“難以匹敵的專業觸角” ― ― 麻省理工學院史隆商學院資深講員John Akula先生
“對中國持續變化的創新生態系所做的介紹，引人入勝又充滿洞見” ― ― 哈佛大學醫學院BIDMIC動態生醫指標中心主任 彭仲康博士
○No One Will Remain Unaffected.○
Upon the inception of the US-China trade war, China’s IP regime experienced rapid-fire development. The STAR market and the first patent securitization deal are a few of many developments accelerated by this conflict showing that the market appetite for IP monetization has reached an extraordinary level in China.
Innovation’s Crouching Tiger, like a telescope, is a tool that readers can use to clearly see the cutting-edge developments in China. Equipped with a three-lens methodology and case studies, Dr. Chung offers countless resources to help readers successfully make their own plan of action in this unprecedented time and is the first guide of its kind in English. Now, more than ever, is the best time to take action. To collaborate or to compete.
The concept behind Innovation’s Crouching Tiger originated from the dialogue between Dr. Jili Chung and his colleagues at MIT Sloan School of Management from 2017 to 2018 in Cambridge, Boston. This dialogue was influenced by his colleagues’ diverse backgrounds, with professions ranging from politics, business, and academia and coming from more than 30 countries.
In admiration of Dr. Chung’s experience, the other Sloan fellows frequently consulted him on issues relating to technology innovation in China. Sometimes they had hot debates. But with Dr. Chung’s guidance, they eventually formed their own insights with a broader view of China’s technology development and impact on the world.
From the numerous dialogues, Dr. Chung noticed a pattern, i.e., a significant gap between China’s current status and the global elites’ perception of that status. Most notably, they knew very little about China’s innovation ecosystem.
How did this happen? First of all, the development of the innovation regime in China is so dramatic that even domestic professionals have difficulty keeping up. Second, most of the domain experts have dedicated themselves to hands-on work, leaving no time to organize and introduce the development in clear English.
Most importantly, the global elites are short of an effective tool to observe, filter, and crystalize information about China’s development and its impact on the world. It’s like they are looking at China through a telescope out of focus – no matter how hard they try; they just cannot get their own clear insights.
International elites’ understanding of China is ironically disproportionate to the growth of China in the international arena. As China continues to grow, the widening gap in perception starts to erode the foundation of global cooperation that has been fostering the global economy and prosperity….
The increasing gap in perception inspired Dr. Chung to write this book. China has joined the global technologies and innovation arenas. Each nation may choose to collaborate or to compete, but they cannot afford to wait and see. If global elites have a functioning “telescope”, they could see through the mists and form insights based on their own observations. Eventually, no matter which path they decide to take, human society will benefit from a productive co-competition.
Holding this thought, Dr. Chung was empowered by an analytical framework taught at MIT. As an institute reputable in using scientific analysis on societal studies, its Sloan School uses its own three-lens methodology to diagnose complicated social phenomena. He adopted the underlying rationale and turned the methodology into an effective tool for observing and following the change of China’s innovation regimes. The three lenses, i.e., IP transfer, IP pledge, and IP risk control are used to organize the most intriguing issues and questions asked by other Sloan Fellows, and became the core content of the book.
With this framework, anyone can efficiently grasp the essence of contemporary issues. With Dr. Chung’s clear English, global elite readers will timely and thoroughly expand their understanding of China’s innovation ecosystem to form their own insights on its impact to the world.
．Unprecedented：The first book written for international readers who want to obtain their own insights on China’s innovation regime and IP monetization.
．Structured content：Inspired by the three-lens analytical framework taught at MIT Sloan School, the book organizes content into three dimensions of IP: IP transfer, IP pledge and IP risk control, which can be effectively and precisely understood.
．Profound knowledge in simple language：The opening chapter uses simple concepts and stories to explain profound theories of socialism and historical tracks of China’s innovation regime to enlighten readers with a strong foundation prior to going into deeper analysis. A special chapter crystalizes the essence of the book into actionable strategies, as a quick guidance to help readers formulate their own plans for co-competition.
