Innovation is the cornerstone of American business. Accounting for over 40 million jobs, intellectual property (IP) protections ensure there is incentive for Americans to keep creating the great products and ideas that keep our economy strong.
Mark Elliot, Executive Vice President of the Global Intellectual Property Center, discusses the role that IP plays in the global economy and how North Carolina’s use of innovation creates opportunity. Louis Foreman, Founder and CEO of Edison Nation, then outlines the economic value of intellectual property and how it can be a tool for inventors and entrepreneurs. Tune in to learn about the importance of protections in the innovative process and the rights of inventors.
Check out the state-by-state economic impact of IP in the Global Intellectual Property Center’s recent study, Employing Innovation.
00:00 Tina Johnson-Marcel: Thanks for joining me for the latest episode of the Business Impact podcast. This episode will focus on innovation, from what drives it to how to protect it. Joining me today is Mark Elliot, executive vice president of the US Chamber's Global Intellectual Property Center, or GIPC. Mark thanks for joining me today.
00:22 Mark Elliott: Happy to be here, thank you.
00:23 TJ: Okay, tell me about GIPC.
00:26 ME: So the Global Intellectual Property Center was established in 2007, and it was in response to a perception that IP was being eroded both in the United States and around the world. And the business community was really concerned, and they asked the chamber to get involved in the debate.
00:49 ME: It has since, I think grown to quite a large organization, and it includes companies who are interested, I think in the patents base, for example, pharmaceutical guys. It includes people who are interested in copyrights, such as the movie studios and the music industry. And it includes folks from the trademark community, such as many of the brands that we all know and love.
01:13 TJ: Great. So what are some of the ways the chamber encourages innovation?
01:18 ME: So we do this a couple of ways. Our view is that intellectual property underpins innovation, so we wouldn't have a lot of the innovation if it weren't for the intellectual property sitting behind it. So, right around the world we help countries develop their intellectual property regimes. And we do this through a variety of measures. We produce something called a Global IP Index, which helps measures the countries against each other and provides a road map for them to develop their systems. And domestically, we support and promote legislation here that helps further support intellectual property and ensure that we've got the most advanced and cutting edge legislation in the world to encourage innovation.
02:01 TJ: Great, great. Innovation has become an all-encompassing phrase to mean everything from new cell phones to new medicines. But what is innovation's impact to society at large?
02:11 ME: I think it's fundamental. Most people don't realize how important intellectual property and innovation happens to be. And I'll give you an example. In the case of medicines, it takes somewhere between 10 and 15 years to bring a new medicine to market. It costs the company somewhere between one and a half to two billion dollars to bring that drug to market, and in many, many cases you have multiple failures before that drug actually gets there. It costs a lot of money, and the only way anyone's ever gonna do that is if people can get a return on investment. You can't get a return on investment unless there's intellectual property protection in place, to give that company time to get a reward on that particular investment. So it is fundamental to almost everything we do, right down to thousands of patents in a single device. A single iPhone has got many patents in the iPhone itself, but depending upon how many apps you have in there, it could have hundreds of patents associated with each of the apps. And so, it's fundamental I think to just about everything we do. …
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