The Big Story: CHIPS Act takes precedence in USICA developments. The Senate is moving forward with pared-down competitiveness legislation following Tuesday’s procedural vote, which cleared a key procedural hurdle. While the narrower package largely focuses on subsidies for the semiconductor industry, it is also expected to include some of the larger bill’s provisions to increase funding to broadly support U.S. innovation. Senators expect to tee up final passage next week, which would then send the bill to the House for consideration.
Startup News Digest 07/15/22
The Big Story: Hope fades for pro-startup provisions in U.S. competitiveness package. After months of negotiations, Congress has hit another roadblock to advancing a compromise version of two bills aimed at boosting U.S. competitiveness: the Senate’s United States Innovation and Competition Act (USICA) and the House’s America Creating Opportunities for Manufacturing, Pre-Eminence in Technology, and Economic Strength (COMPETES) Act.
Startup News Digest 07/08/22
The Big Story: Copyright Office concludes ancillary copyright protections are not warranted. In a recent report, the U.S. Copyright Office explained why it does not recommend expanding or adopting new copyright-like protections for press publishers. The Copyright Office’s study was rooted in concerns about supporting vitally important local news media, but it focused specifically on whether policymakers should extend copyright-like protections (also known as “ancillary copyright”) to sharing hyperlinks and quoting news headlines or snippets of articles. Last week’s report concluded that it is not clear any new copyright-like protections would solve problems facing press publishers, while those sorts of copyright expansions would have “critical policy and Constitutional dimensions.”
Startup News Digest 06/24/22
The Big Story: Patent policy discussions resurface in D.C. this week. This was an active week for patent policy conversations in D.C., with the Senate, House, and Patent and Trademark Office (PTO) all weighing in. Procedures for reviewing low-quality patents took center stage, with many focused on the role the Patent Trial and Appeal Board (PTAB) plays in the startup and small business ecosystems. It is imperative that policymakers who want to understand the full impact of the PTAB—particularly in regards to U.S. startups—ensure startup voices have an equal seat at the table when the topics are discussed.
IP Recap - 06/15/2022
Standard-essential patents (SEPs) are getting increasing attention in policy debates. For example, the Biden administration recently withdrew a problematic SEP policy from 2019, but has not yet replaced it with anything. In late 2021, federal agencies published a draft SEP policy that signaled promising steps towards restoring balance—balance that could free up more space for innovation, improve the landscape for competition in connected devices and beyond, and promote affordable consumer access to the latest technology. But the nation is still waiting for a decision on that 2021 draft policy, and it remains to be seen what last week’s withdrawal of existing policy without a replacement means. This is a complex area of patent law, which big companies (often foreign companies) dominate. It can feel very opaque to outsiders, but everyone, including startups, has a lot at stake in conversations around balanced SEP policy. Especially as we move towards broader adoption of 5G and Internet of Things (IoT) technology, domestic startups have a vital perspective that has to be accounted for as the government moves towards more balanced SEP implementation and enforcement.
What we heard from startups this Patent Quality Week
The U.S. patent system impacts the lives and affects the work of every person and business across the country—including startups. But when the system becomes too complex or burdensome, when bad actors and invalid patents stand in the way of innovation, the system can block the progress it is supposed to foster. And oftentimes small businesses, the public, and even policymakers are in the dark about the system’s problems, frustrating our ability to solve them. That’s why during our second annual Patent Quality Week, Engine and the Developers Alliance hosted a conversation with startup leaders across the country about the various, sometimes harmful, ways they experience the patent system.
The 101 on Section 101 (and More)
Startup News Digest 05/13/22
The Big Story: Big week for Biden’s broadband efforts. The Biden administration is honing in on broadband expansion this week with new partnerships with Internet providers to ensure low-cost broadband for low-income Americans and the kickoff of a program to make available $45 billion for state broadband initiatives. Reliable, accessible, affordable broadband is crucial to the startup ecosystem and innovators across the country.
Startup News Digest 05/06/22
The Big Story: Administration action easing student loan debt could spur entrepreneurship. With student debt forgiveness back in the news, policymakers have an opportunity to ease the tough road to entrepreneurship, especially for underrepresented founders. Last week, the Biden administration indicated an intent to enact student loan forgiveness in the coming weeks, as millions of borrowers continue to struggle with high federal student debt balances. While the details are still unclear on what exactly forgiveness would look like and who would be eligible, one thing is clear: excessive student loan debt serves as a barrier to entrepreneurship for many.
