Question

Patent protection creates monopolies in software markets. Briefly discuss the pros and cons of the government’s patent policy in this context.

Answer 1

ANS

Patent protection creates monopolies in software markets, patents in any industry are bound to create the monopoly and this may vary in the time period based on the technological advancements in the industry. It depends oon th estuff for which the person is seeking for the patent , if the person is seeking for the patent of codings of the software then the patent might be effective for the long duration but if the person is seeking for the patent of outlook of the software then the effectiveness reduces

The advantages of patents in the software industry is that it protects the creativity of the developer as if patent will not be availabe then anyone can copy the work of developer and due to which the hardwork would not get the required recognition . It creates the monopoly of the software creator by which the software creator decides who will be part of the market . The software patents are based on the common language which is basically derived from mathematics and like all utility patents the securing of software is also essential as to ensure the security of the softwares. It helps to increase the income of the developer who has created the patent as the companies who wants to use the software have to take the permission of the developer. Patent is termed to increase the power of monopoly in comparision to the copyright so it adds to the advantage to the developer.

The disadvantages of having the patent is that in the software market the innovations are regularly happpening and due to which the softwares develop today may become obselete after some time due to more developed innovations in the market . The other disadvantage is that sometimes the software is not that effective and efficient that it would survive in the market or would be having demand in the market, so due to the lack of study of market patent may become unnecessary.