October 26, 2016
By Robert Burns; John M. Mulcahy; Hala S. Mourad
Innovation in Unmanned Aerial Vehicle (UAV) technologies has surged in recent years, with China establishing itself at the forefront of the industry. A recent study reveals that Chinese companies have emerged as global leaders in patents covering UAV technologies. Since 2011, almost 5,000 UAV-related patent applications have been filed in China. This surpasses applications filed in the United States during the same period by a factor of two. Chinese patent holders include both commercial companies, such as DJI, and leading research institutions, such as Beihang University, Nanjing University of Aeronautics and Astronautics, the Chinese Academy of Sciences, Tsinghua University, Tianjin University, and Zhejiang University.
Originally developed for the military, UAV technology is poised for a historic expansion in the private sector. UAVs are being developed for diverse commercial applications, including delivery, inspection, communications, agriculture, navigation, search and rescue, journalism, and entertainment. Regulatory bodies across the globe are now working to clear the way for these flights. Most recently, the U.S. Federal Aviation Administration issued rules allowing commercial UAVs under 55 pounds to fly in the national airspace.
A UAV can be remotely piloted or programmed to autonomously fly a specific mission. Wherever it flies, the UAV carries with it a payload of potentially protectable intellectual property. For example, the manufacture may obtain utility and/or design patents covering the airframe and rotors; trademark and trade-dress protection for the overall design; utility patents covering the motors, sensors, control systems, and their control software (which may also be copyrighted or kept as a trade secret); and utility patents covering the mission profile itself. While many companies in the military sector have relied on the inherent secrecy of military operations to protect their intellectual property, the public exposure of commercial operations requires a more balanced reliance on all available types of intellectual property protection, including utility and design patents, trademark, trade dress, copyright, as well as trade-secret protections.
While the industry’s use of copyright and trade-secret protection is difficult to monitor, patent filings are more publically accessible and provide the most reliable view of the industry’s future direction. Published patent filings clearly show that commercial companies and research institutions are ramping up their acquisition of UAV-related patents to protect their positions in this emerging market. These patents cover technologies as diverse as the industry itself.
Proposals to use UAVs to deliver packages have received great attention in recent months. Amazon recently patented a system for its Amazon Prime Air delivery system, which includes docking stations placed on existing structures like cell towers and power poles that can serve as temporary resting places to recharge a UAV or provide shelter during bad weather. Google has patented a delivery system in which the UAV communicates verbally to bystanders during its mission, telling them to “stay back!”
UAV technology is also emerging as a tool in the insurance sector. In the U.S., State Farm Mutual Automobile Insurance Company has also obtained a patent on methods and systems for inspecting property damage using aerial imagery provided by UAVs. In China, the National Electric Network Company has obtained patents on methods for inspecting power lines using UAVs.
UAVs are also being developed to connect people to the communications networks. Intel filed a patent for a personal communication UAV that relays data from consumer electronic devices to locations having stronger network connections. Facebook is also working on a project called “Aquila,” which is designed to transmit Internet data using UAVs operating in the stratosphere. Amazon is working on a similar program to transmit data to rural areas.
Other social-media outlets are developing uses for UAVs as well. Twitter filed a patent application directed to a UAV designed to periodically take photographs and videos and post them directly to social-media accounts. The user can use likes, retweets, and replies to control the where the UAV goes and what it photographs and records.
Companies are also developing UAV entertainment systems. The Walt Disney Company has obtained multiple patents on the use of swarms of UAVs to create floating light shows that display lights or images in the sky. Another Walt Disney patent uses UAVs tethered to marionettes to create a puppet show in the sky.
With the diversity of UAV applications in the commercial sector, companies should consider how UAV technology can enhance their business and develop a patent strategy to protect their innovations. In emerging technologies, filing patent applications can serve several benefits. Offensively, the patent holder can sue a competitor that infringes the patented technology for damages and seek an injunction to stop the infringement. Defensively, the patent filing can create prior art that blocks competitors from obtaining their own patents. Patents can also enhance a company’s reputation by establishing it as a major innovator in the field and help show its value to the public and potential investors.
Although many countries still have tight regulatory controls limiting the use of commercial UAVs, companies should plan for the time when those controls will be eased. That planning should include a sound program for the protection of intellectual property of all types. Companies that look to the future will position themselves to take advantage of commercial UAV applications when a clearer regulatory framework inevitably emerges.
Originally printed in China IP News. This article is for informational purposes, is not intended to constitute legal advice, and may be considered advertising under applicable state laws. This article is only the opinion of the authors and is not attributable to Finnegan, Henderson, Farabow, Garrett & Dunner, LLP, or the firm's clients.
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