OSYRIS, FRANCE initially specialising in optical lasers, has in the meantime broadened its activities in providing its customers with R&D solutions to their innovation problems. Intellectual property occupies a key role in the company's strategy: as a tool offering protection and monitoring and as an asset from which the company can realise value.
"The patent is an interesting tool when used properly!"
Jaouad Zemmouri is a university professor and also President and CEO of Osyris, the company he founded in July 2002 with Jean Ringot and Igor Razdobreev. The first company to emerge from the pre-incubator unit of the Lille University of Science and Technology, Osyris benefited from the 12 July 1999 law on innovation and research and has already won several awards.
Osyris now fills this gap in the market by marketing its R&D expertise. Based on its methodological approach to managing innovation projects, Osyris is able to offer its customers the most effective way of resolving their innovation issues.
Osyris has two types of customers (multinationals as well as SMEs):
- Companies that need people to work on R&D.
- Companies that are looking for sources of technological innovation within their company.
Osyris operates in various sectors due to co-contracting arrangements made with research bodies and university laboratories. The links with the university sectors, which potentially represent some 200 to 300 researchers, actually mean that R&D capacity can be expanded in proportion.
At the moment, Osyris’s customer base is primarily situated in northern France and Belgium. These contacts have mainly been established by word of mouth. The services offered are in a niche with enormous potential. So Mr Zemmouri does not consider that he has competition, “only colleagues”. The key success factors are skills in methodology and expertise in conducting complete projects, taking all the scientific, technical and economic considerations into account.
The development of laser technologies led to patent filings well before Osyris's time, patents which today are in the international extension phase. The patents were filed by the Lille University of Science and Technology (Mr Zemmouri being the co-inventor) and Osyris was granted exclusive rights to exploit them for a minimum of ten years. Today, Osyris is also a patent applicant in its own name, either on its own account or within the framework of co-ownership agreements signed with its customers.
Osyris conducts a true intellectual property policy: patent applications are filed as soon as a need for protection arises. However, in Mr Zemmouri' view, while patents are important when they are based on scientific facts, they are less so when based on technological facts.With the latter, it is possible to "design around" the patent, meaning a technical solution other than that protected by the patent can quite easily be found to solve the same technical problem. Technological advancement is so rapid that a patent does not remain "valid" for long, making technological supremacy and secrecy essential forms of protection as well. Osyris tries to file patent applications early on in the innovation project, based on scientific facts, so as to put a lock on it. Mr Zemmouri believes a scientific lock is more important than a technological lock. This explains why
Osyris has already abandoned patents it considered outdated.
The overall IP budget is 60,000 euros per annum (filings, extensions, IP consultants). Given the level of the company’s business, this is likely to increase. International extensions are systematically requested for all Osyris patents, some being filed directly as European or PCT applications in order “to win time”.
Osyris files two types of patent:
1) Patents that the company exploits itself so as to block competition: these are mainly patents in the laser field.
2) Patents destined for licences or assignments. It should be noted that confidentiality and future joint ownership agreements are signed within the framework of R&D contracts carried out for external customers. When Osyris is working for a customer and its R&D team finds something that falls outside the confidentiality agreement, it files the patent.
Patent filing is a key factor in negotiating and prospecting but, according to Zemmouri, an SME often gets a cold reception from the larger groups. One has to be extremely cautious and never disclose information, even with a confidentiality contract, until the commercial agreement is signed.
Osyris has never been involved in any legal action nor had any particular trouble: the company pays a lot of attention to prior art. In fact, monitoring is an essential activity for Osyris, who performs this function itself using both European and American databases.
Intellectual property takes up a large proportion of the company’s time, with three people assuming responsibility for IP issues: Mr Zemmouri supervises, one person is in charge of administration and a third person deals with patent searches in databases and scientific publications.
Osyris works with two patent attorneys. Osyris prepares a complete dossier in scientific terminology, establishes the state of the art, gives a scientific description of the invention and passes that over to the IP attorney who drafts the patent application. For Osyris, the IP attorneys contribute their expertise in drafting the applications according to the procedure that has been selected and in following the process through.
Based on his dual university and entrepreneurial experience, Mr Zemmouri concludes that, for a researcher, it is difficult to obtain the recognition of the business world, particularly that of investors who are not used to dealing with academics:“The business world doesn’t know what a researcher is”, regrets Mr Zemmouri.
As regards the intellectual property issues encountered by Osyris, the main source of discontent is linked to the cost of obtaining international extensions, which seems excessive compared to the financial resources available to SMEs.
Mr Zemmouri has put forward recommendations for other SMEs wishing to innovate: Develop a genuine patent strategy. Do not confuse know-how and invention. Do not hesitate to file. Do not hesitate to communicate: protecting oneself and communicating are two key elements for a young company. Do not forget that for venture capitalists, IP is essential.
Osyris specialises in optical lasers. In addition, Osyris offers its extensive expertise in research and development to other companies. The innovations developed for corporate customers are not necessarily linked to laser technology. In proposing the design and implementation of R&D projects for its customers, and in assisting the customer through the experimentation phases, Osyris offers a service that goes beyond the scope of a consultant's mission. Osyris brings the customer precisely the external view needed for radical innovation, which, according to Mr Zemmouri, cannot be gained internally because it requires an objective, off-the-job approach.
Osyris’ focus is on optical lasers as well as implementing R&D projects for corporate customers to develop innovations for them.
Staff: 20
Sales 2005: 1.5 million euros, 900,000 euros of which was linked to contracted R&D activities.
Key products: Design and marketing of optical laser systems (industrial and medical fields). Sale of innovation project management expertise.
Customers: All types of companies lacking R&D resources or looking for ways to develop technological innovations.
Osyris
121, rue Chanzy BP 90140
59260 Hellemmes
www. osyris.com
European Patent Office
Erhardtstr. 27, 80469 Munich, Germany
Tel.: +49 89 2399 4636
E-mail: sme@epo.org
www.epo.org
Institut National de la Propriété Industrielle
Observatoire de la Propriété Intellectuelle
97, Boulevard Carnot, 59 040 Lille Cedex, France
Tel.: +33 328 363372/69
E-mail: observatoire@inpi.fr
www.inpi.fr