[International Briefing] US, KR

 

 

US

The U.S. Federal Communications Commission bans import and sale of Chinese telecommunications devices that pose a threat to national security

  

 Nov. 25, 2022, the U.S. Federal Communications Commission (FCC) issued an executive order prohibiting certification for the import and sale in the United States of Chinese telecommunications devices that pose a threat to national security.

 Looking at the background, the United States enacted the 「Secure and Trusted Communications Networks Act of 2019 (HR4998), hereinafter Network Act」 in 2019, and gave the FCC the authority to sanction telecommunications equipment and related service companies based on the executive branch’s decision on national security. On the basis of Network Act, the FCC designated eight Chinese and Russian telecom-related companies, including Huawei, as targets for sanctions. In Sept. 2022, as three additional Chinese telecommunications companies were designated1), the number of companies currently included in the sanctions list has increased to 11 companies in total.

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The relevant administrative order are as follows.

. The FCC has adopted new rules that prohibit Chinese telecommunications equipment deemed to risk to a national security from being licensed for import or sale in the United States.

. The new rules apply to future approvals of equipment included on the Covered List issued by the FCC under the Network Act of 2019.

. Chinese telecommunications equipment and service companies subject to the rule include Huawei Technologies, ZTE Corporation, Hytera Communications, Hangzhou Hikvision Digital Technology and Dahua Technology (including Dahua Technology’s subsidiaries/affiliates)

 The rule completely prohibits the approval of equipment through the FCC's certification process. Therefore, it is clearly stipulated that the equipment will be subsequently approved according to the supplier's declaration of conformity process, or may not be imported or sold under rules allowing equipment license exemptions.

 In addition, the FCC has banned public funds from being used to purchase equipment on the Covered List to secure US networks, and has initiated a telecommunications network redemption program to remove the installed equipment.

 

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KR

 Korean Intellectual Property Office published ‘IP-MIX’ guide

 Dec. 1, 2022, the Korean Intellectual Property Office (KIPO) announced that it would publish and distribute the 'Intellectual Property Mix Strategy for Technology Protection Optimization (IP-MIX) Strategy 1) Manual' to support companies, research institutes, and universities in strengthening technology protection. 

 As competition for technological supremacy has recently intensified, the annual damage due to technology leakage in Korea is USD43.4 bil., which is about 2.7% of the total nominal GDP of the country (USD1,602 bil.) in 2021. However, most of the companies, research institutes, and universities are having difficulty preparing technology protection strategies due to insufficient awareness of intellectual property and lack of information on specific technology protection methods.

 Reflecting this reality, KIPO organized this manual by focusing on three major points so that the department and person in charge of intellectual property can easily utilize and work for technology protection.

∙ First, suggest judgment criteria for selecting appropriate protection measures among patents and trade secrets with actual cases considering the characteristics of each technology developed by companies, research institutes, universities, etc.

∙ Second, provides ‘Intellectual Property Mix (IP-MIX) Strategy’ for the 9 major industries - materials/parts, machinery/equipment, chemistry, medicine/bio, electronics/information communication and aerospace - in order to explain effective technology protection methods according to the characteristics of each industry.

∙ Third, introduces the in-house intellectual property management system by company size so that the 'IP-MIX strategy' can be actually implemented in the technology development field.

 The manual is jointly prepared by KIPO and NISC (National Industrial Security Center), which is responsible for preventing the outflow of national core and cutting-edge technologies. KIPO stated, “a strategic approach is necessary that is tailored to the characteristics of each technology field and institution for effective technology protection,” and “hopes that this manual will be widely used in establishing the optimal technology protection strategy in the field of technology development.”

 1) ‘Intellectual Property Mix (IP-MIX) strategy’ refers to a strategy to protect technology in multiple ways by utilizing various intellectual properties such as patents, trade secrets, designs, and trademarks in a complex manner according to the characteristics of the technology.

 

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