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European Parliament Sinks Patent Plan
by Winter Casey
The European Parliament on Wednesday rejected a proposal that would have given member countries of the European Union broader patent protections for software.
The body rejected the plan 648-14, with 18 abstentions. The Parliament voted on the more than 100 amendments to the original bill, which aimed to give EU-wide patent protections to computerized inventions such as computed axial tomography scanners, cellular telephone or washing machines.
Former French Prime Minister Michel Rocard, said this week that the bill was not ready for adoption and requires more debate. Parliament is not expected to revive the bill.
Rocard also noted that the Silicon Valley community managed to flourish without patents for 20 years. Software in Europe already has copyright protection.
He said Parliament weighed several concerns in forming its decision: free movement of ideas, respect for competition, prevention of monopolies, and protection of individuals and small businesses against domination by multinational corporations.
Critics had expressed concern that the bill's passage could lead to Europe following the U.S. model by allowing business processes to be patented. For example, in the United States, Amazon.com has patented its "one-click" shopping method. Additionally, critics of the European bill said it could have hurt small businesses and developers of "open source" software, whose underlying code can be viewed and altered.
Toine Manders, representing the Alliance of Liberals and Democrats for Europe, said that the European Patent Office has given "pointless patents" and that the office needs democratic control, which the proposed directive failed to offer.
Evelin Lichtenberger, a member of the Greens/European Free Alliance group, said that while everyone agreed on the need for innovation in information technology, if the law had been approved, "ideas would become market objects." She said open competition and not pressure from industry giants should be considered.
Non-attached member Bruno Gollnisch said software patents would be a death sentence for small and medium-sized businesses. Brian Crowley for Union for Europe of the Nations said ideas need patent protection.
Reaction To EU Patent Decision
Michelle Childs, head of European Affairs Consumer Project on Technology in London, called the decision "good in parts."
"The good news is that rejection is better than adopting a bad directive," she said via e-mail. "The bad is that the EU Parliament has missed a unique chance to adopt a sound counter position based on the 21 Rocard amendments, which would have helped to put an end to the patenting of software already happening in the European Patent Office and harmonized decision-making in national patent offices to prevent the issuance of trivial patents."
Childs said that the future of software patents is unclear and that "while the directive appears to be dead, its spirit could live on. The European Patent Office [EPO] may choose to change its practice given the strength of feeling on this issue but is not forced to do so. Supporters of software patents will continue to press their case at the EPO and at the national level, so the fight continues."
Simon Gentry from the Campaign for Creativity said, "Today's decision also represents a lost opportunity for Europe to establish a common ground for high-tech innovation that would help foster further successes and development in this field."
Benno Hijl, executive director of 3D ID, a Dutch software company specializing in search-engine technology, lauded Wednesday's decision.
"The scope of some of the amendments if they had been voted in favor of today would have rendered my innovations worthless," he said. "I can understand the concerns of those against the directives, but it was clear they were going too far, and this is why I believe the European Parliament will now begin to look at a broader reform of the patent system rather than focus specifically on software patents, which has distorted the bigger picture in regards to what Europe needs."
More E-Applications For Patents
International patent applications filed under a World Intellectual Property Organization treaty and submitted to treaty offices in Finland and South Korea will be processed electronically.
"The move to electronic processing by WIPO is expected to facilitate longer-term efficiency gains and improved services at WIPO, including an online file-inspection service, by building up a comprehensive database of [treaty]-related documents in electronic form," Francis Gurry, WIPO's deputy director-general, said in a statement.
In other news, academics and police advisers attending a WIPO symposium in Geneva from June 30 to July 1 called for a more comprehensive approach to intellectual property education and research. They also requested more resources for educational purposes.
Music Labels In Taiwan Suffer Setback
Taiwan's Shihlin District Court ruled last week that a local file-sharing operator was not guilty of infringing on intellectual property rights, the Taipei Times reports. The court said current laws and regulations do not specifically ban or restrict file-sharing activities.
The ruling, a blow to Taiwan's music industry, found that Weber Wu, the president of Ezpeer, did not engage in reproducing or publicly distributing works of copyright holders. Ezpeer charges subscribers a flat fee to swap files.
The plaintiff, the International Federation of the Phonographic Industry, said it plans to appeal the verdict. "This is the darkest day for the music industry," said Robin Lee, secretary-general of the group in Taiwan. "We will appeal to the end."
Appointment Made On Cross-Border Gambling Dispute
Claus-Dieter Ehlermann was appointed last week by the director-general of the World Trade Organization to determine a reasonable period for the implementation of recommendations relating to the cross-border supply of gambling and betting services.
The WTO recently found that the U.S. government's attempt to ban the tiny Caribbean country of Antigua and Barbuda from offering online gambling services violates international trade law.
The WTO dispute-settlement panel also reversed an earlier WTO decision, thus supporting U.S. claims that its laws, including the 1961 Federal Interstate Wire Act, are "necessary to protect public morals or maintain public order."
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