent portfolio more firmly.
Patent = Technology + Market + Law. When it comes to patent issues, the Chinese often attribute it to technological backwardness. In fact, patents are a combination of technology, law and market. First of all, there must be a technical breakthrough, which is the premise. Next, the market department needs to follow up to determine whether there is a market prospect. If the marketing department determines that there is a business prospect, the legal department will follow up to determine whether there is a patent risk. If legal people find that the new algorithm can't get around the core technology that other companies have, and that this improvement can't be authorized, it can only stop. Otherwise, the more products that have patent loopholes are sold, the more the subject matter of litigation is, and the more losses the company has.
Foreign companies also have a patent committee system. This is an independent decision-making body. Its composition must have a market, and it must be engaged in research and development. It also needs to understand the law. They decide the company's patent strategy. However, the actual situation of Chinese enterprises is that the technical personnel only manage the technology, the legal personnel only understand the law, the sales personnel only consider selling, and if they sell, will there be any trouble, or even lose money. Many companies do not ask professional legal persons to conduct patent analysis and directly invest money. As a result, the products developed and manufactured are either already owned by others or have similar technologies, which is a great waste of research and development.
Some enterprises have to enter the European market to taste the US market. After investing huge funds to prepare for the market, they find that the core technology patents for promoting products are in the hands of certain enterprises in Europe and America, and patents are monopolies given by the state in a certain period of time, and others are prohibited. The right to enter, resulting in huge financial waste. This kind of loss is not only economic compensation, market loss, but also the reduction of the brand, the damage of the company's image, and the unpredictable consequences of both explicit and implicit.
The Chinese government can learn from the US "competition committee." It is composed of well-known scholars and CEOs of large companies. It examines the competitiveness of the United States every year. The technology in emerging countries is rising faster than the United States. They have a sense of crisis and will propose a series of coping strategies to curb technological development in other countries. The US Competitiveness Commission has a saying, "Things that are protected in the United States must find ways to be protected globally."
The United States was once a "pirate country" in history. In the 100 years after the founding of the United States, the United States did not provide any formal protection for foreign copyrights because of the need to build knowledge of the social and cultural foundations of the United States. Until 1891, US copyright protection was limited to US citizens, and restrictions on foreign copyrights were widespread. For example, books that must be printed in the United States were protected. This led to the postponement of the United States to the Berne Convention (International Copyright Protection System) until 1989, more than 100 years later than the United Kingdom. The same is true of Japan. From the 1950s to the 1970s, using the US's neglect of intellectual property protection and the export of technology as the leading international economic and trade policy, Japan surpassed the United States in application technology through imitation, improvement, and seeking, and the economy rose rapidly.
We are painstakingly thinking about the many ways to be taken, but which one is more practical and more suitable for our domestic LED development and industrial development? To make full use of patented technology and patent law, the fundamental reason for Chinese companies to encounter international crisis is also the problem of their own body – the lack of a perfect legal department. In fact, patents are not a gift, but a privilege given by governments to serve national interests. In June 2004, China promulgated and implemented the “Administrative Measures for Legal Advisers of State-Owned Enterprisesâ€, which stipulated that state-owned enterprises should gradually promote the corporate legal system with the corporate general counsel system as the core. But most companies in our country do not have a chief legal officer. The Legal Department should be a line that is independent from top to bottom, just like finance. There is also a direct relationship between the level of Chinese corporate legal affairs and their degree of internationalization. The insurance and financial industries were first and internationally connected, and their legal affairs were most valued, followed by the telecommunications industry, followed by manufacturing. Have you encountered any possible dispute resolution solutions that you have encountered today? These include consultations, mediation, recovery letters, industry initiatives, and senior negotiations. We must take into account the industry's overall reputation, cost, political influence, and so on, all the disadvantages of litigation. In foreign countries, from the beginning of the negotiations, the legal personnel joined the discussion and joined the legal strategic considerations; before submitting the contract text to the other party, the legal department personally revised each clause; if the negotiation target is relatively large, the legal affairs The ministry will participate in the negotiations throughout the process, because lawyers are experts in contracts. In China, contracts are generally drafted by business managers and sales personnel. They have no legal experience at all, especially those who do not understand foreign laws. From the very beginning, they are full of loopholes. If you can do better at the beginning, you can avoid at least 70% of the legal risk.
