Tuesday, February 17, 2015

United States Ranks 1st for Intellectual Property Rights : At Least for Now

Given this ranking, it makes sense that industry from around the world wants to base it's research in America. As well, it's clear why other countries are investing $trillion of dollars in this country as it seems, at least for the time being, a good place to bring their money and leave it here.

U.S. Ranks First in Intellectual Property Rights
Source: Jeong Seo, "U.S. Ranks First in Intellectual Property Rights," NCPA Health Policy Blog, February 6, 2015.

February 6, 2015

The International IP Index, published by the U.S. Chamber of Commerce\'s Global Intellectual Property Center (GIPC), was released earlier this week. The full report can be found here.

Now in its third edition, the GIPC Index provides data analysis intended to be a tool for governments to understand the key IP factors that drive business innovation. In addition, the index reflects indicators that companies monitor closely as they plan their R&D. Key IP inputs measured include: patent protection, enforcement and international treaties.

As the first ranked country in the index, the report attributes the United States' score to the following areas of strength:
  • Pharmaceutical-related patent enforcement and resolution mechanism
  • Patentability and strict definition of computer-implemented inventions
  • Digital rights management legislation
  • Protection of trade secrets
  • Deterrent civil remedies and criminal penalties
  • Commitment to and implementation of international treaties
On the other hand, the report also mentions areas of weakness for the United States:
  • Increasingly narrow interpretation of patentability of biotech inventions
  • Inconsistent enforcement against counterfeit and pirated goods sold online
  • Concerns over border officials\' ability to share information with rights holders
The report found a strong correlation between IP Protection and private sector R&D spending and an even stronger correlation between IP Protection and innovative output.

It should be noted that although the United States ranks number one in the GIPC Index, the Property Rights Alliance ranked the U.S. seventeenth in its 2014 International Property Rights Index, which aims to quantify the strength of both physical and intellectual property rights.

IP protection is essential to developing innovative solutions and products in any sector, but perhaps even more so in health care. As often noted on the NCPA Health Policy Blog, pharmaceutical innovation in today\'s regulatory environment could not be financed without patent protection.

Protected intellectual property rights drive investment in innovative research and output; it is crucial for the United States to continue to respect them.

 

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