Nothing raises emotion and conversation in the startup world like a patent. For some people, even thinking about that topic is a waste of time. For others, it’s a great idea that should be popularized in that specific environment. So, could the patent be a game-changer for startups?
In this article, we focus on patents and how they can influence startups.
Some Data
The patent topic in the startup field is fascinating and not that common to study. The latest report focusing on that topic is data from 2019 written by Startup Poland called “Polish Startups 2018.” All the expressions and information we use are from that year – 2018. In Poland at that time, only 18% of startups had patents. Half of them got them in Poland, and the other half in foreign countries, most commonly in the USA.
According to the data, startups that have been on the market for 2–3 years start to think about patents. It’s usually about a hardware company working with MedTech, robots, energy, and electronics. The most interesting information is that there is a strict connection between a patent and the university degree of the founder of a startup. CEOs who have a PhD are more likely to work with universities or other research centers and get a patent.
What Are the Benefits of the Patent?
A patent grants the holder the exclusive right to utilize an invention or technology as detailed in the patent documentation, securing this exclusivity for a designated duration. The validity of a patent is confined to a specific country or region, as is the case with the European Union. International agreements facilitate the registration of the same patent with priority in any covered country, typically 12 months following the initial registration.
Essentially, a patent provides the means to restrict the usage and replication of a particular technology. However, the issue arises with software patents, which, while prevalent in the United States, currently spark extensive debates in Europe. This debate primarily stems from the necessity to reconcile European practices with American standards. Presently, patenting computer programs is not feasible in Europe, reflecting the ongoing discussions and considerations in adapting legal frameworks to accommodate technological advancements.
Why Choose a Patent in a Startup?
The answer to that question is straightforward. Startups use patents to protect their unique solution before copying. Many CEOs think that they don’t need additional protection because their solution is so complicated and complex that no one will figure it out. They would rather focus on looking for new investors or clients than taking care of all documents for patents.
Getting a patent is a tricky question. You can get extra protection, but you have to put so much effort and time into that. On the other side, you never know if someone doesn’t invent something similar and patent this first. The decision is up to you!
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