Good morning, Director-General Francis Gurry; good morning, everyone. On behalf of the host IP office, I d like to welcome you all to Japan.

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30th Anniversary of the Funds-in-Trust Japan WIPO High-Level Forum on Utilizing the Intellectual Property System for Economic, Social and Cultural Development (Introduction) February 22, 2018 Naoko Munakata JPO Commissioner Good morning, Director-General Francis Gurry; good morning, everyone. On behalf of the host IP office, I d like to welcome you all to Japan. (Purpose of Forum) This Forum is being held to mark the 30th anniversary of WIPO s establishment of the Funds-in-Trust Japan. Along with the social transformation that has occurred over that time, the IP systems of our respective countries too have changed and advanced. I would like to take this opportunity to pay tribute to Francis, WIPO officials, and IP Office leaders for their dedicated efforts over the years. One of those tireless WIPO officials is Assistant Director General Yoshiyuki Takagi, who joins us here today. Having started out as a JPO patent examiner, Yo has been part of the WIPO team for more than 20 years now, making a significant contribution to the development of the world s IP information infrastructure. There are many young and middle ranking officials from the JPO who are following in Mr. Takagi s footsteps and making full use of their JPO experience at WIPO. One of them is Mr. Kenichiro Natsume, Director of the PCT International Cooperation Division. 1

The JPO will continue to work with WIPO on the human resource front by providing Japanese staff such as the fine examples of Yo and Ken. *** Since I was appointed Commissioner of the JPO in July last year, I have had many chances to exchange views with the heads of other IP offices around the world. One thing that has impressed me is the strong interest of IP office commissioners from the emerging and developing countries in IP utilization and commercialization, and their dedication to achieving this, as a means of advancing their countries. We in Japan are still struggling on how to commercialize IP effectively. In fact, I can see that we all are facing similar challenges. With the sphere of interest widening from development of IP systems to the commercialization of IP, the utilization of IP information in business strategies, and IP education for young people, for example, we believe that Funds-in-Trust Japan cooperation too should take on the challenge of new areas. The themes of this Forum reflect this broader sphere of interest, and I look forward to the insights that I am sure will emerge on new directions for international cooperation. (Forum program) To briefly outline the Forum program, we will open with a keynote speech by DG Gurry on WIPO s development cooperation. This will be followed by panel discussions on four themes, and the Forum will conclude with a Round Table in which everyone joins the discussion. (Theme 1) Theme 1 deals with how our various IP systems have developed in line with the changing times. 2

To take the example of a couple of Japanese initiatives, we recently led the world in issuing a commentary on hypothetical cases of IoT-related invention examinations. We have also established patent classifications to make it easier to search IoT-related inventions, and have proposed that these be commonly used as part of International Patent Classification. (Theme 2) With Theme 2, we invite discussion on IP policies that promote innovation. In the JPO s case, we send examiners out to promising universities to help lift the level of university IP management. A bill has also been submitted to the current Diet session to halve all patent fees for small and medium enterprises. (Theme 3) Theme 3 focuses on national strategies for utilizing ICT to improve IP systems, examining two key points. The first of these is modernization of patent office services. The JPO led the world in introducing electronic filing in 1990, and has continued to be an early adopter of new technologies. We are currently working on using AI for patent classification and prior art searches. The other ICT issue concerns the use of IP information in business strategies. Here I would like to introduce the example of a Japanese company, a manufacturer of photographic film. The spread of digital cameras forced the company to the brink of decline. Rather than give up, however it ran an IP information analysis to find ways of utilizing its existing technologies to develop new business lines. Even as other firms from the same industry closed their doors, this company has achieved major growth in new areas such as medical equipment and cosmetics. 3

To encourage more companies in this direction, we are currently examining whether we can use AI to provide a new service that analyzes IP information and advises SMEs on their business strategy. (Theme 4) Theme 4 is human resource development. One issue here is training IP office staff and other government agency staff involved in the operation of IP systems. In this regard, the JPO has developed a systematic HRD program to equip not only examiners and trial examiners but all its staff with the necessary capacities for operating IP systems. Based on that program, we have also extended HRD assistance to other IP offices where requested. Many emerging and developing countries have been actively increasing examiners, launching substantive examinations, and becoming involved for the first time in international searches. The JPO provides assistance in developing training programs and has also formed a group of highly experienced patent examiners to provide practical training. This year we plan to double the size of the group in response to requests from developing countries who now want to start training their own trainers. The second HRD issue is training users of IP systems. The JPO has been holding training sessions for industry IP personnel since 2004. We also send out JPO staff to universities to provide IP education. (Round Table session) 4

Finally, at the Round Table session, we envisage the discussion ranging beyond the issues dealt with in the earlier panel discussions to address the use of IP systems and international cooperation for economic, social and cultural advance. In recent years, the advance of ICT has spurred the emergence of massive platformers that control information and profit on a winner-takes-all basis, leading to growing disparities. At the same time, ICT has also made it easier to come up with a new invention, with entrepreneurs around the world proposing new business models that are transforming lifestyles. IP systems protect the interests of those who have gone ahead and taken a risk. They lend strength to new players who take the fight to current champions. Patent office leaders have a responsibility to foster the entrepreneurial spirit in their home countries and to lay out a path for the implementation of new inventions out in society. The era of the Fourth Industrial Revolution provided a unique opportunity for us IP offices to demonstrate that IP systems can be a powerful vehicle to close the income disparity and realize inclusive growth. I look forward to a vigorous discussion on what this requires us to do, and how we can work together. (Future directions for the Funds-in-Trust Japan) We are considering two future directions for the Funds-in-Trust Japan. As explained by Parliamentary Vice-Minister Mr. Ogushi, one is intellectual property cooperation in creating regional brands and expanding these to international markets, such as the Taita Basket Branding Project. The other is the utilization of intellectual property to promote innovation. 5

We will further consider the future direction for the Funds-in-Trust Japan based on the results of discussion at the Forum. Looking specifically at innovation promotion, the JPO sees this as comprising three key elements: IP for Innovation as the goal; IP Intelligence to navigate toward that goal; and IP Literacy to support the whole venture. IP for Innovation will be a major challenge for us. What we mean by IP for Innovation is to bridge the gap between taking a patent, which is an IP, and turning the patented technology into a commercially viable enterprise, that is innovation. In other words, in this new era, our mission as patent offices will be to interface between inventors and society so as to realize a trajectory of innovation whereby the emergence of an idea leads through to a new technology that is then implemented successfully out in society to change people s lives. Since we in Japan are also struggling on guiding invention to innovation, I hope that FIT Japan could also serve as a forum for discussions among IP offices keen on this issues so that we could learn from each other how to overcome the challenges. IP Intelligence will provide a compass for companies. More specifically, by analyzing technologies and trends on a global basis, it will enable firms to measure up their own strengths and weaknesses compared to other firms and develop management strategies as to where to concentrate their resources and who to form partnerships with. IP Literacy provides the foundation for entrepreneurial spirit. In addition to HRD at companies and universities, developing an IP awareness in young people will be critical to achieving sustained national growth. I believe that the key mission of IP offices will be to foster a healthy entrepreneurial spirit, help businesses to find the right direction, and link this to innovation. 6

(Conclusion) We at the JPO look forward to continuing to work with you all as a good partner, struggling, learning, and progressing together on all these new challenges. I hope that the Forum will prove to be a meaningful and productive occasion for you all. Thank you. 7