With the advent of the digital economy, companies around the world are turning their attention to “platform” business models to discover new market opportunities. The global industrial ecosystem—once centered on manufacturing—is rapidly shifting toward software, services, and data-centric operations. Tech giants have already built their own proprietary ecosystems, exerting enormous influence. Against this backdrop, platform patents have emerged as a critical weapon for businesses seeking to differentiate themselves from competitors and lead future markets.
In this column, we will explore the concept and significance of platform patents, key considerations for establishing a robust platform patent strategy, examples from leading global companies, and the latest technological trends.
A platform patent refers to an intellectual property right for service or technology ideas based on a specific platform (e.g., mobile, web, cloud, IoT). Unlike a patent for a single product or component, a platform patent broadly protects aspects such as service operation methods, algorithms, user experience (UX) improvements, and data processing techniques.
Through such patents, companies can prevent competitors and new entrants from imitating similar services, thereby maximizing the value of their own platforms.
A platform is not just one or two standalone technologies, but rather a complex ecosystem in which multiple functions and services interact organically.
Accordingly, when building a patent portfolio, it is crucial to protect not only the individual components of the platform but also the processes by which these components interact and function together.
Platform businesses benefit from a powerful “network effect,” meaning their value grows exponentially as the user base increases. By holding patents on core functions or algorithms, a company makes it difficult for competitors to simply copy these innovations. This delay in market entry helps the pioneering firm solidify its dominance.
Having groundbreaking technologies or services protected by patents is a strong signal of a company’s innovative capabilities—a message that resonates well with investors and partners. It can positively impact a company’s valuation and instill trust in consumers that the platform provides unique and secure services.
Patents are not merely defensive tools to keep others from using your innovations; they can also form the basis of new business models through licensing agreements and royalty generation.
A solid patent portfolio thus becomes a vital driver for sustainable growth in platform businesses.
Platform success hinges on core technologies—for instance, payment systems, recommendation algorithms, or user interface designs. These technologies should be the first targets for patent applications, protecting the platform’s unique selling points from imitation and reinforcing its competitive advantage.
Platforms often start in one domain and then expand into related services. For example, Kakao began as a messenger app and subsequently ventured into finance, mobility, and e-commerce.
Many platform businesses operate across national borders. For companies eyeing overseas markets, securing patents in major jurisdictions (e.g., the United States, Europe, China, Japan) can reduce the risk of IP disputes.
As big data and AI become focal points of platform competitiveness, patents for algorithms and data processing methods that enable efficient data collection, analysis, and utilization are rapidly increasing.
The increasing importance of platform patents has led to a rise in related litigation and disputes. For instance, the smartphone patent wars—particularly between Apple and Samsung, as well as Apple and Google (Motorola)—spanned multiple countries worldwide.
Given the high stakes, many companies are proactively establishing defensive patent portfolios and pursuing strategies like cross-licensing or mergers and acquisitions (M&A) to minimize dispute risks.
In the digital economy, platform patents have become crucial to a company’s survival and growth. Whether you are planning a new platform business or already running one, securing key technology patents can raise entry barriers and enable new revenue streams. As technologies like AI, big data, metaverse, and blockchain evolve with increasing speed, proactive patent strategies are indispensable for maintaining a competitive edge.
Enterprises that lock in robust platform patent strategies can swiftly adapt to emerging industries and technology paradigms, consistently holding the initiative in innovation. Regardless of scale, a deep understanding of intellectual property rights and a strategic plan for leveraging them are now must-haves.
If you are a platform leader aiming to stay ahead of the curve, patent strategies are no longer optional—they are essential. At Pine IP Firm, our extensive experience with platform patents and deep industry knowledge enable us to provide tailored IP consulting perfectly aligned with your business model. We look forward to guiding your company to success in the ever-evolving platform landscape.