The mobile application (mobile app) industry has been on a growth tear since the introduction of the first iPhone, and mobile apps will become even more universal with the emerging 5G technology with faster data speeds and lower latency enabling new and improved experiences for users. Mobile app technology is constantly evolving, and it can be challenging to predict future trends and developments. As a patent attorney helping many mobile app startups, I can predict that many unicorns will grow because of their unique mobile app IP. Thus, it behooves mobile app founders to consider the need to protect their go-to-market plans with IP protection, particularly patent protection. If you are a mobile app developer, read on to understand the current and potential trends in patent protection of mobile apps.
Mobile App Patent Cost
The cost of obtaining a patent for a mobile app can vary depending on a number of factors, including the complexity of the app, the type of patent sought, and the attorney’s fees. Here are some general estimates of the costs involved in obtaining a patent for a mobile app:
- Patent Search: A patent search can cost anywhere from a few hundred to several thousand dollars, depending on the complexity of the app and the scope of the search.
- Patent attorney fees: Patent attorney fees can range from a few thousand dollars to tens of thousands of dollars, depending on the complexity of the app and the attorney’s experience and expertise.
- Patent application fees: Patent application fees vary depending on the type of patent sought, with utility patents typically costing more than design patents. As of January 2023, the USPTO fees for a non-provisional utility patent application is around $900 for small entities to $1600 for large businesses.
- Maintenance fees: After a patent is granted, maintenance fees must be paid to keep the patent in force. The fees are due 3.5, 7.5 and 11.5 years after grant.
- International fees: If the application is going to be filed in other countries, additional fees will be incurred.
The patent attorney fees are the biggest part so we break the fees by patent type as follows:
Provisional Patent Cost
Before you put your invention on the market, a provisional patent is a wise investment. This grants you the status of “patent pending” and protects your ideas. This can run anywhere from $3,000 to $10,000 for a patent attorney.
Strategic Timing and Market Agility
Think of a provisional patent as a strategic shield; it marks your territory in the competitive tech landscape before you even launch. By filing a provisional patent, you secure a filing date which is crucial because the patent system operates on a first-to-file basis.
This early date acts as your placeholder in the patent office, giving you the flexibility to further develop and refine your app without the pressure of someone else beating you to the patent punch.
Cost-Effectiveness and Planning
Starting with a provisional patent is more cost-effective compared to jumping straight into a non-provisional patent. It’s significantly cheaper—providing a way for startups, especially those monitoring cash flows closely, to manage costs without compromising on IP protection.
This stage allows you to test the market, seek investor feedback, and gauge the commercial viability of your app. If the feedback is positive and the market response is promising, you can proceed with more confidence to invest in the more costly non-provisional patent.
Building a Buffer for Comprehensive R&D
A provisional patent gives you a 12-month window to refine your app’s features and add enhancements that could make your final patent application stronger. This period is critical for iterating based on user feedback, technology advancements, or changes in market needs.
By the time you file for a non-provisional patent, you’ll have a more robust and detailed application that covers broader aspects of your app, maximizing your chances of patent success.
Securing Investor Interest with “Patent Pending” Status
The label “patent pending” goes a long way in building credibility and attracting investors. It signals that you are serious about protecting your intellectual property and have taken steps to secure your innovations.
Investors are more likely to bet on a company that shows foresight in securing its technological assets. This status can be a key differentiator in funding rounds, making your startup a more attractive investment opportunity.
Flexibility to Pivot or Proceed
The provisional phase isn’t just about protection—it’s also a strategic period that allows you to pivot based on the evolving dynamics of the tech landscape. If new opportunities or insights lead you to alter your app significantly, your provisional application has already saved you from the higher costs of changing a non-provisional patent application.
Non-Provisional Patent Cost
You will need to file a non-provisional application if you are ready to apply for patent protection. This must be done within one year after filing for a provisional or equivalent patent. This application will cost between $10,000 and $20,000, depending on the complexity.
GUI Design Patent cost
Many startups find it just as important to protect their software interface’s design. This can be done by a design patent. If your utility patent application is applicable, it is smart to combine your design patent with a utility license application.
This protects both functionality and appearance of your software. A licensed patent attorney can help you draft your application for a design patent. It will cost anywhere from $2,000 to $5,000
It is important to note that these costs are estimates and the actual costs can vary widely depending on the specifics of the case. It is always recommended to consult with a patent attorney to get an accurate estimate of the costs involved in obtaining a patent for a mobile app.
Breakdown of Costs
The journey to patent a mobile app begins with a detailed patent search. This search is pivotal as it helps ascertain the uniqueness of your app and the likelihood of obtaining a patent.
Depending on the complexity of the technology involved and the databases searched, costs can vary widely. A thorough search by a skilled professional not only increases upfront costs but also reduces the risk of costly rejections down the line.
Following the patent search, you will encounter attorney fees, which comprise a significant portion of the patenting costs. These fees vary greatly based on the attorney’s expertise, the complexity of the app, and the geographical location.
Experienced patent attorneys, while expensive, bring a wealth of knowledge about navigating the patent system, increasing the likelihood of a successful patent grant.
Patent application fees also vary depending on the type of patent application filed. For mobile apps, utility patents are more common than design patents, as they protect the functional aspects of the software.
The initial filing fees set by the USPTO are just the beginning. Should your patent application proceed to examination, additional fees for responses to office actions and potential amendments can add up.
Long-Term Investment in Patenting
Beyond the immediate costs, consider the long-term investment of maintaining a patent. Maintenance fees required by the USPTO at 3.5, 7.5, and 11.5 years post-grant can be substantial.
These fees ensure that your patent remains in force and continues to protect your mobile app throughout its life span. Budgeting for these costs from the outset is crucial for long-term financial planning.
International Considerations
If you plan to market your app internationally, consider the costs associated with filing patents in multiple countries. Each country has its own set of fees for filing, examination, and maintenance, not to mention potential translation costs and local agent fees.
Strategically, deciding where to file is as important as deciding whether to file at all. International patent protection expands your market while significantly increasing your financial commitment.
Why Invest in a Mobile App Patent?
Investing in a patent for your mobile app isn’t just about legal protection—it’s about business strategy. A patent can enhance your startup’s valuation, attract investors, and serve as a barrier to entry for competitors.
The decision to invest in a patent should align with your business goals, competitive landscape, and the innovative aspects of your app.
Why is patenting mobile apps expensive?
Obtaining a patent for a mobile app can be a complex and expensive process for several reasons:
- Complex technology: Mobile apps often involve complex technology, such as artificial intelligence, machine learning, and location-based services, which can be difficult to understand and explain to the patent office. This can require significant time and effort from the patent attorney to draft and prosecute the patent application.
- Prior art search: Conducting a thorough prior art search for a mobile app can be time-consuming and expensive, as it often involves reviewing a large number of patents, publications, and other sources of information.
- Attorney’s fees: Patent attorneys typically charge by the hour, and the cost of obtaining a patent for a mobile app can be high due to the complexity of the technology and the time required to draft and prosecute the patent application.
- International protection: If the patent is going to be filed in other countries, it will incur additional costs such as translation, filing and prosecution fees.
- Legal disputes: The mobile app industry is highly competitive, and patent disputes are not uncommon. If a legal dispute arises, the cost of obtaining a patent for a mobile app can increase significantly due to the cost of litigation.
It’s important to note that these costs are not insignificant and it is important for app developers and entrepreneurs to weigh the costs and benefits of obtaining a patent for a mobile app. Obtaining a patent is not always necessary, but it can be a good way to protect a unique invention or innovation.
Complexity of Mobile App Technologies
Mobile apps often incorporate advanced technologies such as machine learning, complex algorithms, and real-time data processing, which are not only hard to develop but equally challenging to describe in a patent application.
The detailed technical descriptions and claims that are necessary to capture the novelty of such technologies require a high level of expertise from patent attorneys. The more complex the technology, the more time it takes for attorneys to draft a precise and comprehensive patent application, which directly translates to higher costs.
Extensive Prior Art Searches
Due to the rapid evolution of technology and the proliferation of existing software patents, conducting thorough prior art searches for mobile apps is both critical and resource-intensive. These searches need to be extensive to ensure that the app does not infringe on existing patents and to ascertain the patentability of the new invention.
The cost rises with the scope of the search, often involving multiple databases and sometimes international sources, which is necessary to mitigate the risk of expensive legal disputes in the future.
Specialized Legal Expertise
The legal expertise required to navigate the patenting process for mobile apps doesn’t come cheap. Patent attorneys specializing in software and mobile technology typically command higher fees due to their niche expertise.
These professionals are not just drafting a patent application but are also ensuring that it stands up against scrutiny from patent examiners and potential legal challenges.
International Protection Costs
For startups looking to operate on a global scale, securing patent protection in multiple countries can become prohibitively expensive. Each country has its own filing requirements, legal frameworks, and associated costs, including translations and handling fees by local patent agents. The decision to file internationally multiplies the complexity and cost considerably.
Legal Disputes and Enforcement
The competitive nature of the tech industry means that patent disputes are relatively common. The costs associated with defending a patent in legal disputes or enforcing a patent against infringement can exceed the initial patenting costs several times over.
Preparing for such possibilities involves strategic legal planning and potential litigation, which add to the overall cost of obtaining and maintaining a patent.
Is a Software Patent Worth Pursuing?
Whether or not a software patent is worth pursuing can depend on a variety of factors, including the specific features and functionality of the software, the competitive landscape of the industry, and the company’s overall business strategy. Here are some things to consider when deciding whether to pursue a software patent:
- Competitive advantage: Obtaining a patent for unique software can provide a competitive advantage by preventing others from using or selling the software without permission.
- Monetization potential: A software patent can be used to generate revenue through licensing or enforcement.
- Legal protection: A software patent can protect against infringement, which can be useful in a legal dispute.
- Cost-benefit analysis: It is important to consider the cost of obtaining a patent in relation to the potential benefits, such as revenue from licensing or legal protection.
- Patent Eligibility: Software patents have been subject to changes in recent years, and it may be more difficult to get a patent for some software inventions. It’s important to consult with a patent attorney to evaluate the patent eligibility of the software.
- Alternative IP protection: There are alternative ways to protect software such as trade secret, copyright and trademark protection, that may be more cost effective and suitable for certain cases.
In general, it’s important to conduct a thorough cost-benefit analysis and consult with a patent attorney to determine if pursuing a software patent is the best course of action for a particular software invention or innovation.
Protecting Innovation and Securing Market Position
One of the primary reasons to consider a software patent is to protect innovative technology from competitors. A patent grants you exclusive rights to use and commercialize your technology, potentially keeping competitors at bay for the duration of the patent.
This can be particularly valuable in fast-moving sectors where being first to market with a new technology can establish and solidify market leadership.
Enhancement of Company Valuation
For startups seeking investment, holding a patented technology can significantly enhance the company’s valuation. Investors often view patents as a demonstration of the company’s expertise and potential for future growth.
A robust patent portfolio can serve as proof of a serious commitment to protecting valuable innovations, thereby making a startup more attractive to potential investors and partners.
Revenue Through Licensing
Another compelling reason to patent software is the potential to generate revenue through licensing agreements. If a software patent is strong and the technology is desirable, other companies may be willing to pay for the right to use the patented technology.
This can provide a steady stream of revenue without the need for the patent holder to directly market or sell the patented product.
Legal and Competitive Strategy
Holding a patent may also provide strategic legal leverage. In industries where patent litigation is common, holding patents can provide defensive protection; companies with patents can deter infringement suits through the threat of countersuits.
Additionally, in the event of a patent infringement, having a patent allows the holder to take legal action, which can lead to settlements or court-ordered compensation.
High Costs and Complexities
While the benefits are considerable, the costs of obtaining a software patent can be prohibitive, especially for startups and small enterprises. The process is not only expensive but also complex and time-consuming.
The application must clearly and convincingly describe the innovation in a way that meets the stringent requirements of the patent office. This often requires the expertise of experienced patent attorneys, which adds to the cost.
Challenges in Patent Eligibility
The evolving nature of software patent eligibility, especially in jurisdictions like the United States, adds an additional layer of complexity.
Recent legal decisions have tightened the standards for what software-related innovations can be patented, focusing on true innovations rather than abstract ideas implemented through software. This has made it more challenging to secure software patents and defend them in litigation.
Alternative Protection Strategies
Companies must also consider alternative methods of protecting their intellectual property, such as trade secrets, which can sometimes offer more appropriate protection for software.
Unlike patents, trade secrets do not require disclosure and do not expire as long as the secret is maintained. However, trade secrets offer no protection against independent discovery, which is a significant risk in the technology sector.
How to Choose the right Patent Attorney
Choosing a patent attorney with expertise in mobile apps can help to save money when seeking patent protection for a mobile app. A patent attorney with expertise in mobile apps will have a deep understanding of the technical and legal aspects of mobile app patents and be able to provide guidance on the patentability of the app and the best way to claim it. Here are some ways in which choosing a patent attorney with expertise in mobile apps can save money:
- Cost-effective: A patent attorney with expertise in mobile apps will be able to conduct a thorough prior art search, identify any potential obstacles to the patentability of the app and draft the patent application in a way that maximizes the chances of it being granted, which can save money in the long run.
- Prosecution: A patent attorney with expertise in mobile apps will be able to handle the prosecution of the patent application, including responding to any objections or rejections that may be raised by the patent office, which can save time and money.
