| Overview of Intellectual Property Strategy |
| In its quest to become a technology-oriented company, Olympus pursues research and development activities aimed at establishing a leading position in intellectual property rights, based on an intellectual property strategy that is linked with its business and technology strategies. |
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| One goal of Olympus’ intellectual property strategy is to achieve an advantageous balance of patents that places the Company ahead of its competitors in terms of patent portfolio mix. By strengthening our technological capabilities in this way, we will bring to market exclusive products distinguished by their intellectual property content, which will in turn boost earnings and enhance Olympus’ brand and corporate value. |
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| Analysis of Marketability and Market Advantages of Technologies |
| Imaging |
| The digital camera market continues to grow on a global scale. Olympus previously introduced the E-1 digital SLR camera (available by the same name in the United States and Europe), featuring a dedicated digital design incorporating the most advanced optical and digital processing technologies. To expand our business, we have since released the E-300. In addition, the Company has launched its “New Photo Life Solution” business, which seeks to create innovative lifestyle scenarios by integrating imaging, audio, and storage technologies. Going forward, we will strengthen our market competitiveness by further refining our Opto-Digital Technologies and applying them to other products. |
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| Medical |
| Olympus is developing capsule endoscopes to help realize the long-held dream of many doctors and patients for an easier method of endoscopic examination—making it as simple as swallowing a pill. We are working on a wide range of technologies aimed at producing a capsule endoscope for the gastrointestinal tract. These include a multidirectional guidance system that navigates the capsule freely inside the gastrointestinal tract to observe the affected area, a self-propelling mechanism, and a wireless power supply system that drives the capsule endoscope from outside the body. All of these technologies are contributing to major innovations in endoscopy. |
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| Olympus is also engaged in tissue engineering, which uses the natural powers of the body to regain lost tissue. We have already commercialized OSferion, a bone replacement material, and are developing tissue-engineered bone that combinesβ-TCP, the material used to make OSferion, with bone cells, as well as automated cell culture equipment to automate the manufacture of bone. In the future, we plan to expand these technologies to include cartilage and various organs, such as the pancreas and liver, thus contributing to the enhancement of patients’ quality of life. |
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| Life Sciences |
| Olympus’ Opto-Digital Technology also holds great promise as a tool for understanding complex and intricate biological mechanisms. The Company employs the latest technologies to support its research aimed at promoting a healthy lifestyle for all. Here, our technologies cover such areas as single nucleotide polymorphisms (SNP) analysis for investigating a patient’s propensity to fall ill and responsiveness to medication, as well as genome analysis systems for genetic and protein analysis. We also conduct live cell research to more effectively analyze living cells and gain a better understanding of the functions of the human body. |
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| Industrial Systems |
| In the B to B side of its industrial systems business, Olympus draws on its Opto-Digital Technologies to provide a wide range of solutions. Our industrial microscopes are based on a wealth of experience in optical and precision technologies and are leaders in the market, in which devices are becoming smaller and more diversified. Industrial endoscopes allow prompt and efficient observation and testing in a wide range of areas, from maintenance of electric, gas, and water lines to the servicing of plants and jet planes. They are also helpful when searching for victims of earthquakes and other natural disasters, and when probing historic ruins. Olympus will work to improve safety and reliability, while expanding its technological base to include a broad range of commercial equipment, serving as a partner to the growing industrial sector. |
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| R&D and Intellectual Property Organizational Chart, R&D Alliances |
| Olympus’ research and development efforts are conducted at the corporate level by its Corporate R&D Center and Future Creation Laboratory, and by research and development departments that focus on product development at each business group. |
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| Intellectual property management is handled by the corporate Intellectual Property and Licensing Division and by departments established for that purpose within each business group. This enables each group to integrate its business, technology, and intellectual property strategies. Meanwhile, the Intellectual Property and Licensing Division strategically integrates and handles licensing-related activities and administrative tasks. In an effort to enhance the quality and efficiency of intellectual property management, the Company established Olympus Intellectual Property Services Co., Ltd., in April 2005. |
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| In September 2004, ITX Corporation, previously an equity-method affiliate, became a consolidated subsidiary to help expedite business reforms and create new core businesses in the future. ITX Corporation is currently engaged in developing new businesses in the network, technology, and mobile sectors. |
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| Olympus formed the following research and development alliances during the fiscal year under review. |
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Formed an agreement with Matsushita Electric Industrial Co., Ltd. (Panasonic) to jointly develop interchangeable-lens-type digital SLR cameras. |
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Established the Bio-Imaging Lab, together with the Japanese Foundation for Cancer Research, for conducting basic research into the molecular imaging within cancerous cells. |
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Established the Waseda-Olympus Bioscience Research Institute with Waseda University in Singapore’s Biopolis. The new research facility will focus on investigation of higher brain functions, such as intellect and awareness. |
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Bought a majority stake in Celon AG, a German medical instruments company that has developed bipolar radiofrequency technology for application in minimally invasive medicine. |
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| Intellectual Property Acquisition and Management, Trade Secret Management, Policies on Technology Leakage Prevention |
| Olympus’ intellectual property activities are conducted in accordance with guidelines on intellectual property acquisition and management set forth by Japan’s Ministry of Economy, Trade and Industry. To protect business plan confidentiality and vital trade secrets, the Company has formulated “Confidential Information Administration Regulations,” “Technology Leakage Prevention Regulations,” and “Know-How Protection Regulations.” |
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| In addition, Olympus’ employment contracts cover the issue of how inventions are to be handled, and provide incentives in the form of lump-sum payments when patents are applied for and licensed, fee payments based on in-house licensing revenue, and cash awards for patent-related activities. These provisions were revised in April 2005 as a result of consultations between the Company and its inventors in accordance with the amendment of Article 35 of Japan’s Patent Law. The resulting increase in fee payments for inventions that make a significant contribution to the Company’s business adds further incentive for employees engaged in invention-related activities. |
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| 2004 Intellectual Property Report |
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