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  • Stratic Advice on Intellectual Property Investment in Asia

    [ 蘇冉 ]——(2005-4-5) / 已閱23023次


    B) Singapore
    A famous case concerning to software copyright is decided on 12th Nov,1996 between the appellants (Creative) and the respondents (Aztech). Because Aztech was proved to copy Creative’s code resource instruction, rewrite it in another source code language, turn the source code into objective code and copy computer program function as well with the help of Dr. Nichol’s powerfully technological test .Aztech had disassembled and copied a substantial portion of the firmware program contained in the microprocessor of Creative's Sound Blaster Card. Creative also claimed that their copyright in TEST.SBC (a program ancillary to and supplied with the Sound Blaster package) had been infringed when it was copied for the purpose of effecting assembly through the running of the DEBUG program. Having resolved the disputes of private study or public use by cyberspace, thinking carefully together with other evidence, the judge of the Court of Appeal supported the appellant’s claims in the end. Unfortunately, this case later resulted in the academic discussion of Copyright Infringement and caused the revising of the old Copyright Act, taking Internet and Cyberspace as a vital account.

    Issue Ⅲ: Current Software Piracy in P.R.C and Singapore
    With no exception, Asia is suffering from the most complicated problem of software piracy. There will likely be a long way to fight against it, demanding the social collaborations.
    A) P.R.C
    In China, by virtue of the increasing public awareness, the involvement of corrupt officials and the more difficulties to access to counterfeited computer software, software piracy is on the decline these years. Based on the latest statistic of 10 sample cities in Southern and Eastern provinces, the pirate US software copies decreased to 45% of the total market However, more ridiculously, a number of pirate peddlers and retailers have quit their existent work and turn to find other jobs instead.
    In respect of the rapid development of Internet, software anti-piracy faces another challenge. As a result, those illegal copying and unauthorized use of copyrighted software, such as pre-installation with hardware and Internet downloading ranks the No.1 means of piracy. Focusing on a particularly problematic area for China-pirated software perhaps software piracy in China is not as pervasive as is normally thought. But, because of Chinese software companies’ juvenility, the biggest victims are not foreign software corporations who lose potential sales to piracy but are local Chinese software companies that are unable to sell enough software to prosper.

    B) Singapore
    According to the Global Competitiveness Report published by the World Economic Forum, Singapore’s annual international IP protection rank has improved consistently from 15th in 2001, to 12th in 2002, and now to 8th in 2003. In 2003, Singapore was rated the most IP protective country in Asia for the second time in two consecutive years by the Political & Economic Risk Consultancy (PERC). For further fight against software copyright piracy, the relevant authorities also have conducted a wide and comprehensive review of the IP laws which dovetailed with the implementation of obligations under the United States-Singapore Free Trade Agreement.

    Issue Ⅳ: Market Potentiality in P.R.C and Singapore
    A) P.R.C
    Obviously, China is not only a large purchasing market but also a large potential labor and entrepreneurial market for software development and service. Transportation in China has turned to be more convenient. There grows up Express Transportation as Fedex, DHL, Ups, etc. To the bottom line, according to International Data Corporation (IDC), packaged software was an approximately US$135 Billion global industry in 1998 (growing 14% through 2002), while the global IT products/services industry reached nearly US$800 Billion (growing nearly 10% through 2002). Many software moguls have classified China as "perhaps the world's most interesting market." .Second, with huge market potentiality hidden in western regions and Chinese inclined economic policies, many foreign software companies positively take advantages of the western regions as the basis, and then spread to the whole country regularly, just like IBM, and Intel. Furthermore, the enactment and actual enforcement of new IPR laws and public embarrassment of pirating manufactures suggests that there’s a future for the software industry in China. Thinking of the old saying “the waters among giants have always been perilous for smaller firms” , the software industry is under the same condition. Smaller firms may be able to find creative service-based methods for entering the Chinese market, though it would certainly need to be a long-term investment. Over time, as China develops credible protections for IPR and begins penalizing violators, smaller foreign companies will be able to justify developing and promoting better products and services in the Chinese market.