Startup News Digest 04/29/22
The Big Story: EU advances overhaul of content moderation rules. Early Saturday morning, the European Union reached an agreement on a final version of landmark legislation to govern online intermediaries hosting user content in the EU. The legislation, known as the Digital Services Act (DSA), will build on existing EU law and create new obligations for companies—including startups—that will require additional staff, development of new tools, and attention toward compliance in order to serve users in the EU.
Startup News Digest 04/22/22
The Big Story: Startups should be prominent voice in merger guidelines re-write. This week, Engine submitted comments in response to a request for information (RFI) from the Federal Trade Commission (FTC) and the Department of Justice (DOJ) Antitrust Division on merger enforcement. The agencies issued the RFI in January as they move toward re-writing the merger guidelines, guidance that outlines how the agencies will analyze prospective mergers, which is traditionally relied on by the agencies, companies, and courts alike. Sound merger enforcement that mitigates illegal anticompetitive behavior is important for startup success, but policymakers must balance those potential harms with the benefits of acquisitions. If the new guidelines are too restrictive, they risk burdening legal transactions—including those of startups, thereby limiting startups’ exit opportunities and stemming the flow of capital in the startup ecosystem.
Letter Urges PTO Leadership to Prioritize Startups, Engage Their Voices
Letter Urges PTO Leadership to Prioritize Startups, Engage Their Voices. Today, over fifty startups, entrepreneurs, innovation support organizations, and investors from across the country joined in a letter to the incoming Director of the Patent and Trademark Office (PTO), Kathi Vidal, urging her to engage with the needs and experiences of startups and small business innovators.
The So-Called “SMART Copyright Act of 2022,” and What it Means for Startups
A new bill would make major changes to the way startups that encounter user content—from podcasts to reviews to direct messages—are expected to handle potential copyright infringement online. It would authorize new requirements for startups that encounter user-generated content to use filtering technologies.
Startup News Digest 02/18/22
The Big Story: Over 100 startups, investors, organizations defend QSBS tax treatment. This week, more than 100 startups, startup investors, and startup support organizations sent a letter to Congress urging them to preserve the current tax treatment of Qualified Small Business Stock (QSBS), which helps startups attract early-stage investment and employees.
IP Recap - 02/17/22
Last month, Supreme Court Chief Justice John Roberts issued his annual report on the Federal Judiciary, in part highlighting growing concerns about judicial assignment of patent cases—concerns connected to a rapidly growing number of lawsuits being filed by so-called “patent trolls” in one court in Waco, Texas. This year the Judicial Conference of the United States will study the issue of how judicial assignment policies in federal trial courts are enabling plaintiffs to pick judges in a way that is driving up the volume of litigation and undermining confidence in the system.
Startup News Digest 02/11/22
The Big Story: EARN IT Act moves forward despite concerns from lawmakers, advocates, and industry. A bill moving through the Senate would amend critical Internet legal frameworks that startups rely on to host user-generated content and disincentivize startups from using privacy and security-enhancing measures like encryption.
Startup News Digest 02/04/22
The Big Story: The startup policy priorities for 2022. This week, Engine released its 2022 Startup Agenda, highlighting the policy priorities of the U.S. startup ecosystem and featuring startups across the country explaining the ways policy can support them. As we explain in the agenda, there are startups in every state and every congressional district. There are startups that have all kinds of business models and rely on all types of funding. There are startups that operate in every sector of U.S. industry. And all of them will be impacted by policymakers' decisions across a range of issues.
Startup News Digest 01/28/22
The Big Story: America COMPETES is a mixed bag for startups. The new sweeping House package aimed at boosting American competitiveness and innovation has several provisions that would dramatically improve the startup ecosystem, but the bill also includes an unrelated bill that would harm e-commerce startups.
Startup News Digest 01/21/22
The Big Story: 10 years later, SOPA has lessons for startup policy. This week, we’re reflecting on copyright policy’s past as well as the impact it will continue to have on innovation, and what that all means for high-tech, high-growth startups and the Internet users and creators that depend on them. Engine, alongside many organizations, remembered and commemorated the 10 year anniversary of the defeat of the Stop Online Piracy Act (SOPA) with conversations of what balanced, innovation-friendly copyright policy looks like for startups and small businesses.