Patent Issues around Swine Flu Threat

The drug Tamiflu so far is the most effective treatment for combating the threat of

Demand for antiviral increased in 2004 with the threat of the virulent bird flu, and so all 50 states and many other nations now have large enough  stockpiles of the drug for 220 million people. Roche has stated it could ramp up production to 400 million courses a year.

The Obama administration said it would seek $1.5 billion from Congress to combat the threat of a swine flu pandemic and is in talks with Roche about increasing production. Those with high fevers and consistent symptoms within 48 hours of illness are appropriate patients to receive the drug. Other vulnerable populations such as the elderly and home bound are also being considered candidates for the antiviral.

The flu sweeping Mexico and now appearing in several other countries is a strain never seen before by experts; it is a mix of genetic material from humans, birds and pigs. CDC officials told a Senate hearing Tuesday the agency was considering whether to develop a vaccine for just this strain of flu or a combination of flu viruses.

Gilead Sciences, Inc., Foster City, CA, is the patent holder, (Patent #5763483 for oseltamivir) having been assigned it by the five named researchers who invented this particular compound. Gilead Sciences’ patent on oseltamivir will not expire until December 26, 2016. Originally discovered by Gilead, Tamiflu was licensed to Roche for late-phase development and marketing. Roche produces and markets the anti-viral medication oseltamivir (as “Tamiflu®”)

Roche has made 5 million courses of Tamiflu available to the World Health Organization and has licensed other manufacturers to make the drug. Earlier this month, Gilead was denied patent protection for Tamiflu (formally known as oseltamivir) by India’s Patent Protection Office, and so the Indian pharmaceutical maker Cipla Ltd. has since moved its own version of the drug into production.

Similar issues arose with the 2005 avian flu threat, when Taiwan amidst a rising threat and frustrating negotiations with Roche, eventually moved forward with production of a generic version of Tamiflu. As a show of good faith, Taiwan’s National Health Research Institutes did not market the drug and  limited it to public use.  Arguments were that the NHRI could produce the drug more quickly and at lower cost, and being that negotiations fell apart they moved forward with their generic in the interest of their people. These past and present issues raise concern over the handling of these situations by the pharmaceutical Roche, still trying to strongly enforce patent rights abroad when threats are imminent. Only time will tell but let us hope that all parties involved handle the delicate situation and more delicate threat appropriately.

Samsung Writes Check to Spansion for $70 Million

Earlier this afternoon, Spansion announced that it will receive $70 million from Samsung to settle current patent litigation.  The original lawsuit was filed in November 2008, and was centered around flash memory which retains data when an electrical device is turned off.  In addition, the two companies will also license their respective patent portfolios, according to Barron’s.  However, the deal is still subject to bankruptcy court because Spansion has filed for Chapter 11.

The history of the dispute between Samsung and Spansion may only be a few months old, but in that time it has spanned across continents.  Following the Spansion lawsuit in November, Samsung filed a patent infringement complaint last January in Japan.  Yet, both lawsuits will be dismissed in accordance with the agreement, and neither company will admit liability.

Spansion shareholders enjoyed a nice boost after the deal was announced, as shares jumped 70%, to 23 cents.

Apple Issued Solar Power Patent

The U.S. Patent and Trademark Office has just released a series of newly issued Apple patents.  While this may not come as a surprise – as Apple seems to patent something new every week – one of those patents is of particular interest as it applies to solar power technology.

As reported by MacNN, the patent was filed in 2006 and is titled “Portable Devices Having Multiple Power Interfaces.”  The application states that this solar power technology could be applied to a wide variety of devices, from the iPhone to the MacBook.

Before getting too excited about this patent, more details will need to come to light.  Leaving a phone or computer in the sunlight may not be the best idea (especially in high temperatures), so it will be interesting to see how/if Apple integrates this technology into their products.

Tate & Lyle Suffer Sweetener Setback

Tate & Lyle, the sugar and sweetener company, suffered a setback late yesterday when the U.S. International Trade Commission upheld an earlier ruling against the British company.  According to Reuters, the ruling confirms a September 2008 decision that Tate had infringed on patents held by certain manufacturers of Chinese sucralose, a zero-calorie sweetener.

This decision will impact Tate as a fifth of their profits come from the sale of sucralose, which is sold under the Splenda brand name.  It’s rumored that the case against the Chinese manufacturers was filed to test Tate’s patents on the sweetner.

After the decision, Tate stated that they will review that ITC’s ruling and evaluate any appeal options.

Universities Provide Ideas, Receive Licenses

When people think of inventors, often times they focus on individuals, disregarding the support that those inventors may have received along the way.  However, it should not be forgotten how colleges and universities also play an integral part in advancing technology by playing a supporting role.

A recent article on OnlineAthens brought to light how innovations at American universities result in a multi-million dollar business.  For example, researchers at the University of Georgia developed a new type of Bermuda turf grass, named TifSport.  This is so cutting edge, that it will actually be used during the semi-final matches of the 2010 World Cup in South Africa. 

While the listed inventor is Wayne Hannah, UGA was able to speak with industries that may be interested in commercializing TifSport.  Then, UGA was able to license the product and collect large royalties when the product hits the market.  This process is repeated by many colleges and universities throughout the country, and several products can attribute their roots to the collegiate level.

