IDEAS home Printed from https://ideas.repec.org/p/nbr/nberwo/27686.html
   My bibliography  Save this paper

Patenting Inventions or Inventing Patents? Continuation Practice at the USPTO

Author

Listed:
  • Cesare Righi
  • Timothy Simcoe

Abstract

Continuations allow inventors to add new claims to old patents, leading to concerns about inadvertent infringement and holdup. We study the use of continuations to obtain standard essential patents (SEPs), a setting where patents are easily linked to possibly infringing technology. Continuation filings increase after standard publication. This effect is larger when patent examiners are more lenient, and for applicants with licensing-based business models. Claims of SEPs also become more similar after standard publication, and late claiming is positively correlated with litigation. Our findings suggest widespread use of continuations to “invent patents” that are infringed by already-published standards.

Suggested Citation

  • Cesare Righi & Timothy Simcoe, 2020. "Patenting Inventions or Inventing Patents? Continuation Practice at the USPTO," NBER Working Papers 27686, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:27686
    Note: IO PR
    as

    Download full text from publisher

    File URL: http://www.nber.org/papers/w27686.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Iain M. Cockburn & Samuel Kortum & Scott Stern, 2002. "Are All Patent Examiners Equal? The Impact of Examiner Characteristics," NBER Working Papers 8980, National Bureau of Economic Research, Inc.
    2. Stuart J.H. Graham & Alan C. Marco & Richard Miller, 2018. "The USPTO Patent Examination Research Dataset: A window on patent processing," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 27(3), pages 554-578, September.
    3. Sam Arts & Bruno Cassiman & Juan Carlos Gomez, 2018. "Text matching to measure patent similarity," Strategic Management Journal, Wiley Blackwell, vol. 39(1), pages 62-84, January.
    4. Carl Shapiro, 2001. "Navigating the Patent Thicket: Cross Licenses, Patent Pools, and Standard Setting," NBER Chapters, in: Innovation Policy and the Economy, Volume 1, pages 119-150, National Bureau of Economic Research, Inc.
    5. Josh Lerner & Jean Tirole, 2015. "Standard-Essential Patents," Journal of Political Economy, University of Chicago Press, vol. 123(3), pages 547-586.
    6. Berger, Florian & Blind, Knut & Thumm, Nikolaus, 2012. "Filing behaviour regarding essential patents in industry standards," Research Policy, Elsevier, vol. 41(1), pages 216-225.
    7. Bekkers, Rudi & Martinelli, Arianna & Tamagni, Federico, 2020. "The impact of including standards-related documentation in patent prior art: Evidence from an EPO policy change," Research Policy, Elsevier, vol. 49(7).
    8. Kang, Byeongwoo & Motohashi, Kazuyuki, 2015. "Essential intellectual property rights and inventors’ involvement in standardization," Research Policy, Elsevier, vol. 44(2), pages 483-492.
    9. Stuart Graham & David Mowrey, 2004. "Submarines in software? continuations in US software patenting in the 1980s and 1990s," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 13(5), pages 443-456.
    10. Wesley M. Cohen & Richard R. Nelson & John P. Walsh, 2000. "Protecting Their Intellectual Assets: Appropriability Conditions and Why U.S. Manufacturing Firms Patent (or Not)," NBER Working Papers 7552, National Bureau of Economic Research, Inc.
    11. Kang, Byeongwoo & Bekkers, Rudi, 2015. "Just-in-time patents and the development of standards," Research Policy, Elsevier, vol. 44(10), pages 1948-1961.
    12. Deepak Hegde & David C. Mowery & Stuart J. H. Graham, 2009. "Pioneering Inventors or Thicket Builders: Which U.S. Firms Use Continuations in Patenting?," Management Science, INFORMS, vol. 55(7), pages 1214-1226, July.
    13. Jeffrey M. Kuhn & Neil C. Thompson, 2019. "How to Measure and Draw Causal Inferences with Patent Scope," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 26(1), pages 5-38, January.
    14. Marc Rysman & Timothy Simcoe, 2008. "Patents and the Performance of Voluntary Standard-Setting Organizations," Management Science, INFORMS, vol. 54(11), pages 1920-1934, November.
