DIS 605 BY DOROBIN AGOTI REG NO: D61/71443/2008 ICT INNOVATION, LEGAL AND PIRACY ISSUES

Introduction Innovation Can be defined as successful of new ideas. Innovation is one of the most prized intellectual asset. Legal issues This are issues that relate to the IPR and their associated penalties Piracy This is the act of reproducing and distributing a product or service without the original owners permission

ADVANTAGES OF INNOVATION Leads to cheaper products and services Leads to cheaper products and services Leads to better products and services Leads to production of more powerful and convenien t to use products and services Improves productivity time.

Challenges to successful innovations High Economic risks Restrictive Regulatory policies Weak education system. Lack of access to new markets Lack of time to encourage innovation Internal organizational rigidities Lack of qualifies personnel Lack of Financial resources

PIRACY This has been defined as the act of reproducing and distributing a product or service without the original owners permission. This has been identified as one of the major challenges to innovation.

IP PROTECTION AGAINST PIRACY 1. COPYRIGHT 2. PATENT 3. TRADE SECRET

Protection against piracy 1. COPYRIGHT This is meant to protect a particular expression of an idea. It does not prevent others from creating or distributing similar ideas. ‐ Has two schools of th ought Has two schools of thought a) Incentive school b) Openness school 2. PATENT This is meant to allow innovators who make new and non-obvious discoveries to apply for patents that prevent other from practicing their innovation during the lifetime of the patent. 3.TRADE SECRETS This are inform of information that individuals possess and they do not share it widely with others. This do not have fixed life-time and cannot prevent others from using the same idea.

How to encourage innovation Give incentives Improve educational system Increase public awareness Governments should encourage and send signals that encourage innovativeness.

INNOVATION AND IPR ISSUES What are IPRs? IP rights are used to grant rights for ownership and use of ideas. Used to protect the work of any inventor. Enables the inventor to capture portion of innovation’s value in the market. Prevents copying which always gives individuals and organizations option of “free riding” They are used to provide a) Competitive advantage b) Licensing c) Sale or acquisition of assets What the IPRs challenges  They have been created to meet WTO demands instead of local concerns

TRIPS Trade related aspect of intellectual property rights. Generally puts restrictions of the R&D of developing countries Some counties e.g. the US claim that encourages foreign investment hence encouraging technology transfer

NEGATIVE IMPACT OF ICT INNOVATIONS Some of the peer to peer software encourage piracy (although cheaper option in file sharing)

Do IPRs provide enough incentive to innovate Is it worth the resulting monopoly power ? Are developed counties taking advantage of the TRIPS agreement to control the market of developing countries Do governments give enough incentives for innovators.

CONCLUSION Developing countries can harness and effectively make use of ICT to help hasten there development. Governments have a big responsibility in encouraging innovativeness. Although some of the Treaties, developed and signed by the WTO member organizations help control issues related to piracy, it can also be noted that some of the agreements are greatly hampering innovation.

End Q & A Thanks