Instead of dismissing the Chinese patent system as fatally flawed, foreign companies might be better advised to invest in filing patents in China.
TechInsights attributes the increased Chinese patent activity after 2000 to its Project 909, a national effort to encourage
domestic IC design and production capabilities.
that Chinese chip companies have filed about 90 percent of their patent
applications in China (rather than elsewhere in the world), one can
reasonably assume that these Chinese companies are still young, their focus remaining on the domestic market. TechInsights also pointed out that
none of the companies profiled in its report has enforced patent
rights in U.S. courts.
Still, it's a bad idea to take lightly China's growing interest in pursuing
patents. Domestic chip vendors are positioning themselves to protect
their home market while potentially disrupting global markets.
TechInsights advises clients to invest in “patenting in China to secure
their IP in this large market place as a means of providing market
access and to protect share once it is established.”
reported 400 to 500 fabless chip companies in China, TechInsights
identified Beijing Vimicro Co. (2,445 patents), Spreadtrum
Communications (908 patents) and Shenzhen Zhongxing Microelectronics, a
subsidiary of ZTE Group (588 patents), as the top three Chinese patent
TechInsights analyzed 30
Chinese semiconductor companies, including products, technologies and patents. It found
several companies “showing real promise in moving up the value chain and
competing with Western, Taiwanese and Japanese leaders.” They include
HiSilicon, a subsidiary of Huawei, Spreadtrum and Shenzhen Zhongxing
You can read more about UBM TechInsights' analysis and download the report's table of contents here.
Related links and stories: