Product development and intellectual property

Product Development is
To develop new product. Tube TV -> Plasma TV. A single sim card mobile phone -> double sim card mobile phone. Sailing boat => steam engine boat.

Birth

Matured

Death

Longer time to invent

Product Development duration
30 years 30 years 22 years 7 years

Antibiotic Zip Instant coffee Ball pen

Lifecycle product
1990s: Lifecycle product is 18-30 years. New millennium: Lifecycle product became 6-18 years and nowdays, it even shorter especially for the electronic products. A war between the producer and manufacturer; e.g. between Motorola, Nokia, Samsung & Blueberry for the mobile phone and between HP, Toshiba, Sony & Apple for the laptop.

1st phase: Producing ideas

Further reading: Crawford (1994). Ideas could be from the customer, R&D department, competitor, worker or industrial expo. Multi techniques could be used to produce creative and innovative ideas such as brainstorming technique.

2nd phase: Filtering idea

Avoid any unaccepted ideas. 3 questions should be asked on three aspects:
Benefit (target group/customer). Ability. Profit.

3rd phase: Testing and concept development

Marketing and engineering development: Opinions from the users/customers.

Product is needed

Modified from Smith (1988)

Designing new product

The end of engineering process Marketing new product

10

20 30

40

50 60 months

Intellectual property
Intellectual property can be defined as something produced by the mind, of which the ownership or right to use may be legally protected by copyright, patent, trademark, etc. Intellectual property includes industrial, litrary and artistic works. (Al-Hawamdeh & Hart, 2002)

Types of intellectual property

Trade secret. Patent. Copyright. Trade mark. Industrial design.

Intelligence is the new form of property. (Charles Handy)

 People with ideas people who own ideas have more powerful than people who work machines and, in many cases more powerful than the people who own machines. (Howkins, 2002)

Malaysian IP protections
(1) Akta Hakcipta 1987. (2) Akta Perihal Dagangan 1972. (3) Akta Cap Dagangan 1976. (4) Akta Paten 1983. (5) Akta Hakcipta 1987. (6) Akta Reka Bentuk Perindustrian 1996. (7) Akta Petunjuk Geografi 2000. (8) Akta Reka Bentuk Susun Atur Litar Bersepadu 2000. (9) Akta Cakera Optik 2000.

 World Intellectual Property Organization (WIPO), Paris Convention1883, Berne Convention 1886, and agreement of Trade Related Aspects of Intellectual Property Rights (TRIPs) 1994.

Purposes
Reward for the author Stimulate artistic & scientific creativity

Copyright
Ideas are not protected by copyright. Duration: 50 years after death and then become public domain. (Some notes are referred to the handouts by Professor Beth Simone Noveck).

Things can be copyrighted

literary works musical works, including any accompanying words dramatic works, including any accompanying music pantomimes and choreographic works pictorial, graphic, and sculptural works motion pictures and other audiovisual works; sound recordings; and architectural works

Exclusive Rights of Copyright Owners

Reproduce the work. A book could be; Braille, animation script, film script, ebook, condensed book etc. Prepare derivative works Distribute copies or phono-records Perform the work Display the work publicly Transmit sound recording digitally

Display
To "display" a work means to show a copy of it, either directly or by means of a film, slide, television image, or any other device or process or, in the case of a motion picture or other audiovisual work, to show individual images nonsequentially.

Sony v. Universal City

Question: Does the sale of video tape recorders (VTRs) to the public violate the Copyright Act? Can a theory of liability be made out for those who sell circumvention devices? Why hold manufacturers liable? Why not sue the broadcasters? Why not sue the infringing consumers? What does Sony argue in its defense?

Sony, contd.
Court borrows from patent law to create a standard for copyright Standard must balance protection of owner and freedom of others to engage in substantially unrelated areas of commerce No contributory infringement if
Product widely used for legitimate, unobjectionable purposes Device capable of substantial non-infringing uses

Sonys Defense
Substantial Numbers of Copyright Holders Would Consent Time-Shifting is a
Non-Commercial Use Of Material Broadcast Free to Air Private Activity In the Home Serves the Public Interest of Increasing Access to TV Programming

Patent
Novelty in product, process or equipment to produce the product. Duration: 15 years.

Could not be patented

(1) Flora. (2) Fauna. (3) New method in cure the human. (4) New purpose. (5) Anything that could be easily bought from the market. (6) Simple modification on any invention..

 Paper clip was patented by Norwegian, Johan Vaaler in Germany, 1899.

Thomas Alva Edison (d. 1931)

389 patents on lamp and electrical power, 195 on phonograph, 150 on telegraph, 141 on battery and 34 on telephone.

Hassan Kamel Al-Sabbah (d. 1935)

32 patents on solar energy, 4 patents on TV and cathode ray tube, 6 patents on power station, 3 patents on pressure and temperature equipments and 1 patent on condensed electrical image.

3M
5-7 % of income for its R&D. Average 500 patents a yea including post-it note by Art Fry. USD 50 000 research grant. The Annual Technology Fair. Exclusive club, The Carlton Society for the 3M innovators and inventors.

 US Patent Office declared that 97% of the registered patents never contribute the profit to its owner! (DeMatteis, 2005)

Business Week (1996): What is the most important invention?

60 %: Car. 54 %: Lamp. 42 %: Telephone. 22 %: TV. 19 %: Aspirin. 13 %: Microwave. 7.6 %: Computer.