- Licensing and Monetization: A patent attorney with expertise in mobile apps will be able to provide guidance on licensing and monetization strategies that are tailored to the mobile app industry, which can help to generate revenue from the patent.
- Legal disputes: A patent attorney with expertise in mobile apps will be able to advise on potential infringement issues, and take legal action to protect the patent if necessary, which can save money in the long run.
By choosing a patent attorney with expertise in mobile apps, inventors can increase the chances of their patent application being granted, ensure that their patent is properly protected and monetized, and save money in the process.
Expertise in Mobile App Technology
The technology behind mobile apps often involves intricate software engineering, user interface innovation, and may integrate various technological fields like artificial intelligence or data analytics.
It’s essential to select an attorney who is not just familiar with intellectual property law but also deeply understands the specific technologies that power mobile apps.
An attorney with a background in software development or engineering can often provide more nuanced guidance and anticipate potential challenges in the patent process.
Industry-Specific Experience
Beyond technical expertise, it’s beneficial to work with a lawyer who has experience dealing with patents within your specific industry segment.
Whether your app targets healthcare, finance, entertainment, or another sector, each field comes with its own set of regulatory and intellectual property challenges.
An attorney who has navigated similar landscapes can offer strategic advice tailored to your sector’s unique requirements and competitive environment.
Track Record of Success
Evaluating the track record of potential patent attorneys is crucial. Look into their history of granted patents, particularly those that are closely related to mobile technology.
Reviewing their previous work can give you insight into their effectiveness and familiarity with the type of patent claims that are crucial for mobile applications. A proven track record in successfully defending patents in disputes or licensing negotiations is also a significant advantage.
Communication and Strategy Alignment
Effective communication is key to a successful attorney-client relationship. The right patent attorney should be able to communicate complex legal strategies in understandable terms and keep you informed throughout the patent process.
Furthermore, they should be willing to collaborate closely with your team to ensure that the patent strategy aligns with your business goals. This involves understanding the broader market dynamics and how securing a patent fits into your startup’s growth and funding strategies.
Cost Structure and Transparency
Understanding the cost structure of potential patent attorneys is vital to avoid unexpected expenses. Many attorneys offer a variety of billing arrangements, including flat fees for specific services or hourly rates.
Clear communication about expected costs, including potential additional charges for responding to patent office actions or maintaining a patent, will help in budget planning. Transparency in billing practices is a strong indicator of a trustworthy attorney.
Availability and Personal Attention
Given the importance of timely filings and responses in the patent process, it’s crucial that your attorney is readily available and responsive. Startups in particular need swift and decisive action to protect their innovations. Ensure that the attorney or their firm can offer the personal attention and prompt service your patent application requires.
Client Testimonials and References
Before finalizing your decision, consider reaching out to past clients of the attorney or law firm to gauge their satisfaction and experiences. Client testimonials and references can provide additional insights into the attorney’s working style, reliability, and the overall satisfaction of clients with similar business profiles or needs.
start Your mobile app patent application now!
When to start the mobile app patent application process can depend on a variety of factors, including the stage of development of the app, the competitive landscape of the industry, and the company’s overall business strategy. Here are some things to consider when deciding when to start the mobile app patent application process:
- Timing of Development: It is generally a good idea to start the patent application process as early as possible, ideally before the app is publicly disclosed or released. This is because in many countries, such as the United States, an inventor has a one-year grace period after the first public disclosure of an invention before they lose the right to patent it.
- Competitive landscape: It is also important to consider the competitive landscape when deciding when to start the patent application process. If there are similar apps or patents in the same field, it may be important to start the process early in order to be the first to file a patent application.
- Business strategy: The company’s overall business strategy should also be considered when deciding when to start the patent application process. For example, if the company plans to generate revenue from licensing the app, it may be important to start the patent application process as early as possible in order to have the patent granted before the app is released.
- Provisional application: A provisional application can be filed before the final application, this way you can secure an early priority date and have more time to develop the app.
Ultimately, the timing of when to start the mobile app patent application process will depend on the specific circumstances of the app and the company, and it is important to consult with a patent attorney to determine the best course of action.
Assessing Market Readiness and Competitive Landscape
Before embarking on the patent application journey, it’s essential to assess the current state of your mobile app in terms of development and market readiness. If your app is still in the conceptual or early development stages, rushing into a patent application may not be beneficial. It’s crucial to have a clear understanding of the app’s functionality, potential user interface, and unique features that will set it apart in the market.
