Member Article

Businesses need to be more IP-aware

Businesses can still do more to protect and exploit their intellectual property as the value of IP investment to the UK economy heads for the £100bn mark.

That is the message from leading law firm Ward Hadaway as the IP sector gets ready to mark World IP Day later this month.

In 2008, research conducted for the Intellectual Property Office estimated that investments made by businesses in products and services protected by Intellectual Property Rights (IPRs) were worth at least £65bn a year.

Five years on and the investment in products and services protected in copyright, designs, patents and trade marks has increased still further with a £100bn figure now within reach.

Intellectual property experts at Ward Hadaway, which advises a wide range of clients from hi-tech start-ups to international brands, say the figures demonstrate the value of intellectual property to the UK economy, but add that much more can still be done.

Alex Shiel, Partner and Head of Intellectual Property at Ward Hadaway, said: “Businesses and the Government are recognising the increasing importance of intellectual property to the development of the economy and that influence is only going to grow.

“You only have to look at the two biggest companies in the world – Apple and Google – to realise why generating ideas, protecting and commercially exploiting them is so vitally important in the economy of the 21st century.

“Both these companies are extremely protective of the products and services they develop and are adept at ensuring they gain the maximum commercial return from the time, effort and expense they invest in their intellectual property.

“However, it remains an unfortunate fact that many businesses and individuals don’t take the time and care to protect the ideas they develop. By doing so, they are taking a huge commercial risk because they may end up losing any rights to their creative endeavours.

“Protecting your intellectual rights can not only help to ensure that others don’t profit from your hard work, it can also help to multiply the returns you secure from your ideas.”

Figures from the Intellectual Property Office show that in the ten years to 2008, business growth from intellectual property investment outstripped returns on investment in fixed capital such as hardware or office materials.

Copyright and design have been the biggest contributors to the growth of intellectual property rights via the likes of software, publishing, broadcast, film and music.

Alex Shiel said: “The implementation of the Hargreaves Review of Intellectual Property looks set to increase the importance and potential earnings generation from IP still further.

“Measures recommended by the Review, including the establishment of a Digital Copyright Exchange and an update to rules governing what is lawful to copy, are estimated to have the potential to add a further £7.9bn to the UK economy.

“They will also alter the landscape surrounding intellectual property rights and their commercial exploitation so businesses and entrepreneurs need to be aware of the changes coming through and the opportunities and potential pitfalls they represent.”

Alex was speaking in advance of World IP Day, which takes place on April 26 this year.

Organised by the World Intellectual Property Organization (WIPO), the event aims to raise the profile of intellectual property across the globe and to hammer home its importance to the world economy.

The theme for this year’s event is “Creativity: the next generation” with WIPO examining how the world will look in the future and what innovations will shape the way we live.

Alex Shiel said: “Things which seemed bold and futuristic even a few years ago now appear commonplace and with inventions such as self-driving cars and augmented reality glasses already starting to make an impact, it is fascinating to think what is around the corner

“In the intellectual property team at Ward Hadaway, we are privileged to help some of the most forward-thinking and innovative people around to make the most out of their cutting edge ideas and long may that continue.”

This was posted in Bdaily's Members' News section by Ward Hadaway .