Economic challenges of intellectual property in the digital era: legal, economic and social aspects

Abstract

In the contemporary digital era, nations are engaged in active competition, not solely within the realms of economics, but also in the domain of technology, thus establishing a new paradigm of global power dynamics. Within this framework, the economic, legal, and social hurdles associated with safeguarding intellectual property (hereinafter IP) have witnessed a significant rise. This article aims to examine the economic challenges posed by intellectual property in the digital age, considering the backdrop of intensified global competition and the imperative to maintain national competitiveness across legal, economic, and social dimensions. The article employs a statistical analysis methodology, utilizing intellectual property data obtained from the World Intellectual Property Organization (WIPO) statistics database, specifically the WIPO IP Statistics Data Center. The authors examine cross-border payments and revenues associated with intellectual property exploitation in diverse nations. Furthermore, the study investigates the composition and dynamics of intellectual property across various types (such as patents, industrial designs, trademarks, and utility models) and regions, thereby facilitating an assessment of the competitive landscape and cooperative endeavors among the world's leading countries in the realm of intellectual property. The economic challenges attributed to intellectual property are scrutinized within the context of trade, investment, technological cooperation, and the competitive dynamics involving the United States, China, and the European Union. The findings reveal a notable increase in cross-border payments and intellectual property revenues, reflecting a relatively limited degree of cooperation among the world's prominent regions. This indicates a considerable competitive advantage enjoyed by the United States, European Union, and China. Notwithstanding the US hegemony and leadership within the intellectual property domain, underscored by a protectionist policy aimed at safeguarding IP rights, chiefly through the control exerted by American firms, China is progressively realizing its technological potential. This is evidenced by the escalating patent activities undertaken by Chinese companies. While China, Japan, the United States, and Korea held the foremost positions in terms of the share of Top PCT Applicants in 2022, China is gradually emerging as a leader in the realm of intellectual property. The country's leadership can be attributed to the innovative endeavors pursued by companies operating within the innovation and technology sector, with a notable emphasis on mobile technologies. Over recent years, China has surpassed Japan and the United States in terms of the number of applications filed by companies seeking to secure ownership rights for their inventions, developments, and innovations.