Intellectual Property

Boston College Law School March 14, 2007 Software - Intro, Scope

Software & Hardware

Application Application E.g. MS Word, Netscape Navigator, PS2 Game, etc.

OS Hardware E.g. Windows, Mac OS, PS2 OS E.g. Dell PC, Macintosh, PS2

Software Creation

• Typical steps – (1) Requirements analysis – (2) Architecting / high-level design – (3) User interface design – (4) Writing code – (5) Validation and maintenance

Software Creation

Source Code

} Var {for variable function …} num, count, primes, ….

Begin {of program} {*****initialize var … num :=2;{the prime num … count :=0;{number of pri … times :=0;{number of col … {*****ask user how many … write (‘How many prime … read (primes); writeln; writeln; {carriage returns} writeln; Compile

Object Code

11101001 01111001 00101100 10010000 10010000 11001101 10101011 01000011 01101111 01110000 01111001 01100100 01010010 01001100 01000001 01101110 01100011 00000010 00000100 00000000 10110011 11101001 01111001 00101100 10010000 10010000 11001101 10101011 01000011 01101111 01110000 01111001 01100100 01010010 01001100 01000001 01101110 01100011 00000010 00000100 00000000 10110011 11101001 01111001 00101100 10010000 10010000 11001101 10101011 01000011 01101111 01110000 01111001 01100100

Network Effects

Network Effects

• Definition: where value of a product to one consumer depends on number of other consumers using it • Examples – Actual networks: e.g. telephone, fax machines, instant messaging, etc.

– Standards: e.g. QWERTY keyboard, MP3, etc.

– Compatible products: e.g. VCRs, DVD, computer operating systems, etc.

Costs and Benefits

• Benefits – Competing standards can be inefficient – Lower training costs, portability – Wider selection in complementary markets • Costs – Lock in to suboptimal standard – Issues of market power where standard owned

Competing Strategies

Apps MAI OS MAI OS Hardware MAI Apple Apple OS Apple Microsoft Microsoft

Copyright Protection

• CONTU Recommendations 1978 • 17 U.S.C. § 101. Definitions – “Literary works” are works … expressed in words, numbers, or other verbal or numerical symbols or indicia ….

• 17 U.S.C. § 102. Subject Matter – “(b) In no case does copyright protection … extend to any idea, procedure, process, system, method of operation, concept, ….”

Issues

• Copyrightability – Object Code – Source Code – Non-Literal Structures – Functional Elements – Screen Displays – User Interfaces

Apple v. Franklin

Source Code

} Var {for variable function …} num, count, primes, ….

Begin {of program} {*****initialize var … num :=2;{the prime num … count :=0;{number of pri … times :=0;{number of col … {*****ask user how many … write (‘How many prime … read (primes); writeln; writeln; {carriage returns} writeln; Compile

Object Code

11101001 01111001 00101100 10010000 10010000 11001101 10101011 01000011 01101111 01110000 01111001 01100100 01010010 01001100 01000001 01101110 01100011 00000010 00000100 00000000 10110011 11101001 01111001 00101100 10010000 10010000 11001101 10101011 01000011 01101111 01110000 01111001 01100100 01010010 01001100 01000001 01101110 01100011 00000010 00000100 00000000 10110011 11101001 01111001 00101100 10010000 10010000 11001101 10101011 01000011 01101111 01110000 01111001 01100100

Whelan v. Jaslow

• Dentalab v. Dentcom – Different object code and source code – Similarities in non-literal elements • File structures (how data stored) • Screen outputs (how results displayed) • Five subroutines – Order entry – Invoicing – Accounts receivable – End of day procedure – End of month procedure

Whelan v. Jaslow

• Standard for idea/expression: – “the

purpose or function

of a utilitarian work would be the

work’s idea

, and everything that is not necessary to that purpose or function would be part of the expression of that idea.” • Idea = purpose or function • Expression = everything not necessary to purpose

Whelan v. Jaslow

Main Purpose Program Structure Modules, Data Source Code Object Code No Protection Protected Unless Necessary

Computer Assoc. v. Altai

CA-Scheduler Zeke CA-Adapter CMS MVS VSE IBM 370

Abstraction

Main Purpose Program Structure Modules, Data Source Code Object Code

Filtration

Main Purpose Program Structure Modules, Data Source Code Object Code - Ideas - Dictated by efficiency - Dictated by external factors - Public domain

Comparison

Main Purpose Program Structure Modules, Data Source Code Object Code

Computer Assoc. v. Altai

CA-Scheduler Oscar 3.5

Not Protected Main Purpose Flows from purpose General Outline Dictated by OS or apps P.D. or functional Not copied Services Required Parameter Lists, Macros Source Code, Object Code

Altai Test v. Whelan Test

Altai Whelan Purpose Program Structure Modules, Data Source Code Object Code

Hypothetical

• Facts – You are general counsel to software company – Developing an application – Have obtained source code of competing product – Would like to save time by copying as much as possible • Question – What, if anything, can we copy?

– Giving advice to company’s software engineers

Administrative

• Next Class – Finish V.B.1 – Scope • Class cancellations – Monday, March 19 – Friday, March 30