Computer technology plays an increasingly important role in our society today. It penetrates more and more areas of our life, not only in business environments but also in daily surroundings. A computer cannot operate without instructions. These instructions, so-called computer programs or software, may be incorporated in the computer or apparatus, but are often created, reproduced and distributed on media such as CD-ROMs or transmitted on-line.
Once created, it is often possible to reproduce software easily at very low cost. Thus, without appropriate protection against unauthorized copying and use, producers of software may not be able to recoup their investments. The unique nature of software is that it performs various functions through expressions written in computer language. Although copyright protects "literal expressions" of software, it does not protect the "concept" behind the software, which often is a core part of its commercial value. Since such concepts behind the software often provide technical functions such as controlling machines or processing data, program developers started seeking protection of software through the patent system.
However, due to the special characteristics of software innovation, some people consider that patent protection of software would inhibit competition in this field. It is said that software innovation typically involves cumulative, sequential development and re-use of others ' work, and that the need to preserve interoperability between programs, systems and network components does not fit with the mechanisms of the patent system because the range of options available to the second comer may be constrained.
In recent years, another issue arose, namely the question of the patentability of business methods. Traditionally, business methods have been either in the public domain or protected under trade secret law. Today, however, information technology offers possibilities of applying new business models,
References: Case Studies Related to Indian IPR Protection Bangalore Aug10, 2003