The UK Supreme Court is set to hear a pivotal case that could redefine the boundaries of patent law concerning artificial intelligence (AI). The case, Emotional Perception AI Ltd v Comptroller-General of Patents, Designs and Trade Marks, centers on whether AI systems, specifically those utilizing artificial neural networks (ANNs), can be patented under UK law.
Background: The Journey Through the Courts
Emotional Perception AI Ltd developed a system employing ANNs to recommend media files based on “emotional similarity.” The UK Intellectual Property Office (UKIPO) initially rejected the patent application, citing Section 1(2)(c) of the Patents Act 1977, which excludes “a program for a computer… as such” from patentability.
The High Court overturned this decision, asserting that the ANN’s operation extended beyond mere computer programming. However, the Court of Appeal reversed the High Court’s ruling, aligning with the UKIPO’s original stance. The Court of Appeal held that the invention fell within the excluded category of computer programs and lacked the necessary technical contribution to qualify for a patent.
In response, the UKIPO updated its examination guidelines, emphasising that ANN-based inventions are to be treated like any other computer-implemented invention, requiring a demonstrable technical contribution beyond the software’s inherent functions.
The Supreme Court Appeal
In December 2024, the UK Supreme Court granted Emotional Perception AI Ltd permission to appeal the Court of Appeal’s decision. The forthcoming hearing, expected in mid-2025, will address critical questions:
- Does an ANN-based system constitute a “computer program as such” under UK patent law?
- What criteria should determine the technical contribution of AI inventions?
The Supreme Court’s ruling could set a significant precedent, potentially influencing how AI-related inventions are assessed for patentability in the UK.
What This Means for You: Impacts on UK Businesses
The Supreme Court’s decision will have far-reaching implications for UK businesses, particularly those involved in AI development and innovation.
1. Clarification of Patent Eligibility
A ruling in favour of Emotional Perception could broaden the scope of patentable AI inventions, providing greater protection for companies investing in AI technologies. Conversely, upholding the Court of Appeal’s decision may reinforce existing limitations, necessitating alternative strategies for protecting AI innovations.
2. Strategic IP Planning
Businesses will need to closely monitor the outcome to inform their intellectual property strategies. Understanding the nuances of what constitutes a technical contribution will be crucial in drafting patent applications that withstand scrutiny.
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3. Competitive Advantage
Companies that proactively adapt to the clarified legal landscape will be better positioned to secure and enforce IP rights, potentially gaining a competitive edge in the rapidly evolving AI sector.
4. Investment Considerations
The decision may influence investor confidence in AI ventures, affecting funding and valuation. Clear guidelines on patentability can enhance the attractiveness of AI startups to potential investors.
Author
Gill Laing is a qualified Legal Researcher & Analyst with niche specialisms in Law, Tax, Human Resources, Immigration & Employment Law.
Gill is a Multiple Business Owner and the Managing Director of Prof Services - a Marketing Agency for the Professional Services Sector.