．Timely surveys, case studies, news summaries with charts and tables：The book covers three independent surveys and five case studies, mining deep into the topics most intriguing to foreign observers. Topics including IP exchanges, AI and big data application in innovation, the new STAR board, and IP securitization deals.
○Readers Who Benefit the Most○
．Young business professionals planning their career paths under the new global economic norm
．Senior business managers shuffling their global technology supply chains around the US-China trade war
．Engineers, scientists, or researchers wanting to apprehend the changes of the global innovation ecosystem resulting from China’s technological growth.
．Think tanks within governments, NGOs, or global institutes deploying their resources in response to China’s developing innovation regime.
．Investors and their agents (bankers, lawyers, accountants) seeking insights on global investment opportunities created by chain reactions from China’s move in innovation.
The first version of this book was published in 2018. Since then, readers from various circles have given high praise and demanded to see more analysis on contemporary issues, such as the US-China trade war, China’s commercial development in emerging technologies of AI, 5G, blockchain, and big data, as well as new norms in the post-Covid-19 era. These demands evidence the readers’ strong confidence in the analytic framework described by the book and an aspiration to understand more about China’s innovation ecosystem. In response to the demands, the replacement and addition of information make up 75% of the new content, which is scheduled to be published internationally on Amazon, covering the US, Canada, the UK, Germany, France, Italy, Spain, India, Japan, Austria, Barisal, the United Arab Emirates, and Singapore, in both electronic and hard copy formats.
“An expert’s touch to the topic that few can match.”
John Akula, MIT Sloan School Senior Lecturer in Law
“An interesting read that provides insights into understanding the ever-changing IP ecosystem in China.”
Chung-Kang Peng, Ph.D., Director of the Center of Dynamical Biomarkers, BIDMC/Harvard Medical School
“Jili has provided an indispensable updated overview of the IP monetization landscape in China.”
Tianpeng Wang, CEO of Trustiics.com
“This book can help to provide lawmakers and policymakers with fundamental theory about the asset value of IP.”
James Hou, Founder of China Intellectual Property Information and Consulting Co.
MIT史隆學者 / 智匯權創辦人
Dr. Jili Chung, MIT Sloan Fellow / Founder of SpringIP
Dr. Jili Chung is a cross-cultural, cross-disciplinary legal professional, professor, and author. He has worked in Washington D.C., Hong Kong, Beijing, Shanghai, and Taipei for global, professional institutes, including Clifford Chance, as its senior lawyer; Goldman Sachs, as its executive director; and a leading company in Apple’s supply chain, as its General Counsel. In addition, Dr. Chung has also founded SpringIP Group, an organization dedicated to fostering innovation of small-to-medium enterprises in Greater China through AI and big data technologies.
He is an MIT Sloan Fellow and obtained his J.D. from UCLA, Ph.D. in Law from Peking University, MBA and BS in Chemical Engineering from National Taiwan University and Master of Technology Management from MIT, with qualifications of attorney-at-law (California and China), patent agent (China), and Certification of Securities Professional (China). He is currently an adjunct professor at Xiamen University in China and a research fellow at East China University of Political Science and Law.
With his 20-years' working experience in Greater China, Dr. Chung dedicates himself to IP-leveraged innovation, and is enthusiastic about exploring values of ancient Chinese cultural heritage and its entanglement in modern, technological innovation.
