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Patents, Trade Secrets, and Connecting through Open Source

In today's technological world, patents are both the shield that protects and the spear that outpaces competition. Patents are no longer an option, they are a necessity. Trying to succeed without them is a fool's errand, and those that do often find themselves overtaken or even dismantled by their competitors. Patents symbolize technological capability and innovation, which build trust. In some cases, they can even be badges of honor. Qualcomm, the largest industrial research organization in the world, proudly displays their patents at the entrance to their headquarters.


The patent wall at Qualcomm HQ, San Diego (Source: Qualcomm)
The patent wall at Qualcomm HQ, San Diego (Source: Qualcomm)

Patents then, are invaluable, but should we patent every innovation? Not necessarily. In some cases, where critical technologies are difficult to replicate, disclosing certain information could actually pose significant risks. In these instances, alternative protections such as trade secrets can be implemented. One of the keys to managing a successful company is knowing which tools to use at the appropriate time. At Nota, this is handled by the IP, Legal and Compliance Team (ILC). Working at the intersection of technology and law, they help protect and leverage Nota's assets for maximal growth. Let's take a closer look at their strategies, and the tools at their disposal.


Asset Protection

In 2024, Nota's ILC Team won the Grand Prize at the Venture Startup Patent Awards, being rewarded for their excellence in technology protection strategies. The award-winning patent, NetsPresso’s “Method for Compressing Neural Network Models,” was simultaneously registered across several key global markets, including South Korea, the United States, and Japan, showcasing its global prowess. Through its global success, the patent demonstrated that it is more than simply a tool for protection, it is an indication of the company's technological excellence, innovation and forward-thinking strategic direction.


The user guide for Nota's award-winning NetsPresso
The user guide for Nota's award-winning NetsPresso

As ILC Team lead, Sukin explains:

"This patent is the result of combining the Research Team's technological expertise with the ILC Team's strategic design. Together, we crafted the optimal scope of rights with minimal components to effectively protect Nota's technology in the global market. This not only demonstrates Nota's technological strength, but also signifies that our technology protection strategy has been recognized in the market."

NetsPresso's patent strategy was designed twofold: for technological protection, and to solve customer problems and maximize value. Furthermore, the patent was strategically crafted to fit neatly alongside the company's portfolio of other technologies and innovations. This approach ensured the best defense against replication by competitors, while solidifying Nota's assets with a stronger foundation.


ILC Team Leads Jihoon and Sukin (center) attending the Patent Awards ceremony (Sources: VentureSquare, Intellectual Property News)
ILC Team Leads Jihoon and Sukin (center) attending the Patent Awards ceremony (Sources: VentureSquare, Intellectual Property News)

Jihoon, responsible for company IP at the ILC Team, weighs in:

"A patent is not just a document; it must address customer problems and encapsulate the experience and value that a product delivers."


Technological Protection

In 2025, Nota's ILC Team is focusing on strengthening company strategies beyond patents, to include trade secrets and open source policies. As the company prepares for future developments, the team is prioritizing the enhancement of its technology asset protection systems. As stated previously, patents are not exclusively the best method of protecting technologies. A balanced approach that seamlessly integrates patents, trade secrets, and open source practices, in accordance with the characteristics and purpose of the technology, is well advised.


Comparing Patents, Trade Secrets, and Open Source by Sukin

Patents are tools that provide strong legal protection in exchange for technological disclosure. Trade secrets on the other hand, safeguard key technologies by maintaining secrecy and protecting them from the eyes of competitors. Lastly, open source, freely shares technology to expand the technological ecosystem and promote innovation. 

Each method has its own advantages and disadvantages, and should be used strategically in accordance with your needs, and the technology.

To give an analogy, imagine you own a soft drink company. The recipe for your best-selling drink, if publicly exposed, could be easily replicated on the market. It makes sense then, that it should be safeguarded as a trade secret. Other technologies however, can be dealt with differently. With something like the technology of a beverage dispenser system, a patent would be sufficient. While a mobile app designed to locate nearby vending machines, could be offered as open source, to ensure collaboration and scalability with other companies.


In the case of Nota, technologies that are likely to be externally exposed, and can be easily replicated, such as user interfaces (GUI), are protected with patents. On the other hand, more sensitive technologies prone to risks if disclosed, such as AI training data and core algorithms, are managed as trade secrets. While in the spirit of collaboration, some technologies are released as open source to reenergize the developer community. Through a combination of patent strategies, trade secrets, and open source policies, Nota best enhances the effectiveness of its intellectual property.


Jihoon shared his perspective on open source policies and patent strategies:

"Patents are a crucial tool for protecting and realizing the value of assets, while open source policies enable collaboration and expansion while minimizing risks. These two strategies complement each other, allowing the company to pursue both IP protection and technological innovation. If patent strategies are the key to realizing and protecting the value of Nota’s assets, like NetsPresso, open source policies serve as a foundation to mitigate risks and maintain trust in collaborative processes with external partners. Our team believes that combining patent strategies with open source policies is the best way to maximize the effectiveness of Nota’s IP in the future."


What Philosophy Drives Them Forward?

It is clear then, that a well-balanced strategy of patents, trade secrets and open source is the ideal path forward to both protect technological assets and maintain a competitive edge in the market. But how does the ILC Team meet this challenge?


Sukin shares the core values that underpin the ILC Team:

"We always push forward to face new frontiers and strive for positivity. Curiosity and Good Influence are company core values, and achievements like obtaining ISO 27001 and ISO 9001 certifications, establishing open source policies, and implementing information security policies are those core values put into practice. Likewise, restructuring our patent portfolio to enhance the value of the company’s technological assets is another example of this philosophy in action."

This was our second interview with the ILC Team, following on from our previous discussion on achieving ISO 27001 certification. Once again, it was a welcome opportunity to gain valuable insights and learn from their expertise, finding out what goes on under the hood. It is clear that the ILC Team is not just about managing technological regulations and goals, they also play a crucial role in encouraging collaboration, fostering growth, and positively impacting the atmosphere and direction of the company.

 

The future looks bright for the ILC Team, and we can't wait to see what they will achieve in the future.



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