    B) Singapore
    Singapore's strategic locations on major sea lanes and industrious population have given the country an economic importance in Southeast Asia disproportionate to its small size. Since independence in 1965,the Singapore Government has adopted a pro-business, pro-foreign investment to explore its economic statute in Asia. The economy rebounded in 2002, up to 2.2% and it is expected to expand by 8%-9% in 2004 with GDP up to $94 billion, driven by the growth in world electronics demand and in the economies of its major trading partners, the US, EU, China, and Japan. As far as I’m concerned, there’re a few reasons to support business in Singapore:(a) Best place to start a business for its No.1 statute in Asia;(b)Close proximity to Regional Markets;(c)Reasonable corporate tax;(d) Efficient and effective manpower;(e) Intellectual Property Protected;(f)Plug-and-Play Environment;(g) Resilient Economy;(h) High standard, comparatively low cost living;(i)Responsive Government;(j) Successful stories.
    Finally, most US investors are attracted by special relation between Singapore and US, especially from the enforcement of FTA. From my research, I’ve learned two particular measures on FTA with US in Foreign Investment and Copyright Protection as follows:
    For foreign investment, Singapore has firstly provided a strong and predictable legal framework for U.S. investors, including direct ownership by U.S. firms of companies, real estate, intellectual property rights, concessions, permits, and debt instruments in Singapore. Furthermore, Singapore treats U.S. investor’s equal rights as domestic investors, offering them due process rights, and recourse in the event of expropriations, that are consistent with U.S. legal principles and practice.
    For copyright protection, Singapore has applied a high level of IPR protection similar to the standard under U.S. law at the beginning. Secondly, in order to accede to international Internet treaties and extend its term of protection for copyrighted works, Singapore began to establish the state-of-the-art protection for copyrights. Third, Singapore ensures that copyright owners maintain rights to temporary copies of their works that others have on their computers, which is vital for protecting software, and text from widespread unauthorized sharing over the Internet. It’s necessary to prohibit, in the absence of the copyright holder’s written request, the production of optical discs (CDs, DVDs, and CD-ROMs) that do not contain a source identification code.

    IssueⅤ: Simple Comparisons between P.R.C and Singapore in Software Investment
    As I mentioned in details before, I’d like to show some charters to inform you more accurate comprehension of software investment in Asia.
    Table Ⅱ :
    Software Copyright Protection in P.R.C and Singapore
    Issues P.R.C Singapore Remarks
    Legal System Civil Law Common Law Singapore follows case law with more unpredictable situations and flexibility.
    Legal Framework Excellent Excellent Both of the two countries signed the same international conventions and created specific domestic laws on Copyright
    Legal
    Implementation Not satisfied Needs further improvement Good Singapore ranks No.1 in the copyright protection field of Asia twice. P.R.C is still regarded as one the cradles of piracy in spite of some achievements.

    Anti-Piracy
    Under Process
    Under Process With many anti-piracy organizations and movements, both P.R.C and Singapore are fighting against piracy. Comparatively speaking, Singapore received more effective results till now.
    Piracy 70% per year 20%-30%

    Civil Remedies Damages, Compensation Damages,
    Compensation Their legal systems are different: P.R.C-Civil law( statute law) and Singapore-Common law(case law)

    Criminal
    Offences Fine
    or 3-7years’
    Imprisonment or both Fine or 5years’ Imprisonment or both Singapore is supposed to enhance stricter punishment, extending the imprisonment period. But P.R.C is said to renew its Criminal Code with lighter punishment.

    Administration Punishments:
    Fine, custody Injunctions It’s due to different legal systems. The common law countries always lacks of administrative punishments, but some interlocutory injunctions.

    Table Ⅲ :

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    論文分類

    A 法學理論

    C 國家法、憲法

    E 行政法

    F 刑法

    H 民法

    I 商法

    J 經濟法

    N 訴訟法

    S 司法制度

    T 國際法


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