At the same time, consider the competitive landscape. If the market shows signs of quickly adopting similar technologies, securing a patent early can safeguard your innovations and potentially keep competitors at bay. This is particularly true in fast-paced industries where being first can often dictate market dominance.
Aligning Patent Timing with Business Strategy
The timing of your patent application should align with your overall business strategy. If you are seeking investors or partners, having a patent application filed can enhance your startup’s valuation and appeal. Investors are more likely to fund a business with protected intellectual property, which promises a competitive edge and shows a commitment to safeguarding your innovations.
Furthermore, consider whether your business model depends on exclusive technology. If exclusivity is key to your business strategy, early patent filing is crucial to ensure that no one else can claim similar technology.
Utilizing Provisional Applications
For many startups, filing a provisional patent application is a strategic first step. This type of application does not require the same level of detail as a non-provisional patent application and provides a way to secure an early filing date.
This can be especially advantageous if you need more time to refine your app or conduct market tests without losing the priority date. A provisional application gives you 12 months to convert it into a non-provisional application, during which you can continue to develop your app and start claiming “patent pending” status, which can deter competitors and attract potential investors.
Developing a Full Understanding of the App’s Potential
As you prepare for patent filing, it’s critical to develop a comprehensive understanding of your app’s potential. This includes exploring all possible future developments and functionality that might evolve from the initial concept.
By doing this, you can broaden the scope of your patent application to cover not just the current version of the app but also future enhancements and iterations.
Consulting with a Specialized Patent Attorney
Finally, it’s advisable to consult with a patent attorney who specializes in software patents and, more specifically, mobile applications. Such a specialist can provide crucial insights into the patentability of your app, help navigate the complexities of patent law, and ensure that your application is as robust as possible.
They can also help you understand the nuances of patent law as it applies to software innovations, which can be markedly different from more traditional fields.
Assessing the Right Moment to File
The timing of your patent application is crucial. Begin by assessing the current development stage of your mobile app. If your app is in the early stages, consider the unique features or processes that are core to its functionality and innovation.
Filing too early may leave you with a patent that doesn’t fully cover subsequent important developments, while filing too late could expose you to the risk of someone else beating you to the patent office.
Aligning with Your Market Entry Strategy
Your patent filing should be perfectly synced with your market entry strategy. If your mobile app introduces a novel functionality or technology, securing a patent early can provide a competitive moat.
This not only protects your innovation but also enhances your appeal to investors and partners who see value in a legally protected product entering a competitive market.
Leveraging the Provisional Patent Application
A provisional patent application is a cost-effective tool that allows you to secure an early filing date without the need for a formal patent claim. Use this time to refine your app and its market strategy.
The “patent pending” status can also serve as a psychological barrier, deterring potential competitors from investing heavily in a similar app while your full patent application is being prepared.
Developing a Comprehensive Patent Strategy
When planning your patent application, think beyond the immediate. Consider how your app might evolve and identify potential future functionalities that could be included in the patent.
Engaging with a patent attorney who understands the trajectory of mobile app technologies can provide invaluable insights, ensuring that your patent application is robust enough to cover future iterations of your app.
Building a Budget for the Patenting Process
Be realistic about the costs associated with securing a patent. These include attorney fees, filing fees, and potentially, the cost of defending your patent once granted. Planning for these expenses from the outset will help ensure that patenting your mobile app remains viable within your startup’s financial constraints.
Consulting with a Specialized Patent Attorney
Finally, consulting with a patent attorney who specializes in software and mobile app technologies is crucial. They will not only guide you through the complex landscape of patent law but also help tailor your application to ensure it meets all legal standards while providing the broadest possible protection.
wrapping it up
In conclusion, navigating the complexities of patenting a mobile app requires a strategic approach tailored to the specific needs and circumstances of your startup. From assessing market readiness to aligning the patenting process with your business strategy, each step plays a critical role in safeguarding your intellectual property and enhancing your company’s market position.
Whether you are at the initial idea stage or preparing for market launch, understanding when and how to file for a patent, and choosing the right patent attorney are pivotal decisions that can impact the success and security of your innovation.
Understanding the costs, potential benefits, and strategic timing of patent applications will equip you with the knowledge to make informed decisions that align with your business objectives. Remember, the goal of securing a patent should not only be about protecting a technical invention but also about enhancing the commercial value of your mobile app in a competitive industry.
Engaging with a specialized patent attorney will help streamline this process, ensuring that your mobile app receives the protection it needs while you focus on growing your business. Thus, starting your patent application at the right time, with the right help, can set the foundation for your app’s success in the market.