Who we are

The Association for Competitive Technology (ACT) is a global Information Technology (IT) trade association, representing nearly 3,000 member companies worldwide. Almost all of our members are SMEs, for which innovation, research and patent protection are key to developing high-impact, technologically advanced solutions.

Our experience and the CII Directive

ACT has been an active participant, representing SME interests, in the reformation of the US patent system, but our contribution to the debate here in Europe has been minimal. The legislative process on the CII Directive is well underway, but we believe our experience, broad representation and international view can bring a new perspective to the CII debate, even at this stage.  We hope this perspective can help to positively resolve the debate.  This approach is set out below in this short paper for your consideration.  We are available to discuss these issues with you in greater detail at your convenience.

Reframing the CII debate to provide a resolution

  • The debate in Europe is shifting to semantics such as the definition of software, neglecting the directive’s primary objective: to support innovation and creativity in Europe.
  • The debate can be reframed more productively and result in fewer patents all while protecting the incentives for European innovators.
  • To protect the interests of both European innovators and producers, we need fewer patents but it is not appropriate to severely restrict a whole category of patentability such as CII patents.
  • A higher standard (test) for all categories should be applied within the existing framework in order to grant patents only for new, non-obvious and clearly innovative inventions.

A new angle to address the debate: What is it?

We believe it is essential to refocus on the two drivers of this debate

1. The promotion of innovation

2. The interests of SMEs

Europe needs to promote true innovation while protecting the interests of software producers.

The question should be “What is innovative and therefore deserves to be patented?”

To be sure, ACT is calling for fewer patents but this should be accomplished through higher quality patents. This stance represents both the concerns of those SMEs who are “innovators” and those SMEs whose business models rely on innovative solutions.

Europe needs to support the development of SMES.

The second question is then: how best could Europe protect SMEs?

Patents are essential to SMEs on the cutting edge of innovation.

Patents Create:

  • access to capital: venture capital provides a source of funding for research and development and helps SMEs truly innovate;
  • leverage against industry heavyweights, protecting SME inventions;
  • much needed flexibility for SMEs: instead of having to produce and sell their inventions on the market, SMEs can rely on licensing to grow;
  • protection for SMEs’ valuable ideas as they compete in the global economy.

In conclusion

ACT believes that the directive in its current form would harmonize the existing European patent law, promote innovation and protect the interests of SMEs.

–  ACT supports the Common Position agreed by the Council in March 2005, believing that it represents a balanced text and would request your support for that text;

–  ACT would like to see further procedural reform to increase the quality of patents awarded and ensure access to the system by SMEs.