Value-based IP Management at Siemens: A Cross-Divisional Analysis
- 1. Value-based IP management at Siemens A cross-divisional analysis Strategic differentiation in a diversified technology group Presentation for IP-Experts © 2025
- 2. Siemens at a glance Diversified technology company Digital Industries Smart Infrastructure Mobility Healthineers Innovation focus areas Data security Machine Learning & AI Smart Cities Additive manufacturing Xcelerator-Platform 5,300 Invention disclosures worldwide Approx. 24 per workday €6.3 Bn. R&D investments Fiscal year 2024 #1 Patent applicant in Germany Top-Ranking in Europa The success of Siemens is based significantly on its own inventions. — In the spirit of Werner von Siemens
- 3. Strategic and value-driven IP management Strategic IP management Alignment with corporate goals and business strategy Proactive planning and early integration into innovation processes Competitive advantages through strategic IP positioning Deep integration into the organizational structure Value-driven IP management Focus on measurable economic benefits Asset-centric perspective: IP as a strategic business tool Monetization potential through exclusivity ROI-Perspective for IP Investments Paradigm shift in IP management Reactive legal protection Proactive business tool “IP management must be fundamentally guided by an ROI perspective.”
- 4. Factors Influencing IP Strategies Industry Specifics and Innovation Cycles Fast-paced vs. long-cycle industries Technological complexity and interdisciplinarity Industry-specific innovation processes Competitive Landscape Competitive intensity and market structure IP as a tool to influence industry structure Porter's Five Forces with an IP perspective Business Models Product sales vs. solution provider vs. service provider Influence on prioritized IP types and exploitation strategies Value chains and partner ecosystems Regulatory Frameworks Approval requirements and compliance Functional safety and cybersecurity International legal systems and enforceability "A one-size-fits-all IP strategy would be inefficient for a diversified corporation like Siemens and would not optimize value creation from the IP portfolio."
- 5. Digital Industries - IP-Strategie Software & Industrie 4.0 Business Model Software and digital platforms Automation solutions Industry 4.0 technologies Digital transformation in industry IP Challenges Software protection: patentability vs. copyright vs. trade secret Hybrid patents for interdisciplinary innovations (AI, IoT, robotics) Data sovereignty and platform economy Balancing openness and proprietary protection Strategic Approaches Hybrid IP approach: core algorithms proprietary, interfaces open Defensive publications for cost-effective prior art protection Ecosystem collaboration with targeted IP sharing Internal policies for trade secret protection Case study: Siemens Xcelerator “The balance between proprietary IP and open APIs enables digital transformation faster and at scale.” Open interfaces for ecosystem growth Proprietary core algorithms and functionalities De facto standards through platform leadership Digital Industries – IP Strategy Software & Industry 4.0
- 6. Smart Infrastructure - IP-Strategie Systemintegration & Interoperabilität Business Model System integration for intelligent buildings Smart energy distribution and grids Connected infrastructure solutions IoT platforms for infrastructure management IP Focus System patents for integrated solutions IP for interoperability and system architectures Trademark protection for platforms (Building X, Electrification X) Protection of core components while promoting interoperability Strategic Approaches IP strategy for connected ecosystems and IoT platforms Licensing and standardization for market penetration Balancing proprietary protection and open standards Strategic alliances and partnerships Case study: Smart Buildings & Grid Edge “Interoperability and system integration require a differentiated IP strategy that goes beyond simple protection.” Protection of core components (SiPass Integrated, Desigo Fire Safety) Open interfaces for system integration Branding for system solutions (Xcelerator platform) Smart Infrastructure – IP Strategy System Integration & Interoperability
