Brett McGuire

Brett McGuire: Apples and Droids: Turning Ideas Into IP

In the year 1270, Albertus Magnus, a German physician, astrologer and a master of the black arts, created a living automaton in the figure of a man. Using springs, levers and cogs, his invention was said to move and speak. He called it an android. It is said that when he showed his android to his student, Thomas Aquinas, Aquinas was so frightened that he smashed it to pieces and denounced it as “a tool of Satan and a blasphemy to God”.

The term android was not used again until the 1860s, when it began to appear in US patents about miniature human-like toy automatons. Then in 1977, film director George Lucas introduced the world to the “Star Wars” droids C3PO and R2D2.

Jump forward 30 years and the director’s company, Lucasfilm, is reaping the rewards of a bit of quick thinking. Before “Star Wars” was released, Lucasfilm registered a slew of trademarks, including the newly coined word droid. Today, it is registered for everything from toys and games to mobile phones, computer software, MP3 players, laptops, PDAs, digital cameras and handheld game consoles like Sony’s PSP.

When Motorola announced the launch of its new mobile phone, the Droid, the press was quick to pick up on the association. “This is the droid you’re looking for”, quipped one reviewer, alluding to a scene in “Star Wars.”

This is exactly why Lucasfilm went to such lengths to protect the word invented by George Lucas. They knew that consumers would make a connection to “Star Wars” if anyone else used the word “droid,” even if used on something completely different, like a mobile phone.

Motorola knew it too. It is obvious that the phone’s operating system, Google Android, is the reason Motorola named its phone Droid.

This would not have been possible without Lucasfilm and Motorola reaching some sort of agreement. Registering a trademark gives the owner the exclusive right to use the trademark. Motorola could not use the word droid without Lucasfilm’s consent because Lucasfilm has a trademark registration that covers mobile phones. That’s exactly what Motorola did: it asked Lucasfilm to give it a trademark license.

When it comes to defending its trademarks there is no company feistier than Apple. The technology giant has launched a legal challenge to prevent Australian supermarket retailer Woolworths from registering and using its new logo, arguing it is too similar to its famous Apple trademark.

Apple will have to convince the Australian intellectual property office, IP Australia, that Woolworths’ logo is similar in principle to its own logo and therefore should not be registered as a trademark. However, the retailer has asked IP Australia to register the logo for much more than retail services, its core business. It wants to use it for a wide range of electrical goods typically found in its supermarkets.

It is always worthwhile considering the commercial potential of your intellectual property, even though the potential may not be immediately obvious.

Intellectual property is often the edge which sets successful companies apart. A bit of commercial intelligence can turn an idea into a competitive advantage. Effectively managing intellectual property assets can help maintain a company’s competitive advantage.

These are two examples of how simple ideas can become major commercial issues. Anyone can have an idea. Make sure someone else doesn’t have yours.

Brett McGuire is a consultant for Rouse. His Web site is HAKItree.com/brettmcguire.