萬國法律事務所

In an effort to assist domestic enterprises in building their patent portfolios and defense strategies in the competitive international IP market, Taiwan’s Ministry of Economic Affairs is planning to establish an IP Bank (智慧財產權基金公司). The proposed IP Bank is likely to be funded at an amount exceeding NT$ 100 million, and investors may include the National Development Fund (國發基金) and other domestic industrial enterprises.

In view of (i) recent patent infringement battles, such as Sharp v. AUO and Chimei v. Sony, and (ii) government assistance to industrial enterprises in other countries, such as Korea and Japan, the Taiwan Government now plans to systematically assist domestic industrial enterprises in preparing and organizing patent portfolios for the purpose of avoiding difficulties and/or failures in infringement battles. According to the official, the types of enterprises that need to strengthen their patent portfolios include those operating in the photoelectric, semiconductor, smart electrics vehicles and other high-tech industries.

Under this plan, the IP Bank’s intellectual property rights are non-exclusive. If any investor in the IP Bank is involved in any infringement dispute, such intellectual property right can be transferred with consideration to said investor to file a counterclaim. Notwithstanding the above goals, as domestic enterprises frequently compete in infringement matters, said competition will very likely influence the domestic industrial enterprises’ willingness to invest in the IP Bank.