SusanVillanueva PowerpointPresentationWorkshopSession1

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					Susan D. Villanueva
Senior Partner, CVCLAW
  13 November 2011
Filings by Philippine Inventors

• Invention Patent filings by local inventors or
  entities have not increased
  – 3,224 out of 3,391 (about 95%) patent applications
    filed in the Philippines in 2010 were filed by foreign
    industrial property owners. Only 5% were filed by
    local inventors or entities
    (data from Intellectual Property Philippines Annual Report 2010, page 76.)

  – Philippine filings accounted for
     • 20 PCT International Phase filings worldwide in 2009
     • 19 out of 2,828 PCT National Phase entries in 2008
     (data from 2009 PCT International Patent System Yearly Review
       09.pdf] visited on 25 October 2011)
Filings by Philippine Inventors
• However, utility model and industrial design filings by
  local inventors are higher than filings by foreign inventors
  and designers.

(Statistical Report [] viewed on 24 October 2011.)
  Government is still the driver of
        Philippine R & D

75% of R & D funding comes from government
while only 25% come from the private sector.
Philippine Universities are IP

a. knowledge centers: research is intrinsic part
   of academic life

b. center of R & D activity
   i. Government channels R & D funds to
      state universities and research institutes
   ii. As of 2002, R & D expenditures by
      universities, both public and private,
             amounted to P762.5 million
Philippine Universities are IP
  c.   have human resource with specialized
       i. 4,096 R & D Personnel in Universities (2002
          DOST Data) as compared to 242 in the
          private sector

       ii. 3,516 scientists and engineers in Universities
           as compared to 131 in the private sector
           (2002 DOST Data)
       iii. Of the 66 Ph.d holders in physics in the
            Philippines, 52 are with the academe
       [Dr. Cesar Saloma, Physics in the Philippines Today, at 4 p17p20.pdf
       visited on March 7, 2008]
Philippine Universities and Colleges

 34 state funded universities and 77 state
 1,349 private universities and colleges
 However, only a few have strong R & D
     University of the Philippines, UST, Ateneo, De La
     Salle, TUP, MIT, Mariano Marcos Memorial State
     University, Mariano Marcos       State University,
     Bulacan State University, Mindanao- State-Iligan
     Institute of Technology, Leyte State University,
     San Carlos University, PUP, Adamson University

 [Tansinsin, Lydia G., Development of University-Industry Partnerships for the
 Promotion of Innovation and Transfer of Technology: Philippines]
 The Universities’ Contribution to

a.   DOST data does not measure income from
     University R & D: it only measures expenditures
     and personnel

b.   Few industry-university linkages
c.   No commercialization     of   university   funded

     One Measure: Number of patents applied for by
     Universities remains unsubstantial. The non-
     utilization of the patent system by universities
     makes it appear that innovation is not occurring
     in the Philippine academe
1995-2004 11 patents are registered and approved
          under the university while 32 inventions and
          5 utility models are pending registration

2001            4 patent applications were filed
2002            14 patent applications were filed

2003            8 patent applications were filed

2004            8 patent applications were filed with Phil IPO
                (including PCT applications)

  [Tansinsin, Lydia G., Development of University-Industry Partnerships for the
  Promotion of Innovation and Transfer of Technology: Philippines]
Innovations Are Happening But
Commercialization is Wanting
a.   National Research Council of the Philippines has a
     portfolio of basic R & D outputs that are waiting to be
     transformed into marketable products

     i.    Antidiarrhea capsule made from lagundi extracts

     ii.   Antitumor medicine from bataw seed lectin

     iii. Improved artificial insemination process to
          increase swine production

     iv. Cross breeding technique to improve the breed of
         Philippine Carabao

     v. Software for grassland ecosystem management
                 [R.P. Scientists: Support “lab to market” Scheme at
        visited on March 7, 2008]
• Recognizing that IP is an asset which should be
  maximized to benefit the university or institute
• Basic research as against applied research
• Different incentives: From “publish or perish” to
  “publish and/or patent or perish”
• No exposure to IP: increased awareness
• Lack of infrastructure to pursue IP protection and
• Lack of policy: relationship between university
  and professors, inventors, researchers,
  students, research assistants
Addressing the Challenges

• Establishing an IP policy to establish
  transparent and predictable rules to
  establish incentives, govern relationship
  between the stakeholders, and to
  streamline decision making

• Setting up infrastructure/services that would
  allow the university or institute and other
  stakeholders to protect and commercialize
Technology Transfer Act of 2009

• Makes Government Funding Agencies and R&D
  Institutions partners in promoting innovation
• Provides incentives to R&D Institutions
  – Own the IP rights
  – Share in the revenue
• Provides incentives to researchers
  – Share in the revenue depending on contract
  – Active participation in the commercialization of the
    IPRs, e.g., Spin-off firms
Making the Patent System Accessible
• IPO Programs
   – Free Basic IP Courses
   – Patent Drafting Seminars
   – Patent Agent Qualifying Exam (PAQE) administered in cooperation with
     the European Patent Office (EPO)
   – Innovation & Technology Support Offices (ITSO) Project

• DOST Programs
   – The Technology Application and Promotion Institute (TAPI) created by
     virtue of Executive Order No. 128 on 30 January 1987, is one of DOST's
     service agencies whose primary responsibility is to promote the
     commercialization of technologies and market the services of other
     operating units of the Department.

