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The
Ministry of Economy, Trade, and Industry established the “Study Group
on the Legal Protection of Software and Promotion of Innovation” from
the standpoint of promotion of innovation in the software sector. The
Study Group has examined what intellectual property rights in the
software sector should be and what actions could be taken by industry.
On October 11, the Interim Report of the Study Group on Actions to
Promote Software Innovation was compiled, based on discussions of the
Study Group.
- Main points of the “Interim Report” (PDF: 44KB) (for further information, please refer to the actual report)
- As
seen in operating systems, middleware and application software,
software has a multi-layered structure, in which upper-level software
functions are based on lower level-software. As a result, functions of
lower-level software must be utilized for the development of
upper-level software.
- A software component can fulfill its functions only by communicating with other related components. (communication structure)
- There
is a locked-in effect associated with software, whereby a principle of
behavior beyond product performance and competition comes to rule the
market if specific software vendors of information technology systems
become dominant.
- In
the software sector, which is multilayered, communication-enabled and
with a tendency to have a locked-in effect on users, the granting of
patents may create unduly powerful exclusive rights. The rights
generate adverse effects on innovation because of inhibited competition.
- While
the majority of patents are exercised according to the original intent
of the patent system, approaches taking the characteristics of software
described above into consideration should be taken when constructing
legal systems and environments.
- The
forthcoming legal response is to establish “Rules for Economic
Transactions in the Market”, specifying that activities by patentees to
restrict transactions of third parties against public welfare for the
purpose of maximizing their monopolistic powers, such as acting to
impede communication (Interoperability) between software can constitute
an abuse of rights.
- Industry
could consider the propagation of some concept along the lines of
“Creative Commons.” Action should be taken to popularize, through
agreements among enterprises, the business practices of mutual
non-assertion of rights to such patented inventions as relating to
certain categories of software, such as OSS, or to interoperability of
software, thereby making this concept the standard in the public domain
by utilizing the current patent office.
- Moreover,
the compulsory licensing system and the enhanced application of the
antimonopoly law are considered as further issues to be studied.
Schedule
| Around November | to hold the 4th meeting of the study group |
| After December | to hold another meeting if necessary |
| Next Spring | to compile the Final report |
- Call for Comments
METI accepts comments about the “Interim Report” from the public by postal mail,
e-mail or fax.
This Call for Comments is not the same as public consultations. The
purpose of this procedure is not to incorporate the comments submitted
into the “Interim Report,” but rather to utilize these comments as a
basis for future discussions in the Study Group.
Address:
Information Services Industry Division
Commerce and Information Policy Bureau
Ministry of Economy, Trade and Industry (METI)
1-3-1 Kasumigaseki, Chiyoda-ku, Tokyo 100-8901, JAPAN
E-mail: soft-chizai@meti.go.jp
Fax:
+81-3-3580-6073
 Interim Report (PDF: 44KB)
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