The top 10 list of Universities, as reported by the Association of University Technology Managers, are listed below.  In addition to the name of the school, the list also includes the number of deals they amassed in fiscal year 2007:

1. University of California System – 231

2. University of Washington – 203

3. University of Georgia – 125

4. Massachusetts Institute of Technology – 116

5. Iowa State University – 113

6. North Carolina State University – 106

7. Purdue Research Foundation – 99

8. University of Michigan – 91

9. University of North Carolina, Chapel Hill – 89

10. Stanford University – 88

While this list is impressive, it should be noted that the University of California System actually represents a number of schools and not a single university.

New Ford Engine Patent

A recent patent filing by Ford reveals that the automobile company has developed a new V8 engine.  The application, filed on March 26, describes a pushrod 4-valve per cylinder unit with inboard exhaust and outboard intakes, as well as turbocharging.  As Autoblog.com reported, this engine may actually be the new Scorpion diesel V-8, which will replace the Navistar engines used in Super-Duty trucks.

The application states that this engine focuses on the intake/exhaust layout and valvetrain configuration.  Also, the text of the application implies that this engine could be used for either gasoline or diesel engines.  For further reading on the patent application, click here.

However, this engine isn’t the first with this type of manifolding setup.  Recently, BMW came out with the 4.4-liter turbo V8, and GM produced the 4.5 liter diesel.  However, GM cancelled their model shortly after, as bankruptcy is probably more of an issue for that company than their newest diesel engine.

Pfizer Combating Patent Loss with New Drug

Pfizer knows that the days are numbered for its $1.2 billion drug, Detrol.  With Detrol’s main patent set to expire in September 2012, and patents on Detrol LA due to end between 2012 and 2020, Pfizer is looking to launch a new drug to replace the forthcoming loss of revenue.

As reported by Crain’s New York Business, Detrol is used to fight over-active bladder.  Pfizer’s new drug, Toviaz, is structurally similar to Detrol, but it has two doses instead of one.  Pfizer officials hope this characteristic will give physicians and patients more flexibility in treatment for the drug’s efficacy and tolerability.

The extended-release formulation of Detrol, called Detrol LA, is currently the market leader, with a 49% share.  But Pfizer is hoping Toviaz can take its place, and the company is actually introducing a printed support plan called “YourWay.”   This plan will be handed out to patients with sample packs of the drug tucked inside.  Pfizer is hoping that this idea will drum up awareness for the condition in 10 markets, including Boston and Atlanta. 

We’ll see if it works.

Patent Law Changes Approved by Panel

After all the years of stalemate, it seems as if Congress has finally made some initial progress in their efforts to overhaul the U.S. patent system.  Yesterday, the Senate Judiciary Committee approved potential changes to U.S. patent laws by a 15-4 margin, reports CNNMoney.

One of the changes this bill would bring to the patent system is revising the calculations of damages in patent-infringement lawsuits.  The concept of a “gatekeeper,” to be played by judges, would be introduced and hopefully give judges clearer standards to use when rewarding damages.

However, not everyone is pleased with the bill.  Senator Orrin Hatch, co-sponsor of the Patent Reform Act of 2009, said the he “cannot support a bill that I know does not improve the status quo.”  Senator Jon Kyl complained that the approved revisions to this bill would actually make it easier to challenge patents, while Senator Tom Coburn objected because the bill doesn’t provide funding increases for the USPTO.

Technology and patent law groups have supported the compromised version, and Deputy General Counsel of Microsoft Horacio Gutierrez followed that trend.  He said, “Microsoft is pleased to support the Committee’s efforts and looks forward to more progress in this important matter.”

For those that are unaware, the House of Representatives passed patent law legislation in 2007, but a companion bill has failed to clear the Senate.  That fact may change in the near future.

With Patents Expiring, Eli Lilly Looking for Deals

As the pharmaceutical industry is preparing for the expiration of several key patents, Eli Lilly & Co. is apparently ready to try and diversify their portfolio.  According to Forbes.com, Lilly’s Chief Executive has stated that they will pursue deals that cost between $5 billion and $15 billion, while staying away from any bigger acquisitions.  Lilly will also reportedly stick to acquiring drugs, rather than branching out in the medical device or diagnostic fields. 

This news may not come as a surprise, as the company will lose patent protection for Zyprexa, their best selling drug, in 2011.  Lilly will also lose patent coverage for Cymbalta, Humalog, and Gemzar in 2013.

Any of Lilly’s potential deals will follow what has already been a slew of deals in the pharmaceutical industry.  In January, Pfizer agreed to buy Wyeth for $68 billion.  Meanwhile, Merck & Co. will buy Schering-Plough Corp for $41.1 billion.  Lastly, Roche has paid $46.8 billion in cash to buy the 44% of Genentech that it didn’t already own.

Ford Settles Parts Dispute with LKQ

The automobile-parts recycler, LKQ Corp., has settled their dispute with Ford Motors Co.  The dispute had been filed by Ford over some of their design patents on collision parts, and according to Reuters, this agreement now makes LKQ the only distributor of copies of Ford’s replacement car parts.  The agreement extends through September 20, 2011, which is when Ford’s design patent expires.

More details of the agreement reveal that LKQ will pay Ford a royalty for each part they sell.  The companies also say that they will work together to stop infringement of Ford’s patents, while continuing to compete against each other.

Although I’m not sure as to the extent that these two companies will be able to compete while also protecting Ford’s IP, LKQ definitely seems like they are pleased with the agreement.  As Joseph Holsten, the Chief Executive of LKQ, said in a statement:

As the sole distributor of new non-original equipment aftermarket parts protected by Ford design patents, we will have the sole right to sell these parts in the United States for all of Ford’s models.

Next Page »