The Biden administration is loosening up federal patent rules, opening the door for high-tech companies backed by the Chinese government to raid American inventions in the highly coveted 5G space, according to a growing chorus of critics.
In the latest red flag on the topic, three GOP senators are also warning that in watering down intellectual property protections, the administration could be jeopardizing national security at a time when China and other potential foes are outspending the United States on 21st-century technology by a mile.
At issue is the Justice Department’s new draft policy on “Licensing Negotiations and Remedies for Standards-Essential Patents Subject to Voluntary F/RAND Commitments.”
The policy covers patents on technology key to 5G, the Internet of Things, and artificial intelligence. Industry officials told Secrets that the new draft would make it impossible to get an injunction to stop anyone from using that patented technology.
In a letter to Attorney General Merrick Garland, Sens. Marco Rubio of Florida, Thom Tillis of North Carolina, and Tom Cotton of Arkansas warned that the policy change could let Chinese firms steal inventions from the U.S.
“By weakening these remedies, your department’s draft statement also sends a signal to infringers in China and elsewhere that they can simply steal critical American intellectual property with impunity,” said the trio in the letter provided to Secrets.
Communist China has made no secret of its desire to lead the world in 5G and other high-tech arenas no matter what it takes.
“To achieve this, China and other competitors are heavily subsidizing innovation in critical technologies to gain the upper hand. Since 2015, China has outspent the U.S. by approximately $24 billion in wireless communications infrastructure, and China’s latest five-year economic plan calls for $400 billion in 5G-related investment. Industry experts have also warned that China may outpace the U.S. in artificial intelligence in several years, which will then be integrated into their military platforms as part of its Military-Civil Fusion, enabling it to overtake our decades-long technology advantage,” read the GOP letter.
The U.S. relies more on private investments, and patents should be strengthened to protect those or industry will find other projects, the senators warned.
Their bottom line: The DOJ “should refrain from taking any steps that would make it more difficult for Americans to innovate amid fierce competition abroad. Further challenges to American innovation will jeopardize national security by disadvantaging and ceding U.S. technological leadership to China and other foreign competitors actively looking to displace the United States as the world leader in critical technologies.”
