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What Startups Need to Know About IP Protection: Defending Innovation Against Industry Giants

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When Michelle Fisher launched Blaze Mobile in 2005, she had a big idea and very little awareness of how to protect it. “When I started my company, I didn’t know anything about patents,” Fisher recalls.

Michelle Fisher headshot
Michelle Fisher / Michelle Fisher

That big idea was a breakthrough in mobile payments: embedded NFC-enabled phones, including payment stickers that could turn any phone into a contactless payment device. It was technology a decade ahead of its time, reshaping mobile commerce long before big-name solutions hit the market. In Silicon Valley’s experimental energy of the mid-2000s, Fisher and her small team would walk into stores, wave their phones to make a payment, and watch as cashiers stared in disbelief as they brought up the receipt in real-time in the Blaze Mobile Wallet.

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It was a thrilling time until larger, well-funded companies began announcing similar products. “When a household name with millions of customers enters your space, the capital pipeline shuts down,” Fisher says. “We had multiple versions of our mobile wallet in the marketplace, but we couldn’t raise the scale capital we needed to reach millions of users.”

The presence of powerful competitors forced a hard decision: Fisher closed her office, let go of her small but highly skilled team, and shifted the company’s remaining resources toward securing patents. “It was a very difficult, stressful time,” she says. “I loved my team, but we had to focus on our intellectual property just to survive.”

That survival strategy worked. Today, Blaze Mobile holds 100 patents across mobile payments, advertising, banking, and healthcare. But obtaining those patents was only the second battle in a long war. The third, and often hardest phase, Fisher says, is monetizing them. “Filing and securing patents is one thing. Getting companies to license them is another challenge entirely.”

Blaze Mobile logo
Blaze Mobile / Blaze Mobile

Fisher describes a pervasive problem in the IP landscape: “efficient infringement.” In this practice, large companies knowingly use patented innovations because it’s cheaper to fight or ignore licensing requests than to pay for them. Startups, with limited resources, often can’t afford the prolonged legal battles required to enforce their rights. “In other areas of law, there are clear penalties; if you jaywalk, you get a ticket,” she says. “With patents, there’s no automatic consequence for infringement.”

To illustrate the uphill battle inventors face, Fisher points to real-world stories dramatized on screen. Joy Mangano, an inventor of a self-wringing mop, worked hard for recognition and licensing revenue. A Flash of Genius tells the true story of Robert Kearns, who spent decades fighting automakers over his intermittent windshield wiper invention. “These examples show how long and draining the process can be, even when you are right,” Fisher says.

Despite these challenges, she sees reason for optimism. Two bipartisan U.S. bills now in progress could change the game for inventors. The Patent Eligibility Restoration Act (PERA) would remove some of the legal hurdles that make enforcing patents so difficult. The PREVAIL Act would limit how often infringers can challenge a patent’s validity, reducing the ability to stall enforcement with repeated, costly petitions.

Fisher is also encouraged by the U.S. Patent and Trademark Office for helping to level the playing field for inventors. “Between PERA, PREVAIL, and these discretionary denials, the landscape for protecting IP is improving,” she says.

Blaze Mobile is now focused on licensing its patents, a process that requires persistence, negotiation skills, the willingness — and the biggest hurdle to many — capital, to face off against some of the world’s largest corporations.

Looking ahead, Fisher plans to launch products that have been “on the shelf” during the licensing phase. “We still have a lot of innovation,” she says. “Once we’ve secured more of our licensing goals, you will see new products from Blaze.”

Her advice to other inventors and startup founders is grounded in experience: understand the value of your intellectual property early, secure protection as soon as possible, and be prepared for the long haul. “Patents are essential,” she says, “but they are just the start. You need a strategy for defending and monetizing them, because if your idea is good, others will try to take it.”

Fisher’s journey from patent novice to seasoned IP defender underscores a sobering truth: innovation alone is not enough. Protecting that innovation, and ensuring it delivers value to its rightful creator, requires as much ingenuity, resilience, and strategic thinking as the invention itself.

Digital Trends partners with external contributors. All contributor content is reviewed by the Digital Trends editorial staff.
Chris Gallagher
Chris Gallagher is a New York native with a business degree from Sacred Heart University, now thriving as a professional…
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