The patent disclosure process creates vulnerabilities that allow China to steal IP

The patent process involves several steps that each contain inherent risk. From initial documentation to legal consultations and applying for a patent, each step involves the transfer of proprietary information that can be intercepted or mishandled. For companies pioneering new technologies in highly competitive markets, even the disclosure of 'unimportant' details can lead to significant strategic losses. For example, seemingly innocuous information may help competitors infer a company’s research direction and technological capabilities. 

By necessity, the patent application process involves disclosing proprietary information, often in the form of internal patent disclosures. These documents establish the novelty and scope of an invention and are often shared freely inside an organization and with third parties, such as patent lawyers. This can result in multiple copies of sensitive information existing in the enterprise in email, on laptops and mobile end point or in cloud repositories.

This unprotected and often overlooked information is vulnerable at least until a patent is filed and granted, and can lead to intentional or unintentional leaks and IP-theft. This kind of unnecessary exposure is especially perilous for companies in the manufacturing sector, where detailed technical specifications and process innovations can give companies a substantial competitive advantage if they remain confidential or protected by law.