   – On 28 April 1992, TAPI's function was expanded by virtue of RA 7459
     otherwise known as the "Inventors and Invention Incentives Act of the
     Philippines". Among others, TAPI administers the Invention Development
     Assistance Fund for the initial experiments and prototype development
     and other invention-development related activities.
ITSO Project
• 31 Host Institutions including 26 Universities and
  6 Support Institutions in various regions
• Access to patent libraries
• ITSO personnel are being trained by the IPO to
  facilitate access to global patent information and
  to promote home-grown innovations
  – Patent searching skills
  – Patent drafting and prosecution skills
• Provide support for IP management and
TAPI Programs
•   Academe/Industry Prototype Development Assistance Program - provides
    financial support for the fabrication and testing of commercial prototypes in order to
    shorten the interval between the development stage and actual use of available

•   DOST Expositions and Fairs Program - serves as an excellent platform for the
    multisectoral dissemination, sharing and exchange of scientific and technological
    ideas and information including recognition for exhibits and exhibit materials such as
    product/technology displays, publications, and other promotional items.

•   Investors’ Forum Program - seeks to convert technology-based opportunities into
    actual business investments by bringing together technology generators and potential
    investors to discuss possible new business ventures.

•   DOST Technology Training Center (DTTC) Program - is envisioned to expedite
    technology transfer in the country by providing financial assistance in the preparation
    and conduct of technology training courses, development of training modules and
    production of self-learning videos on specific DOST technologies for the benefit of
    entrepreneurs, technical personnel from industries, inventors, educators and trainers.
    TAPI Programs
•   Intellectual Property Rights (IPR) Assistance Program - provides assistance to
    Filipino inventors in securing intellectual property protection for their inventions and utility
    models. The assistance covers advisory/consultancy services and funding support for
    fees attendant to the preparation, filing and prosecution of applications for patent and
    utility model registration.

•   Industry-based Invention Development (IBID) Program - funds inventions that have
    industrial application. It is implemented through a partnership between the inventor and a
    private enterprise. In this collaboration, the private firm finances the fabrication of one
    prototype of the invention that will undergo testing, debugging, and refining while it is
    being run in an actual industrial environment.

•   Invention Testing and Analysis Assistance Program - grants up to 50,000-peso fund
    to technologists, inventors and researchers to cover cost of laboratory services, analyses
    and performance testing available at the DOST, its R&D Institutes and regional offices,
    as well as other government agencies equipped with laboratory and testing facilities.

•   National Invention Contest and Exhibits (NICE) - provides support to Filipino
    Inventors by bringing their inventions/innovations for public and potential investors’
    appreciation and possible commercialization prospects. It serves as venue to stimulate
    and encourage inventiveness and ingenuity of the Filipino youth and other interested
    sectors of society. The main feature of the celebration is the National Invention Contest
    wherein talented Filipinos compete for awards and prizes in the six categories – the
    Outstanding Invention (Tuklas Award), Outstanding Utility Model, Outstanding Industrial
    Design, Outstanding Creative Research (Likha Award); and Outstanding Student
    Creative Research (Sibol Award) for High School and College Levels.
TAPI Programs
•   Invention Guarantee Fund (IGF) - is another program for Filipino inventors who
    need help in jump-starting the commercial production of their patented inventions.
    IGF guarantees the loans of inventors provided by the government bank. The fund is
    now deposited at the Land Bank of the Philippines.

•   Inventors’ Forum and the Inventors’ Consultation Program - are two avenues by
    which inventors can interact with other experts on various aspects of their inventions.
     –   One is through the Forum, wherein technology experts from DOST, government agencies,
         private sector and fellow inventors are invited to become panelists who shall evaluate, share
         ideas, or clarify some issues or problems that the inventors raise regarding their invention.
         This exchange provides a platform for product development and collaboration among the
         forum participants.
     –   The Consultation Program on the other hand, serves as a feedback mechanism for TAPI to
         know the various issues affecting inventors nationwide. The program carries out regional
         consultations, often dealing with industry problems; likely collaboration with the industry,
         academe and government organizations; and nature, procedure and range of assistance
         which can be extended to the inventors.

•   Inventors Training and Invent School Programs
     –   The Inventors’ Training program subsidizes costs for training that are designed to strengthen
         inventors’ competence in the areas of Intellectual Property Protection, business policies and
         operations, Manufacturing, Research and Development (R&D), and Information Technology.
     –   The Invent School Program (ISP) designed mainly for the youth, creates awareness on
         Intellectual Property Protection and encourages creativity and innovation among students in
         public and private.
            Senior Partner
   11th Avenue corner 39th Street
     Bonifacio Global City 1634
Taguig City, Metro Manila, Philippines
 E-Mail :
      Tel. No.: +632 988 6088
      Fax No.: +632 988 6000
   Mobile No.: +63917 845 0376

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