FICPI/AIPLA Colloquium, April 2003 PCT Today: History, Status and Projected Growth FICPI/AIPLA Colloquium on Reform of the Patent Cooperation Treaty Where We Are and Where We Are Going Nice, April 8, 2003

FICPI/AIPLA Colloquium, April 2003 Four Aspects to Look at: Historical overview Current status Future projections Some new - and not so new - directions

FICPI/AIPLA Colloquium, April June 1, 1978: the filing of the first PCT applications During that first year: 459 applications received 19 applications published 10 staff members 18 Contracting States: Brazil Madagascar CameroonMalawi Central African RepublicSenegal ChadSoviet Union CongoSweden FranceSwitzerland GabonTogo German (Federal Republic of)United Kingdom Luxembourg United States of America

FICPI/AIPLA Colloquium, April ,048 PCT applications received 144,570 publications and republications 518 staff members 118 Contracting States

Contracting States (118 on 1 January 2003) Albania Algeria Antigua and Barbuda Armenia Australia Austria Azerbaijan Barbados Belarus Belgium Belize Benin Bosnia and Herzegovina Brazil Bulgaria Burkina Faso Cameroon Canada Central African Republic Chad China Colombia Congo Costa Rica Côte d'Ivoire Croatia Cuba Cyprus Czech Republic Democratic People's Republic of Korea Denmark Dominica Ecuador Equatorial Guinea Estonia Finland France, Gabon Gambia Georgia Germany Ghana Greece Grenada Guinea Guinea ‑ Bissau Hungary Iceland India Indonesia Ireland Israel Italy Japan Kazakhstan Kenya Kyrgyzstan Latvia Lesotho Liberia Liechtenstein Lithuania Luxembourg Madagascar Malawi Mali Mauritania Mexico Monaco Mongolia Morocco Mozambique Netherlands New Zealand Nicaragua (6 March ‘03) Niger Norway Oman Philippines Poland Portugal Republic of Korea Republic of Moldova Romania Russian Federation Saint Lucia Saint Vincent and the Grenadines Senegal Seychelles Sierra Leone Singapore Slovakia Slovenia South Africa Spain Sri Lanka Sudan Swaziland Sweden Switzerland Tajikistan The former Yugoslav Republic of Macedonia Togo Trinidad and Tobago Tunisia Turkey Turkmenistan Uganda Ukraine United Arab Emirates United Kingdom United Republic of Tanzania United States of America Uzbekistan Viet Nam Yugoslavia Zambia Zimbabwe

FICPI/AIPLA Colloquium, April 2003 Legal Texts Since 1970 the PCT has gone through: Treaty: 4 versions Regulations: 24 versions Ongoing revision of: Administrative Instructions and about 200 PCT Forms Guidelines for receiving Offices, for PCT Search and Examination Bilateral Agreements with 11 national or regional Offices

FICPI/AIPLA Colloquium, April ,048 international applications received in 2002 Growth in PCT Filings Total: 797,768

FICPI/AIPLA Colloquium, April 2003 PCT Filing by Five-year Periods ( ) 449,973 Total: 797,768

FICPI/AIPLA Colloquium, April 2003 Top 20 PCT Filers 1. PHILIPS ELECTRONICS (NL) 2. SIEMENS (DE) 3. BOSCH (DE) 4. ERICSSON (SE) 5. MATSUSHITA ELECTRONIC INDUSTRIAL (JP) 6. SONY (JP) 7. NOKIA (FI) 8. 3M (US) 9. BAYER (DE) 10. PROCTER & GAMBLE (US) 11. BASF (DE) 12. INFINEON (DE) 13. MITSUBISHI (JP) 14. HONEYWELL (US) 15. INTEL (US) 16. MOTOROLA (US) 17. IBM (US) 18. QUALCOMM(US) 19. UNIV. OF CALIFORNIA (US) 20. SUN MICROSYSTEMS (US)

FICPI/AIPLA Colloquium, April 2003 Top 10 PCT Filers From Developing Countries 1. COUNCIL OF SCIENTIFC AND INDUSTRIAL RESEARCH (IN) 2. SAMSUNG ELECTRONICS CO. LTD. (KR) 3.BIOWINDOW GENE DEVELOPMENT INC. (CN) 4.LG ELECTONICS ING. (KR) 5.HUAEI TECHNOLOGIES CO., LTD. (CN) 6.RANBAXY LABORATORIES LIMITED (IN) 7.LG CHEM LTD. (KR) 8.SAE MAGNETICS (H.K.) LTD. (CN) 9.NATIONAL UNIVERSITY OF SINGAPORE (SG) 10. PHILIPS ELECTRONICS SINGAPORE PTE LTD. (SG)

FICPI/AIPLA Colloquium, April 2003 PCT Fees Basic & maximum designation fees (including PCT-EASY reduction of CHF 200 since 1999)

FICPI/AIPLA Colloquium, April 2003 Average Fee Per Application (15%) (4%) (9%) (9%) (7%) Percentage decrease

FICPI/AIPLA Colloquium, April 2003 Projected PCT Applications (7%) (10%) (10%) (9%) (6%) (6%) (6%) Percentage increase

FICPI/AIPLA Colloquium, April 2003 Combine: Basic fee650 Designation fees700 Handling fee233 Total 1,583 Reduce as much as economically reasonable Result: current proposal for flat international fee=1,530 Reduction of 3.3% Projected New Fee Structure Current Proposal For a Flat International Fee

FICPI/AIPLA Colloquium, April 2003 Conceptually: Flat fee=Basic fee unchanged Handling fee unchanged 4.76 designations Average designations: US: 4.99 JP: 4.33 EP: 4.82 Other: Total: 4.85 Impact of New Fee Structure

FICPI/AIPLA Colloquium, April 2003 In comparison with handling fee: previously discretionary (only payable with Ch.II demand) now moved forward and mandatory In general: Minor impact: US and EP More significant impact: JP Impact of New Fee Structure

FICPI/AIPLA Colloquium, April 2003 PCT Electronic Filing (PCT-SAFE)  Background: PCT-EASY software – approx. 40% of all PCT applications filed – 10,000 registered users – fee reduction available for use  PCT electronic filing project in 2001 “PCT-SAFE” (Secure Applications Filed Electronically) based on PCT-EASY and EPOline – Promulgation of the PCT Administrative Instructions to enable PCT e-filing (Dec. 2001) – Agreed standards for the electronic filing and processing of PCT applications (Dec. 2001) – Pilot began Nov – E-filing at RO/IB before end 2003

FICPI/AIPLA Colloquium, April 2003 Strategic Management and Thinking Take the pulse of the PCT on a regular basis Identify means to anticipate problems Imagine solutions Define best practices, methodologies Identify trends and patterns and analyze them

FICPI/AIPLA Colloquium, April 2003 External Legal Relations Establish enhanced channels of communication and exchanges with Offices Provide legal advice to Contracting States and potential Contracting States Increase outreach to PCT users, user groups and potential users

FICPI/AIPLA Colloquium, April 2003 Legal Services Explore innovative ways to continue to provide quality information to PCT users Expand the information resources on the PCT website Provide legal advice on specific PCT cases Develop new PCT training tools and methods Continue to improve the quality and usability of PCT publications Focus on implementation of PCT Reform

FICPI/AIPLA Colloquium, April 2003 Operations Implement a new workflow structure Collaborate on the development and deployment of an office automation system (IMPACT) and PCT-SAFE electronic filing Prepare for the move to a new building Support the continued growth of the receiving Office of the International Bureau

FICPI/AIPLA Colloquium, April 2003 Thank you