    15. Rosemarie Ham Ziedonis, 2004. "Don't Fence Me In: Fragmented Markets for Technology and the Patent Acquisition Strategies of Firms," Management Science, INFORMS, vol. 50(6), pages 804-820, June.
    16. Mark A. Lemley & Carl Shapiro, 2005. "Probabilistic Patents," Journal of Economic Perspectives, American Economic Association, vol. 19(2), pages 75-98, Spring.
    17. Chabé-Ferret, Sylvain, 2017. "Should We Combine Difference In Differences with Conditioning on Pre-Treatment Outcomes?," TSE Working Papers 17-824, Toulouse School of Economics (TSE).
    18. Mark A. Lemley & Bhaven Sampat, 2012. "Examiner Characteristics and Patent Office Outcomes," The Review of Economics and Statistics, MIT Press, vol. 94(3), pages 817-827, August.
    19. Justus Baron & Daniel F. Spulber, 2018. "Technology Standards and Standard Setting Organizations: Introduction to the Searle Center Database," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 27(3), pages 462-503, September.
    20. Ove Granstrand, 1999. "The Economics and Management of Intellectual Property," Books, Edward Elgar Publishing, number 1651.
    21. Harhoff, Dietmar & Scherer, Frederic M. & Vopel, Katrin, 2003. "Citations, family size, opposition and the value of patent rights," Research Policy, Elsevier, vol. 32(8), pages 1343-1363, September.
    22. Bekkers, Rudi & Catalini, Christian & Martinelli, Arianna & Righi, Cesare & Simcoe, Timothy, 2023. "Disclosure rules and declared essential patents," Research Policy, Elsevier, vol. 52(1).
    23. Justus Baron & Kirti Gupta, 2018. "Unpacking 3GPP standards," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 27(3), pages 433-461, September.
    24. Timothy Simcoe, 2012. "Standard Setting Committees: Consensus Governance for Shared Technology Platforms," American Economic Review, American Economic Association, vol. 102(1), pages 305-336, February.
    25. Alan C. Marco & Richard D. Miller, 2019. "Patent Examination Quality and Litigation: Is There a Link?," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 26(1), pages 65-91, January.
    26. Justus Baron & Tim Pohlmann, 2018. "Mapping standards to patents using declarations of standard‐essential patents," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 27(3), pages 504-534, September.
    27. Hall, Bronwyn H & Ziedonis, Rosemarie Ham, 2001. "The Patent Paradox Revisited: An Empirical Study of Patenting in the U.S. Semiconductor Industry, 1979-1995," RAND Journal of Economics, The RAND Corporation, vol. 32(1), pages 101-128, Spring.
    28. Malani, Anup & Reif, Julian, 2015. "Interpreting pre-trends as anticipation: Impact on estimated treatment effects from tort reform," Journal of Public Economics, Elsevier, vol. 124(C), pages 1-17.
    29. Dietmar Harhoff, 2016. "Patent Quality and Examination in Europe," American Economic Review, American Economic Association, vol. 106(5), pages 193-197, May.
    30. Righi, Cesare & Simcoe, Timothy, 2019. "Patent examiner specialization," Research Policy, Elsevier, vol. 48(1), pages 137-148.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Brian J Love & Yassine Lefouili & Christian Helmers, 2023. "Do Standard-Essential Patent Owners Behave Opportunistically? Evidence From U.S. District Court Dockets," American Law and Economics Review, American Law and Economics Association, vol. 25(1), pages 300-337.
    2. Bonani, Michela, 2023. "Essays on innovation, cooperation, and competition under standardization," Other publications TiSEM 1c87d7fc-2c24-430a-9d4e-1, Tilburg University, School of Economics and Management.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cesare Righi & Timothy Simcoe, 2022. "Patenting inventions or inventing patents? Continuation practice at the USPTO," Economics Working Papers 1820, Department of Economics and Business, Universitat Pompeu Fabra.
    2. Cesare Righi & Timothy Simcoe, 2022. "Patenting Inventions or Inventing Patents? Continuation Practice at the USPTO," Working Papers 1320, Barcelona School of Economics.
    3. Cesare Righi & Davide Cannito & Theodor Vladasel, 2023. "Continuing patent applications at the USPTO," Economics Working Papers 1855, Department of Economics and Business, Universitat Pompeu Fabra.
