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May 04, 2006

The Offshoring Loss of IP Ownership

Ed Thomas writes in Computer Business Review Online about intellectual property protection among information technology industries -- hmmm, maybe acronyms are easier aferall: Ed writes in CBRO about IP in IT.

Some quotes from his article:

+ "There is enough knowledge available on the client side of the outsourcing industry these days that companies are confident that, if they can find a good enough lawyer, they will be able to get out of their outsourcing contract without paying any penalty costs by claiming a breach of service."

+ "But the ever-increasing popularity of offshore service delivery models has created an entirely new set of legal problems for outsourcing clients. At the root of these problems is the fact that every country in the world has its own unique legal system."

+ "The question of the ownership of IP created through an offshore development project is another key concern for the industry."

+ "When it comes to offshoring data services and call centre operations, data protection becomes increasingly important."

The article mentions the 2002 arrest of a Geometric Software Solutions (India) employee on suspicion of stealing source code belonging to SolidWorks (USA).

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