- 7. Mobility - IP-Strategie Langlebige & sicherheitskritische Technologien Business Model Rail vehicles (Velaro, Desiro, Vectron) Traffic technology and control/safety systems Logistics solutions and intermodality Digital services (Railigent X, Mobility Software Suite X) Specific Challenges Long development cycles (10 – 30 years) Safety-critical technologies with high reliability requirements Large-scale projects with consortium structures International standardization and certification Strategic Approaches Comprehensive patent protection for mechanical, electronic, and software innovations Functional safety and cybersecurity as IP focus areas Collaborations and licensing within the supply chain Strong branding for building trust (Velaro, Controlguide) Case Study: Automatic Train Operation (ATO) “The IP strategy for Mobility must be exceptionally robust and long-lasting to address the long development cycles and safety-critical requirements.” High-quality patents for safety-related technologies Standardized interfaces (ETCS) with proprietary core functions IP management for large-scale projects (Deutsche Bahn, HS2 Ltd) Mobility – IP Strategy long-life & safety-critical technologies
- 8. Healthineers - IP-Strategie Medizintechnologie in regulierten Märkten Business Model Diagnostic Imaging (MRI, CT, X-ray, Ultrasound) Laboratory Diagnostics and Point-of-Care Solutions Oncology Treatment Systems (Varian) Digital Health Services and AI-powered solutions Specific Challenges Long approval times reduce effective patent life Complex, multi-layered patent landscape Data privacy and cybersecurity for medical data Strict regulatory requirements (FDA, MDR) Strategic Approaches High-quality patents with clinical relevance over quantity Early involvement of patent attorneys in R&D Design patents for user-friendliness and patient trust Intensive competitor analysis and competitive intelligence Case Study: AI-powered solutions “IP valuation in medical technology is particularly challenging due to long approval times and complex patent landscapes.” >80 AI solutions (e.g., AI-Rad Companion) >1,100 AI-related patent families Robust data governance and "privacy by design" Interoperability through the "teamplay digital health platform" Healthineers – IP Strategy Medical technology in regulated markets
- 9. Comparative Analysis – Patenting Strategies Patenting Intensity and Focus by Division Division Patenting Focus Specifics Digital Industries Software, algorithms, digital processes Hybrid patents for interdisciplinary innovations (AI, IoT) Smart Infrastructure System architectures, interoperability Balance between proprietary protection and open standards Mobility Safety-critical technologies, long-life innovations Comprehensive protection for long product life cycles Healthineers Medical devices, diagnostic/therapeutic software High quality requirements, clinical relevance
- 10. Comparative Analysis – Patenting Strategies Quality vs. Quantity “Paradigm shift under Beat Weibel: Value orientation over volume” Strategic reduction of the patent portfolio while increasing its value Division-specific prioritization (particularly critical for Healthineers) Continuous evaluation and optimization of the portfolio Geographic Focus Europe: Core markets for all divisions USA: Special focus for Healthineers and Digital Industries Asia: Growing importance for Smart Infrastructure and Mobility Strategic patenting in key markets depending on the division Patent lifecycle management by division The patenting strategy of each division reflects its specific competitive position, technology focus, and market dynamics.
- 11. Comparative Analysis - Trademark and Design Strategies Trademark Strategies by Division Division Trademark Strategy Strategic Importance Digital Industries Differentiation of software platforms Distinction in a market with similar functionalities Smart Infrastructure Unification of integrated system solutions Consolidation of diverse product lines under system solutions Mobility Building trust for safety-critical transport solutions Trust in safety and reliability for long-term investments Healthineers Reputation and patient trust in medical contexts Direct influence on clinical acceptance and market penetration
- 12. Comparative Analysis - Trademark and Design Strategies Design Strategies Digital Industries: UX design for software interfaces and intuitive operation Smart Infrastructure: Aesthetics and functionality of infrastructure components Mobility: Ergonomics and safety design for vehicles and systems Healthineers: Human-centered design for medical devices and user interfaces Case Study: Brand Architecture “Siemens' brand architecture balances cross-divisional consistency and division-specific differentiation.” Siemens as a strong umbrella brand for all divisions Divisional brands with their own identity (e.g., Healthineers) Product brands for specific solutions (MAGNETOM, Desigo) Xcelerator as a cross-divisional platform brand Strategic importance of trademarks and designs While all divisions use trademarks and designs, their specific role in value creation varies significantly depending on the business model and customer segment.
