Abstract
This IDC study provides an analysis of the intellectual property (IP) indemnification issue from the perspective of current and future IT industry effects. IDC research suggests that the SCO case acted as a catalyst that has recently brought the IP indemnification issue to life.
"A number of IP-related issues have been building for years, and understanding them is important toward setting an appropriate context for IP indemnification and how both vendors and end users will react," said Stephen Graham, group VP, Global Software Business Strategies.
Table of Contents
- Table of Contents
- IDC Opinion
- In This Study
- Methodology
- Executive Summary
- Situation Overview
- Protecting Intellectual Property - A Primer
- End Users Caught in the Crossfire
- The SCO Case
- Table: Open Source Legal Funds
- Indemnification to the Rescue?
- Was the SCO Case the Cause or the Catalyst?
- Software Patents Are a Relatively Recent Phenomenon
- The Number and Proportion of Software Patents Is Rising Dramatically
- Figure: Software Patent Trends, 1976-2002
- Patent Quality Is an Increasing Concern
- Fighting U.S. Patents in Court Is Difficult and Expensive
- The USPTO Incentive Systems Position the Office as Advocate for Patents
- The World Intellectual Property Organization Is Actively Working to Establish Better Global Standards for IP Protection
- Business Methods Are Patentable
- Intellectual Property Is Becoming Big Business
- The Issue Is Broader than Just One Lawsuit
- What Is Indemnification, and Why Should End Users Care?
- Table: Selected Software Vendor IP Indemnification Programs/Policies by Vendor
- The Solution Conundrum
- The Best Coverage?
- The Bottom Line
- What About Insurance?
- Whats the End-User Reaction to All This?
- IT Executives Are Taking the IP Indemnification Issue Seriously; Although a Healthy Dose of Cynicism Definitely Exists
- Figure: Impressions of the Intellectual Property Issue
- The Threat Is There - Especially for Large Organizations
- Figure: Legal Actions Against Respondent Companies
- This Is an IT Management Issue - Not an Open Source Issue
- The Most Knowledgeable Focus on Policy Compliance
- Figure: Knowledge of IP Indemnification
- Cost Is a Major Concern, but Impact on Innovation Tops the List
- Figure: IP Indemnification Issues Rated of High Concern
- Policies Exist, Often Involving Legal Review and Purchase Criteria
- Figure: Status of Indemnification Policies
- Figure: Indemnification Policy Characteristics
- Figure: Top 3 Roles Affecting Indemnification Policies
- Figure: Opinions and Behaviors Around IP Indemnification Practices and Their Effects
- Its Not Clear That Vendors Benefit from Going Beyond the Threshold
- Figure: Minimum Acceptable Threshold Indemnification Offerings
- Future Outlook
- Essential Guidance
- Actions to Consider
- Learn More
- Related Research
- Synopsis
