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Business of IP Asia Forum 2016
Open Innovation
Udo Meyer, BASF SE
Hongkong
December 1, 2016
Chemicals remains a growth industry –
R&D and IP at BASF
2
Agriculture Health &
nutrition
Energy &
resources
Transportatio...
Open Innovation @ BASF
 Open Innovation is an innovation process within the company, involving
internal and external sour...
Partners in Open Innovation
 Academia: global university network established
 Start-ups: BASF Venture Capital invests an...
Open Innovation and the role of IP –
general considerations
 An IP strategy is part of the business strategy
 IP builds ...
Implications for IP management
 IP specialists need business understanding
 IP specialists need negotiating skills
 IP ...
Expectations
 Closed innovation will decrease even further in a cross-linked industry
environment
 Strong background IP ...
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Open Innovation at BASF

A presentation on open innovation and intellectual property issues by Udo Meyer, BASF, at the Business of IP Asia Forum 2016

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Open Innovation at BASF

  1. 1. Business of IP Asia Forum 2016 Open Innovation Udo Meyer, BASF SE Hongkong December 1, 2016
  2. 2. Chemicals remains a growth industry – R&D and IP at BASF 2 Agriculture Health & nutrition Energy & resources TransportationConstruction & housing Consumer goods Electrical & electronics 1 2 34 6 €1.95 billion 1 Chemicals 11% 2 Performance Products 20% 3 Functional Materials & Solutions 20% 4 Agricultural Solutions 26% 5 Oil & Gas 2% 6 Corporate Research, Other 21% 5 IP strategic targets - Exclusivity - New markets - New technologies - Freedom to operate - Slow competition - Licensing Strategic measures - R&D (own, joint) - M&A (business, IP) IP workstreams - Patenting - Freedom to operate - Opposition,invalidation - Litigation - Trade secrets - Trademarks - Contracts R&D IP figures - Patent portfolio 127.000, - > 1000 priority filings p.a. - Trademark portfolio 60.000
  3. 3. Open Innovation @ BASF  Open Innovation is an innovation process within the company, involving internal and external sources  Open Innovation is • NOT open to anybody • NOT free of cost  Open Innovation itself is NOT a new issue, but its significance has clearly risen • BASF Strategy 2020 focuses on functional materials and systems, products and solutions are increasingly developed with partners • number of R&D co-operations has been increasing for years 3
  4. 4. Partners in Open Innovation  Academia: global university network established  Start-ups: BASF Venture Capital invests and supports  R&D co-operations: with customers and competitors  Benefits and challenges: expansion of market knowledge and technical expectations opportunity to participate in added value of an end product selection of best partner is crucial confidential information of the partner must be kept confidential 4
  5. 5. Open Innovation and the role of IP – general considerations  An IP strategy is part of the business strategy  IP builds own position as background IP before co-operation  IP defines inventions and cooperation results, making them tradeable  Open Innovation leaves the idea of one partner’s monopoly on the basis of patents; the partners rather intend to control and access each other’s IP: this requires change in thinking in conservative industries  An optimum support of own business ideas by IP is only possible if the business model is known and understood  Open Innovation requires more flexibility in using and handling IP (several IP owners, complex use rights) 5
  6. 6. Implications for IP management  IP specialists need business understanding  IP specialists need negotiating skills  IP specialists need fantasy for creative solutions to make co-operations a win/win situation  IP specialists have to reduce complexity of co-operations  IP specialists have to observe exit strategies 6
  7. 7. Expectations  Closed innovation will decrease even further in a cross-linked industry environment  Strong background IP will make companies attractive co-operation partners (materials showing unique properties, smart combinations of known elements)  IP specialists will be an indispensable element of the innovation process  In principle these statements affect big companies in the same way as SMEs 7

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