- 13. Comparative Analysis – Monetization Approaches Direct Exploitation vs. Licensing Digital Industries: Combination of software licensing and direct product marketing Smart Infrastructure: System solutions with integrated licensing models Mobility: Primarily direct product marketing with selective technology licensing Healthineers: Device sales with increasing importance of software and platform licenses IP as an Enabler Price premium through exclusivity and differentiation Market entry barriers and competitive advantages Securing R&D investments Opening up new markets through IP licensing Licensing Models Patent licenses for technical innovations Software and platform licenses (SaaS, PaaS) Trademark licenses for trust transfer Technology transfer and know-how licensing Cross-Licensing and Cooperation Models Strategic alliances and joint ventures Cross-licensing to avoid patent blockades Standardization initiatives and open innovation Ecosystem partnerships with IP sharing
- 14. Comparative Analysis – Monetization Approaches Case Study: Cross-Divisional IP Monetization “The IP monetization strategy must reflect the specific value creation mechanisms of each division.” Siemens Xcelerator as a cross-divisional platform demonstrates how IP monetization can occur through various business models: Open APIs while protecting core functionalities Ecosystem growth as a monetization strategy SaaS/PaaS models for recurring revenue Trademark licenses for partner integration
- 15. Identified Patterns and Divergences Common Patterns Strategic Alignment All divisions consistently align their IP management with overarching business goals and integrate IP considerations into innovation processes at an early stage. Value-Oriented View There is a consistent focus on the economic benefit of IP assets rather than the mere accumulation of intellectual property rights, in line with the paradigm shift under Beat Weibel. Proactive Integration IP management in all divisions is closely integrated into R&D processes, with early involvement of IP experts in product development. Diversified IP Portfolios All divisions use a combination of different IP types (patents, trademarks, designs, trade secrets) for comprehensive protection. Key Differences Prioritization of IP Types There are clear differences in the weighting of patents, trademarks, designs, and trade secrets, depending on the technological focus and market environment of the division. Balance between Protection and Openness Varying approaches to balancing proprietary protection and openness/interoperability are particularly pronounced between Digital Industries and Mobility. Monetization Strategies Different focuses on direct exploitation vs. licensing, depending on the respective business model and competitive position. Regulatory Influences Greatly divergent regulatory requirements influence the IP strategy, particularly evident between Healthineers (strict medical technology regulation) and Digital Industries (lower regulatory density).
- 16. Identified Patterns and Divergences Influence of Business Models on IP Strategies Product-Centric Models Focus on strong patent protection for core product innovations and design rights for aesthetic differentiation (e.g., Healthineers medical devices). Solution-Oriented Models Emphasis on software patents, trade secrets for algorithms, and trademarks for platform branding (e.g., Digital Industries, Smart Infrastructure). Service-Based Models Increasing importance of data IP, software licenses, and trademarks for building trust (e.g., digital services in all divisions). Platform Ecosystems Balance between proprietary IP and open interfaces, focus on network effects (e.g., Siemens Xcelerator). “The IP strategy of each division precisely reflects its specific business model and value creation mechanisms.”
- 17. Conclusions and Implications Success Factors for Differentiated IP Management Deep understanding of industry dynamics and business models Alignment between central IP function and divisional strategies Balance between standardization and differentiation IP strategists with legal and commercial expertise Importance of Alignment IP strategy as an integral part of business strategy Continuous adaptation to changing market conditions Differentiated approaches for different value chains Focus on long-term value creation rather than short-term metrics Outlook Increasing importance of software IP and data Convergence of technologies requires hybrid IP approaches Global legal enforcement in fragmented markets Stronger ecosystem orientation and co-innovation Lessons Learned Value-driven IP management requires division-specific differentiation A successful IP strategy reflects the specific competitive position Balance between protection and collaboration as a key factor Continuous evaluation and optimization of the IP portfolio Conclusion The case study shows that successful IP management in a diversified technology corporation like Siemens requires a differentiated approach that takes into account the specific conditions and requirements of each business area. "Strategic and value-driven IP management does not mean applying a single, uniform strategy, but rather developing customized approaches that are optimally aligned with the respective business models and market conditions."