Part I: Observations
Chapter 1 IP Monetization in China: An Overview
1.1. The Formation of Sizable IP Pools
1.2. The IP Pledge
1.3. The Tracks of Experimentation in Novel IP Financing
1.3.1. The IP pledges
1.3.2. The monetization of future IP
1.3.3. IP monetization through crowdfunding
1.4. The First Patent Securitization Deal is Approved in China
1.5. The Debut of the STAR Market
1.6. The Rise of Legal Tech in IP Monetization
1.7. The Blossoming of New IP Business Models
Chapter 2 Observations From Behind the Scenes
2.1. The Planned Economy and Regulatory Regimes
2.1.1. The color of China’s planned economy
2.1.2. The national IP strategy outline
2.1.3. Regulatory framework
2.1.4. A national campaign promoting innovation
2.2. The Spirit of Experimentation
2.2.1. A speech during Deng Xiaoping's south China tour in 1992
2.2.2. A spirit inherited
2.3. From Quantity to Quality
2.3.1. The IP pledge transaction
2.3.2. A driver of quantitative change
2.3.3. The strong demand for content IP by cultural and creative industries
2.4. The US-China Trade War
Part II: Analysis with Three Lenses
Chapter 3 The First Lens: IP Creation and Transfer – IP In-kind Contribution
3.1. Overview of the In-Kind Contribution
3.1.1. The meaning of innovation and IP monetization
3.1.2. A potential model in China
3.2. Obstacles and Challenges
3.2.1. The increased burden of tax compliance
3.2.2. Special rules for FIEs
3.2.3. CSRC’s retrospective review
3.3. Trends and Insights
3.3.1. Observations from the policy announcement and regulatory actions
3.3.2. The rules continue to move in favor of IP monetization
3.3.3. Implementation rules vary by location
3.3.4. Enhanced scrutiny on publicly-listed companies
Chapter 4 The First Lens: IP Creation and Transfer – Securitization
4.1. Overview of the Practice
4.1.1. Copyright pooling and stockpiling
4.1.2. Creating IP-derived rights
4.1.3. IP creation on the internet
4.1.4. The current securitization platform - crowdfunding and quasi IP securitization
4.1.5. The crowdfunding platform
4.2. Obstacles and Challenges
4.2.1. Regulatory redlines
4.2.2. The IP exchange platform
4.3. Trends and Insights
4.3.1. Clear policies of encouragement
4.3.2. The government’s perspective on quasi securitization
4.3.3. An attitude towards creative monetization
4.3.4. The mobile internet trend
4.3.5. Going from zero to a ten billion-dollar market in 2019
Chapter 5 The Second Lens: IP Pledge
5.1. Overview of the Practice
5.1.1. The current frameworks
5.1.2. Highlights of development
5.1.4. The variety of models
5.2. Obstacles and Challenges
5.2.1. Fading rosy pictures
5.2.2. How to utilize the patent pledge platforms
5.3. Trends and Insights
5.3.1. The precursor to credit asset securitization
5.3.2. The government’s strong commitment to building up the IP monetization regime
5.3.3. New media receptivity and its response to criticism
5.3.4. Mutually reinforcing innovation regimes
5.3.5. Adopting AI technology to ascertain IP’s value
Chapter 6 The Third Lens: IP Risk Mitigation
6.1. Overview of the Practice
6.1.1. The function of IP insurance
6.1.2. Insurance policies available in China
6.2. Obstacles and Challenges
6.3. Trends and Insights
6.3.1. Reinforcing regimes
6.3.2. The emergence of the insurance conglomerate
6.3.3. Indicators of the development stages of innovative industries
6.3.4. IP insurance development is raising awareness about IP protection
6.3.5. Emerging technologies for IP risk management
Chapter 7 Nine Key Points for Success
7.1. Become Familiar with the Rules of the Game
7.2. Develop Win-Win Strategies
7.3. Occupy the High Ground with an Edge in IP
7.4. Utilize Effective Perspectives in Observing Developments
7.5. View the Development of Patent Insurance as an Indicator
7.6. Create a Detailed Contractual Agreement for In-Kind Investment
7.7. Collaborate with Research Institutes
7.8. Attend to Issues Involving FIEs
7.9. Use the STAR Market as a Window
Chapter 8 Stand at the Gateway of IP and Never Be Defeated