    4. Cesare Righi & Davide Cannito & Theodor Vladasel, 2023. "Continuing Patent Applications at the USPTO," Working Papers 1382, Barcelona School of Economics.
    5. Righi, Cesare & Cannito, Davide & Vladasel, Theodor, 2023. "Continuing patent applications at the USPTO," Research Policy, Elsevier, vol. 52(4).
    6. Harhoff, Dietmar & Brachtendorf, Lorenz & Gaessler, Fabian, 2020. "Truly Standard-Essential Patents? A Semantics-Based Analysis," CEPR Discussion Papers 14726, C.E.P.R. Discussion Papers.
    7. Justus Baron & Tim Pohlmann, 2018. "Mapping standards to patents using declarations of standard‐essential patents," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 27(3), pages 504-534, September.
    8. Baron, Justus, 2020. "Counting standard contributions to measure the value of patent portfolios - A tale of apples and oranges," Telecommunications Policy, Elsevier, vol. 44(3).
    9. Gamarra, Yanis Luca & Friedl, Gunther, 2023. "Declared essential patents and average total R&D expenditures per patent family," Telecommunications Policy, Elsevier, vol. 47(7).
    10. Lorenz Brachtendorf & Fabian Gaessler & Dietmar Harhoff, 2023. "Truly standard‐essential patents? A semantics‐based analysis," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 32(1), pages 132-157, January.
    11. Benjamin Barber & Luis Diestre, 2022. "Can firms avoid tough patent examiners through examiner‐shopping? Strategic timing of citations in USPTO patent applications," Strategic Management Journal, Wiley Blackwell, vol. 43(9), pages 1854-1871, September.
    12. Justus Baron & Jorge Contreras & Martin Husovec & Pierre Larouche, 2019. "Making the Rules: The Governance of Standard Development Organizations and their Policies on Intellectual Property Rights," JRC Research Reports JRC115004, Joint Research Centre.
    13. Gamarra, Yanis & Friedl, Gunther, 2022. "Firms' Involvement in Standardization and Average Total Costs per Patent Family," 31st European Regional ITS Conference, Gothenburg 2022: Reining in Digital Platforms? Challenging monopolies, promoting competition and developing regulatory regimes 265630, International Telecommunications Society (ITS).
    14. Yao, Li & Li, Jun & Chen, Kaihua & Yu, Rongjian, 2024. "Winning the second race of technology standardization: Strategic maneuvers in SEP follow-on innovations," Research Policy, Elsevier, vol. 53(6).
    15. Justus Baron & Cher Li & Shukhrat Nasirov, 2019. "Why do R&D-intensive firms participate in standards organizations? The role of patents and product-market position," Discussion Papers 2019-16, University of Nottingham, GEP.
    16. Kang, Byeongwoo & Bekkers, Rudi, 2022. "The determinants of parallel invention : Measuring the role of information sharing and personal interaction between inventors," IIR Working Paper 22-06, Institute of Innovation Research, Hitotsubashi University.
    17. Kwon, Seokbeom, 2021. "The prevalence of weak patents in the United States: A new method to identify weak patents and the implications for patent policy," Technology in Society, Elsevier, vol. 64(C).
    18. Zhang, Gupeng & Xiong, Libin & Duan, Hongbo & Huang, Dujuan, 2020. "Obtaining certainty vs. creating uncertainty: Does firms’ patent filing strategy work as expected?," Technological Forecasting and Social Change, Elsevier, vol. 160(C).
    19. Bekkers, Rudi & Martinelli, Arianna & Tamagni, Federico, 2020. "The impact of including standards-related documentation in patent prior art: Evidence from an EPO policy change," Research Policy, Elsevier, vol. 49(7).
    20. deGrazia, Charles A.W. & Pairolero, Nicholas A. & Teodorescu, Mike H.M., 2021. "Examination incentives, learning, and patent office outcomes: The use of examiner’s amendments at the USPTO," Research Policy, Elsevier, vol. 50(10).

    More about this item

    JEL classification:

    • K11 - Law and Economics - - Basic Areas of Law - - - Property Law
    • L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:27686. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/nberrus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.