Global Productivity = Technology + IPR

About five hundred years ago, generations that livedmuch aids and loans they get from foreign agencies.
apart did not experience any major change in theirWithout IPR, nations cannot innovate and without
standard of livings. Global productivity was very lowinnovation, any economy dies a natural slow death. IPR
and man was generally poor. Yes, there were empiresis the catalyst that drives national technology policy,
and kingdoms, but on average the world was on staticmaking it implementable and sustainable. You cannot
economic expansion.have a better technology policy than a strong IPR.
But with emergence of mass penetrated technology,With strong IPR, inventors could become innovators.
things began to change. The industrial revolution was aWithout it, everyone sits on his/her ideas and the nation
quintessential moment in modern history. Technologysuffers on productivity.
brought productivity and man became richer. StandardIn essence, Global Productivity = Technology + IPR,
of living on average improved. It remains till today thatand productivity translates into good standard of living.
when technology penetrates en mass in anyWhen nations cannot create technology, the LHS of
economy, national productivity improves, and livingthe equation suffers. Also, if they have no IPR, that
standards advance.suffers more. See the reason why Africa is not
There is another caveat to this argument. Intellectualmaking progress? It is an illusion when boys and girls in
property right (IPR) is a cardinal part of this productivity.Accra, Lagos, and Nairobi use pirated foreign software,
Without it, technology will not improve and innovation isand think they are smart. They never know that it
stalled. The old world was an era of absence of IPRwould have been better if their nations have laws to
and that contributed to a no small measure to the lackprevent such illegality. With such laws, they have an
of wealth creation. Sure, people invented things in arts,opportunity of not needing those foreign software by
engineering, but there was no wealth created. Lack ofdeveloping their own and selling them locally, profitably.
IPR prevented meaningful market success in oneIn the absence of the IPR, they cannot do business
major way. It prevented the pursuit of innovation sincebecause immediately they release software in the
ideas could be stolen and commercialized with nomarket; it appears in all shops illegally. After three
penalty. The return to innovation was very low. Thatmonths, they close their shops! It is a vicious cycle that
was why the world had many Inventors and fewmakes innovation difficult in Africa since no guaranteed
innovators.return exists. Why invest your hard earned money
Yes, we read about inventors that developed nearly allwhen there is no law to protect your creations? Why
the engineering principles in use today. They had ideas,do research? You see why our businesses prefer to
bright people and created prototypes. They wereimport and distribute than create things?
celebrated as icons and legends. But many died veryLast year in Lagos, I hosted a workshop for some
poor. They could not transition from inventors totechnology entrepreneurs. Everyone wanted to know
innovators, not because of market issues, but becausehow to improve the business climate. I was not
lack of IPR made it difficult to attract funding sinceinterested in the electricity problem. I told them that the
there was no guarantee to success. No funding, nobiggest problem is lack of IPR in Nigeria. When boys
mass commercialization and no human impact. In ourhawk Microsoft Vista for N300 (about $2) openly and
contemporary time, the legendary venture capitalistsno one arrests them, no major creative business can
will tell you that if you want to get them involved, youincubate in that land. I told them that without a strong
need to have a protected intellectual property.enforceable IPR law, someone will eat into their ideas
Two things changed the world: technology and mostand they may not succeed, especially if they plan to
importantly IPR. Between the two, IPR was morestart making things. My advice to the group was to
important. Why? Without it, we would still beask government to enforce existing laws and enact
celebrating inventors with no impact on humannew ones where applicable. I told them it would be
lifestyles (just note that I respect inventors; I am onedifficult for them to have international partners since no
myself since I have filed my own patents).one can risk his/her IPR in Nigerian market. Sure, who
That brings me to the African challenge. In many partscares what he says? Alas, one emailed me few days
of the continent, the IPR there is still like the one thatago explaining how IPR issues prevented him from
existed 500 years ago. It does mean that Africaconcluding a partnership with a Chinese firm.
cannot prosper, if my logic is correct, until they get aLet me stop now. In conclusion, Africa must strengthen
practical and working IPR. It does not matter howits IPR even as it pursues new technology policies.