SIIA Welcomes the Introduction of the SHIELD Act

SIIA welcomes the introduction of the Saving High-Tech Innovators from Egregious Legal Disputes Act (SHIELD Act). The legislation, sponsored by Representative Peter DeFazio (D-OR) and Representative Jason Chaffetz (R-UT) is a strong response to the pressing problem of patent trolls by shifting the legal fees to the losing party when patent trolls lose their patent infringement cases.

The SHIELD Act sends a strong signal that Congress is serious about dealing with the patent troll problem this session of Congress, and that members of Congress fully understand the damage that patent trolls do to the economy, innovation and job creation.

SIIA is committed to working with Congress and the Administration to find effective solutions to this problem.  Last year, we looked favorably on proposed legislation that would reduce the leverage of patent trolls by shifting the burden of discovery costs beyond the minimum necessary to litigate the case to the party seeking additional discovery.  This idea and the fee shifting proposal contained in the SHIELD Act are thoughtful and effective ways to deal with patent troll litigation.


Ken WaschKen Wasch is President of SIIA. Follow the SIIA Policy team on Twitter at @SIIAPolicy.

SIIA Applauds Cybersecurity Commitment Announced in Tonight’s State of the Union Address

SIIA congratulates President Obama and his Administration for making cybersecurity a priority. We appreciate the President’s efforts to seek broad input in crafting the Executive Order signed today. We are particularly pleased that the Executive Order excludes commercial information technology products and consumer information technology services from the definition of ‘critical infrastructure at greatest risk.’ The Administration is clearly seeking to advance American innovation with this effort, however, the way in which the Order is implemented will be critical in determining its success or failure.

As we work with the Administration on implementation, a priority for our industry will be to avoid rigid regulations that impede the innovation that is essential for effective cybersecurity.

A regulatory approach seeking to cover a broad, rapidly-evolving cross-section of industry would have the unintended consequence of slowing technological innovation and limiting our collective cybersecurity preparedness. Therefore, it is essential that the Administration work with industry to implement the Executive Order in a way that retains necessary flexibility. Technological innovation must be allowed keep up with rapid developments pertaining to both cybersecurity threats and protections.

To that end, we look forward to continuing to work closely with the Administration and congressional leaders to implement this policy.


Ken WaschKen Wasch is President of SIIA. Follow the SIIA Policy team on Twitter at @SIIAPolicy.

SIIA Says Proposed EU Cybersecurity Strategy is too Prescriptive and Overly Broad

In reaction to today’s European Union cybersecurity announcement, SIIA is concerned that the new strategy is too broad in the scope of industries to be covered and will threaten innovation. In response, I issued the following statement:

SIIA commends the European Commission for conducting a thoughtful, comprehensive review of network and information security across the European Union. There is a critical need to focus on the best cybersecurity practices that will help protect governments, businesses and citizens around the world from increasingly sophisticated cyber-attacks.

However, we are concerned about the scope of the Commission’s regulatory approach.  It is overly broad, too prescriptive and threatens to suppress the very innovation that will help businesses, governments and citizens anticipate and address changing cybersecurity threats.

The proposal’s cybersecurity performance requirements will likely lead to technical mandates and rigid regulatory standards and reporting obligations.  Its scope goes well beyond critical infrastructure, where the harms from cyber-attacks are the greatest.  In doing so, it threatens to engulf a broad range of other industries, thereby wasting scarce security resources on areas where the dangers are not urgent.

Today’s cyber threats are global and ever-changing – rigid, far-reaching regulations will almost certainly do more harm than good.  SIIA supports policies that provide the necessary flexibility to keep up with rapid technological developments pertaining to both threats and protections.  SIIA and its member companies look forward to working with the Commission as it considers this proposal and possible amendments.


Ken WaschKen Wasch is President of SIIA. Follow the SIIA Policy team on Twitter at @SIIAPolicy.

SIIA Applauds Focus on High-Skilled Immigration

SIIA sent a letter thanking Senators Hatch, Klobuchar, Rubio and Coons today for sponsoring the “Immigration Innovation Act.” High-skilled immigration is a critical component in the broad effort to reform the U.S. immigration system, and this legislation effectively establishes a “must do” list to enable U.S. companies attract and retain the best innovators from around the world. This strong bipartisan leadership on this issue presents an important step forward in the effort to reform U.S. immigration laws.

The U.S. IT industry—and the American economy more broadly—has always benefited from the contributions of the highly-educated, regardless of where they were born.  Highly skilled foreign-born innovators, researchers, medical professionals, engineers and entrepreneurs help drive our economy and create quality U.S. jobs.  In fact, many globally-leading companies, and major U.S. employers, were founded here in the U.S., at least in part by foreign-born citizens.  This prominent list includes the likes of Yahoo!, Google, eBay and Intel.

By increasing the supply of H-1B visas, increasing the allotment of employment-based green cards and enabling foreign students trained at U.S. universities to remain and work in the U.S., the Innovation Act will enable continued U.S. innovation, job creation and economic expansion in a worldwide economy.

