3.1 Patent or perish  (Page 3/5)

Additionally, a second patenting breakthrough occurred in the United States after World War II. Vannevar Bush, aleading government researcher, realized the importance of government funded research for national defense. Expanding on thisidea, Bush recognized that university research could also be used in non-war time to enhance the economy, through the transfer ofknowledge from basic science to industrial production. Consequently, he believed that the government should fund theseuniversity projects. This belief was put into practice by the foundation of the National Science Foundation and other similarorganizations. Nevertheless, up until the 1960's, there was limited success in the transfer of basic research discoveries into economicresults due to patenting problems. Because of the inconsistencies in the policies and practices of government agencies, very littleof the discoveries made in basic scientific research were transferred to the private sector. Statistically, in 1980, out ofthe 28,000 patents titled by the federal government, less than 5% were directed towards commercial products that would benefit thepublic directly. [15]

In 1980, the United States government, in order to solve this problem, decided that a policy was needed which alloweduniversities to obtain ownership over certain inventions (direct involvement in commercialization). As a result, this policy wouldtheoretically stimulate the United State's economy due to an influx in the licensing and commercialization of new inventions. This policy wasofficially implemented as the Bayh-Dole Act, which allowed and, to an extent, encouraged colleges and universities to begin developing andstrengthening the research needed to proceed in the patenting of useful inventions.[16]

Prior to the decision of passing this act, there was considerable debate about this issue. Many feared that such apolicy of exclusive licenses would lead to monopolies and higher prices. Furthermore, people saw problems in areas ranging from foreignindustries getting too much benefit from the act to whether the act fostered anti-competitiveness. However, this drastic concern for theact led to increased debate and modifications that strengthened the future benefit of the measure.[17]

Ultimately, it can be concluded that the Bayh-Dole act drastically increased the transfer of technology fromresearch into industry. Today, the positive effect of the Bayh-Dole act is evident in the miraculous advances in the medical, engineering,chemical, and computing fields. Hence, the Bayh-Dole act is an integral part of nationally funded scientific research. Today, thereexist more than 5 million patents given by the United States Patent and Trademark Office. [18]

Patents and the world

In an increasingly globalized and economically interconnected world, the importance of patents acrossborders has become an important issue in recent years. Patents and patent law often come into dispute on the international level fortwo main reasons. Most countries have some form of patent laws and agencies but all differ, some drastically, in how they define apatent, what it can be filed for, and the degree that other countries' patents are accepted. Hence, the first main issue ofthis dispute comes from whether a patent made in one country is viable in another. The second issue arises when one country's lawsand dealings come into conflict with another; a problem that requires international mediation.