Internationalization requires detailed strategies and plans. Internationalization is a strategic consideration from the perspective of the company's overall planning, but it requires more tactical implementation. From the convenience of business to the preferential taxation, the specific contract signing method is determined. In fact, it is a legal strategy. For example, the legal awareness of Huawei's top management is gradually accumulating in the lawsuit. After the famous Huawei Cisco litigation, all Huawei executives participated in two special IP trainings, one morning and one full day. Experts from foreign law firms were invited to attend classes from the most basic intellectual property rights. The concept speaks of intellectual property strategies. And all the middle-level and above cadres of Huawei also participated in this special intellectual property training. So many bosses are sitting together and listening to lawyers about intellectual property, which is unique in domestic companies. I hope that Chinese entrepreneurs will not realize the crisis of internationalization when the lawsuits broke out collectively!
Although the lawsuit is aimed at LED products and their downstream products, LED intellectual property rights will face greater challenges in the future. Manufacturing, sales, management, and finance seem to be difficult for Chinese companies. Therefore, foreign companies are using laws, contract traps, patent litigation, and anti-dumping investigations. Foreign companies are using various legal means to intensify their lost things. Chinese LED companies have clearly realized that as the competitiveness of Chinese products increases, their competitors will try to use the provisions of Section 337 to suppress competition. In order to protect their legitimate interests, in the future, we should change the practice of not being willing to go to court in the past, and should study the US law and use it.
For semiconductor lighting R&D institutions, how to combine patents and investment, legal work is very important, and it is also an important way to avoid technical risks. The mutual authorization of patents and the work of patent pools allow patents to be shared with each other. Taiwan's ICM&A (Int el lectual Capital Management & Analysis), namely "Intellectual Property Management and Analysis System". The system monitors global product, technology, patent changes and developments in related industries on a daily basis, but the software and hardware invested in this system exceeds NT$300 million. By establishing a database, you can clearly see the capital structure, technology field, market share, competitors and product structure of domestic and foreign competitors or partners. Further deeper patent analysis, involving the number of patents, regional deployment, number of patent citations, business value, content differences, etc., can clearly know where we are stronger and weaker than others. Whether we perform tasks in an organized and systematic manner, or do it purposelessly, it varies greatly.
Legal affairs is a very difficult thing. Not only the law, but also the product, technology, management, capital market, we must fully understand, and even provide analysis as early as the front end. Its personnel must be honed in institutions and manufacturing units for at least three months. Otherwise, can't you know what manufacturing is? How to predict changes? The work of dismantling the "patent mines" is to find patents that have been announced and competitors apply, find out the inadequacy of patent definitions, technical loopholes, and raise objections to make this patent useless. After training, the future will be able to find the direction of patent portfolio more firmly.
Patent = Technology + Market + Law. When it comes to patent issues, the Chinese often attribute it to technological backwardness. In fact, patents are a combination of technology, law and market. First of all, there must be a technical breakthrough, which is the premise. Next, the market department needs to follow up to determine whether there is a market prospect. If the marketing department determines that there is a business prospect, the legal department will follow up to determine whether there is a patent risk. If legal people find that the new algorithm can't get around the core technology that other companies have, and that this improvement can't be authorized, it can only stop. Otherwise, the more products that have patent loopholes are sold, the more the subject matter of litigation is, and the more losses the company has.
Foreign companies also have a patent committee system. This is an independent decision-making body. Its composition must have a market, and it must be engaged in research and development. It also needs to understand the law. They decide the company's patent strategy. However, the actual situation of Chinese enterprises is that the technical personnel only manage the technology, the legal personnel only understand the law, the sales personnel only consider selling, and if they sell, will there be any trouble, or even lose money. Many companies do not ask professional legal persons to conduct patent analysis and directly invest money. As a result, the products developed and manufactured are either already owned by others or have similar technologies, which is a great waste of research and development.