SIIA thanks Senators Hatch, Klobuchar, Rubio and Coons for their leadership on this very important issue. We look forward to working with them to support enactment of this legislation as part of comprehensive immigration reform this year.


Ken WaschKen Wasch is President of SIIA. Follow the SIIA Policy team on Twitter at @SIIAPolicy.

SIIA Announces Commitment to Data-Driven Innovation as a Top Policy Priority in 2013

The SIIA Government Affairs Council met Wednesday to outline the organization’s policy priorities for 2013.  In addition to identifying the specific initiatives it will pursue in the year ahead, SIIA and its member companies expressed a commitment to making data-driven innovation a top policy priority in the year ahead.  The SIIA Government Affairs Council includes: Reed Elsevier, IBM, Adobe, Cengage, Dow Jones, Intuit,  Kaplan, Kiplinger, Google, McGraw Hill Education, McGraw Hill Financial, Oracle, Pearson, Red Hat, SAS, and Thomson Reuters.

A key theme unifying the work of SIIA on behalf of its members is an increased focus on advancing the effective collection and positive use of data. It is essential that public policy recognizes that innovation and business strategies are increasingly driven by data. Importantly, data-driven innovation not only holds the promise of advancing economic opportunity and jobs, but of providing tremendous consumer and societal benefits.

With so much at stake, SIIA is committed to actively promoting the economic and social value of data-driven innovation. Our efforts will involve direct outreach to legislators, along with a White Paper that includes recommendations for policymakers and governments. Our goal is to make certain that public policy helps enable the tremendous societal and economic benefits of data-driven innovation.

With members in both technology and information services, SIIA is uniquely positioned to highlight and address the public policy issues that arise from the increased salience of data-driven innovation. We began to focus more strongly on this issue in 2012, and it will be an even more important part of our work in 2013.

SIIA also announced its general tech policy priorities for 2013, along with policy priorities in the areas of: intellectual property; public sector IT, and; education technology. [Read more...]

SIIA Calls for Legislation in the Fight Against Patent Trolls

SIIA today called on congressional leaders to enact legislation that provides more safeguards to prevent the economic and consumer harm caused by abusive patent lawsuits. In a letter sent to the Congressional leaders who led the passage of patent reform last year, SIIA joined with several other trade associations in issuing a call for action against the abusive patent lawsuits.

Abusive patent lawsuits from patent trolls are a tremendous blight innovation and entrepreneurship in our country. With The America Invents Act, Congress took an effective first step in addressing the problem of abusive patent litigation by trolls. Despite this important initial effort, patent trolls continue to damage the economy, hurt America’s tech industry, and threaten innovation. We’re calling on Congress to continue its work on this vital issue by enacting legislation that protects legitimate companies and innovators from misuse of the patent system.

SIIA has outlined a specific proposal, which was articulated in the joint letter to congressional leaders, for legislation that would help address this problem. Under today’s system, the patent troll business model is to make litigation as expensive and disruptive as possible, forcing legitimate and law-abiding companies to settle regardless of the merits of the case. The troll requests millions of documents through the discovery process–much of which is entirely irrelevant to the suit.  Because the patent troll has few, if any, documents to produce in discovery, they can do this with impunity.

The point of the troll’s action is not to achieve legal justice, but simply to  place an enormous burden on legitimate companies and give them little choice but to settle the case. SIIA’s proposed legislation would address this imbalance by shifting the discovery burden to the patent troll for any information over and above the core documentation that is essential to the merits of the case. By doing so, SIIA’s proposal will help protect legitimate companies from being bullied into settlements when patent trolls request millions of documents that are not actually needed in a patent lawsuit.

This proposal will disrupt a damaging and expensive litigation tactic: the abusive use of discovery to drive up litigation costs for the purpose of forcing settlements. Meanwhile, it will do nothing to curtail the rights of legitimate patent holders that are seeking to have their day in court.


Ken WaschKen Wasch is President of SIIA.

SIIA Urges Support for Leahy ECPA Reform to Create Level Playing Field for Cloud Computing

I issued the following statement in support of Senate Judiciary Committee Chairman Patrick Leahy’s (D‐VT) substitute Manager’s Amendment to H.R. 2471, which would update the Electronic Communications Privacy Act. Sen. Leahy’s amendment will be considered by the Judiciary Committee on Thursday.

“SIIA supports Chairman Leahy’s proposed Electronic Communications Privacy Act (ECPA) reform in order to address the tremendous technological advances in communications and computing technology since 1986, when the statute was passed. The legislation proposed by Sen. Leahy would create a warrant requirement for law enforcement access to remotely stored electronic content. This legislation presents a big step toward making sure that the information Americans store in the cloud receives the same level of protection as the information stored in their homes.

“SIIA commends Sen. Leahy’s Leadership on this very important issue, and we urge members of the Judiciary Committee to support the substitute manager’s amendment while opposing any amendments that would weaken the warrant requirement.”


Ken WaschKen Wasch is President of SIIA.