With a looming reauthorization deadline later this year, Congress has a chance to renew and improve a government funding program that can be critical to startups engaging in costly R&D.
Congress charges ahead on ‘kids’ safety,’ despite tradeoffs
Lawmakers in Congress and in state legislatures are under pressure from parents and advocacy groups to change Internet law to “keep kids safe online”.
The fate of some of the largest broadband subsidy programs, key to bridging the digital divide for all consumers, including startups and their users, depends on the outcome of the Federal Communication Commission (FCC) v. Consumers’ Research case before the Supreme Court.
This blog continues our series called “AI Essentials,” which aims to bridge the knowledge gap surrounding AI-related topics. It discusses what a foundation model is, how startups are leveraging them to drive greater innovation in the AI ecosystem, and what policymakers need to keep in mind.
The Big Story: Congress hears about startups’ need for clear data rules. Lawmakers have turned back to discussions of a federal privacy framework, including at a hearing this week on data security, which featured testimony from Engine focused on how startups need clarity and certainty around data security practices.
The Big Story: SHOP SAFE bill advances despite potential to harm e-commerce startups and small businesses. In a first vote this week, the House Judiciary Committee advanced the SHOP SAFE Act, a bill that would create substantial costs and risks for e-commerce startups—making it harder for them to compete—and erect new barriers for entrepreneurs and small businesses who want to sell goods online.
“Engine is proud to support the Restoring the America Invents Act, introduced today by Senators Patrick Leahy (D-Vt.) and John Cornyn (R-Tex.). This bill would promote patent quality, help stem abusive patent assertion, and repair certain tools startups can and have used to challenge invalid patents. It also reflects the value of high-quality U.S. patents to promote innovation and embodies the balance needed to ensure that low-quality, invalid patents are not so easily weaponized against domestic innovators and small businesses.”
The Big Story: Congress hits roadblock on immigration reform
A potential pathway to citizenship for Dreamers—a group critical to the startup ecosystem—was derailed this week when the Senate Parliamentarian blocked Democrats’ efforts to include immigration reform in the $3.5 trillion reconciliation bill. Many Dreamers are entrepreneurs, and, as a group, they employ over 86,000 individuals across the country. Legislators are now considering alternative proposals to ensure immigration provisions remain a priority.
The following statement is attributed to Kate Tummarello, Executive Director of Engine, regarding today’s introduction of the Unleashing American Innovators Act of 2021.
Statement:
“Engine is proud to support the Unleashing American Innovators Act of 2021, a bill that would expand startup access to the U.S. Patent and Trademark Office’s resources and services. The legislation, introduced by Senators Patrick Leahy (D-VT) and Thom Tillis (R-NC), would lower barriers to entry for underrepresented founders interested in seeking high-quality patents and enhance the PTO’s presence across the country so that the government can do an even better job of meeting innovators where they are at.”
The America Invents Act (AIA), signed into law ten years ago today, was the most substantial update to the U.S. patent system in recent memory. Reflecting on the past ten years reveals the ways in which the AIA has supported startup success but also shows room for improvement.
The Big Story: Global governments complicate content moderation. This week, governments across the globe zeroed in on how companies treat user content online, with several countries advancing policies that would make content hosting and moderation more difficult for Internet companies and hinder free expression online.
A recent court decision confirming limits around patent (in)eligibility also reveals how this area of the law can more quickly resolve cases where weak patent claims are broadly asserted against companies—including startups and small businesses. In PersonalWeb Techs. LLC v. Google LLC, the Federal Circuit applied § 101 of the Patent Act to cancel patent claims which should not have issued in the first place—but were part of a patent that had been asserted in nearly 170 lawsuits against numerous defendants.
The Big Story: Startups should watch as Congress works on reconciliation bill. The House this week moved ahead with two major legislative packages that will have varying impacts on the U.S. startup ecosystem. On Tuesday, the House voted to approve a budget resolution creating a path for Congress to write its $3.5 trillion reconciliation bill, which could include immigration, childcare, and tax provisions. It also set a deadline to vote on the $1 trillion bipartisan infrastructure bill in late September, which includes billions of dollars for broadband expansion.
The Big Story: Patent Quality Week examines startups’ need for balance. Today we close out our inaugural Patent Quality Week where we partnered with numerous organizations to showcase the importance of patent quality from a variety of perspectives and industries.
This week, during the inaugural Patent Quality Week, Engine, the Consumer Technology Association, and ACT | The App Association hosted a webinar to allow more of you to hear directly from these startup leaders across the country about the exciting work they are doing, and about how patents and abusive patent assertion affect their ability to grow and succeed.
Engine has released a new report that outlines why it is so important for the government to prioritize quality and balance when it comes to patent policy.
The Big Story: As Congress pushes ahead on infrastructure, startups stand to gain. Congress has the chance to move the ball forward on an infrastructure package that if passed, would provide billions of dollars for several categories of infrastructure, including roads and bridges, electric vehicles, cybersecurity, and broadband—a major win for startups.
The Big Story: Global leaders land on tax deal that would create certainty for tech. Negotiations on a global tax regime came to a close on Thursday, with 130 countries and jurisdictions—including India, China, and Switzerland—agreeing to a deal supported by U.S. policymakers and technology companies that targets the world’s largest companies.
The Big Story: After marathon markup, House panel advances tech bills. Following a multi-day, contentious markup, the House Judiciary Committee advanced several bills aimed at large tech companies despite concerns from companies, industry groups, and lawmakers on both sides of the aisle that the bills will have unintended consequences—including making it harder for startups to get acquired.
The Big Story: G7 tax deal reached, but faces uncertainty in U.S. Congress. This week, the finance leaders of the G7 countries came to an agreement on a global minimum corporate tax rate of at least 15 percent, which could hinge on the withdrawal of unilateral digital services taxes that disproportionately impact U.S. tech firms. The deal, which comes after years of negotiations in an effort to revamp international taxation, represents a first step in redrafting the rules in how multinational corporations are taxed.
The Big Story: Lawmakers consider SHOP SAFE Act despite outsized impact on e-commerce startups. This week, lawmakers examined the recently reintroduced SHOP SAFE Act, which would place high compliance burdens on e-commerce startups with the goal of deterring trademark infringement. The bill was the subject of yesterday’s hearing held by the House Judiciary’s Subcommittee on Courts, Intellectual Property, and the Internet.
Your privacy is important to us. To better protect your privacy we provide this notice explaining our online information practices and the choices you can make about the way your information is collected and used.