Some enterprises have to enter the European market to taste the US market. After investing huge funds to prepare for the market, they find that the core technology patents for promoting products are in the hands of certain enterprises in Europe and America, and patents are monopolies given by the state in a certain period of time, and others are prohibited. The right to enter, resulting in huge financial waste. This kind of loss is not only economic compensation, market loss, but also the reduction of the brand, the damage of the company's image, and the unpredictable consequences of both explicit and implicit.
The Chinese government can learn from the US "competition committee." It is composed of well-known scholars and CEOs of large companies. It examines the competitiveness of the United States every year. The technology in emerging countries is rising faster than the United States. They have a sense of crisis and will propose a series of coping strategies to curb technological development in other countries. The US Competitiveness Commission has a saying, "Things that are protected in the United States must find ways to be protected globally."
The United States was once a "pirate country" in history. In the 100 years after the founding of the United States, the United States did not provide any formal protection for foreign copyrights because of the need to build knowledge of the social and cultural foundations of the United States. Until 1891, US copyright protection was limited to US citizens, and restrictions on foreign copyrights were widespread. For example, books that must be printed in the United States were protected. This led to the postponement of the United States to the Berne Convention (International Copyright Protection System) until 1989, more than 100 years later than the United Kingdom. The same is true of Japan. From the 1950s to the 1970s, using the US's neglect of intellectual property protection and the export of technology as the leading international economic and trade policy, Japan surpassed the United States in application technology through imitation, improvement, and seeking, and the economy rose rapidly.
We are painstakingly thinking about the many ways to be taken, but which one is more practical and more suitable for our domestic LED development and industrial development? To make full use of patented technology and patent law, the fundamental reason for Chinese companies to encounter international crisis is also the problem of their own body – the lack of a perfect legal department. In fact, patents are not a gift, but a privilege given by governments to serve national interests. In June 2004, China promulgated and implemented the “Administrative Measures for Legal Advisers of State-Owned Enterprisesâ€, which stipulated that state-owned enterprises should gradually promote the corporate legal system with the corporate general counsel system as the core. But most companies in our country do not have a chief legal officer. The Legal Department should be a line that is independent from top to bottom, just like finance. There is also a direct relationship between the level of Chinese corporate legal affairs and their degree of internationalization. The insurance and financial industries were first and internationally connected, and their legal affairs were most valued, followed by the telecommunications industry, followed by manufacturing. Have you encountered any possible dispute resolution solutions that you have encountered today? These include consultations, mediation, recovery letters, industry initiatives, and senior negotiations. We must take into account the industry's overall reputation, cost, political influence, and so on, all the disadvantages of litigation. In foreign countries, from the beginning of the negotiations, the legal personnel joined the discussion and joined the legal strategic considerations; before submitting the contract text to the other party, the legal department personally revised each clause; if the negotiation target is relatively large, the legal affairs The ministry will participate in the negotiations throughout the process, because lawyers are experts in contracts. In China, contracts are generally drafted by business managers and sales personnel. They have no legal experience at all, especially those who do not understand foreign laws. From the very beginning, they are full of loopholes. If you can do better at the beginning, you can avoid at least 70% of the legal risk.
Internationalization requires detailed strategies and plans. Internationalization is a strategic consideration from the perspective of the company's overall planning, but it requires more tactical implementation. From the convenience of business to the preferential taxation, the specific contract signing method is determined. In fact, it is a legal strategy. For example, the legal awareness of Huawei's top management is gradually accumulating in the lawsuit. After the famous Huawei Cisco litigation, all Huawei executives participated in two special IP trainings, one morning and one full day. Experts from foreign law firms were invited to attend classes from the most basic intellectual property rights. The concept speaks of intellectual property strategies. And all the middle-level and above cadres of Huawei also participated in this special intellectual property training. So many bosses are sitting together and listening to lawyers about intellectual property, which is unique in domestic companies. I hope that Chinese entrepreneurs will not realize the crisis of internationalization when the lawsuits broke out collectively!
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