Data privacy has long been top of mind for policymakers, but in the absence of a comprehensive federal privacy framework, states have been passing their own unique privacy laws. That’s created pressure on policymakers in Washington to create national rules. When policymakers think about writing new rules for how companies can interact with consumer data, they often have only the practices of bad actors or the largest Internet companies in mind.
Engine submits comments to FTC on proposed non-compete ban
Engine is a non-profit technology policy, research, and advocacy organization that bridges the gap between policymakers and startups. Engine works with government and a community of thousands of high-technology, growth-oriented startups across the nation to support the development of technology entrepreneurship through economic research, policy analysis, and advocacy on local and national issues. Engine appreciates the opportunity to submit this response to the Federal Trade Commission’s request for comment on the Commission’s notice of proposed rulemaking banning most non-compete clauses in employment contracts.
Change to R&D treatment could shoulder startups with hefty tax bill
For many startups, this year’s taxes will reflect a detrimental change to the research and development (R&D) tax credit thanks to a bill Congress passed in 2017. Without a Congressional fix, small businesses and startups without deep pockets will be less able to weather the cash flow burdens resulting from the change, and some companies may be facing hefty tax bills and will table plans for future R&D.
SVB: what happened, how the fallout impacts startups, what policymakers can do next
The fall of Silicon Valley Bank (SVB) dealt an immediate shock to the global startup ecosystem and will have lasting ramifications for banks and founders. Many startups lack access to large banks, and instead rely on community and regional banks to meet their needs. SVB in particular was uniquely situated to support the startup ecosystem, offering more favorable terms for loans and connections for founders. But the fall of SVB has led to concerns that other banks may suffer similar fates, and at the same time has brought to the forefront the risk inherent to the startup ecosystem.
Engine releases report on Privacy Patchwork Problem
Data privacy has been top of mind for consumers, policymakers, regulators, companies, and entrepreneurs for the past several years, in the wake of broad privacy rules in the EU, and action in several U.S. states. The U.S., which has long had a sectoral approach to privacy, remains without a comprehensive privacy framework, and many states have reacted by proposing, passing, and implementing their own varying—and potentially conflicting—comprehensive privacy laws.
Intellectual property scams target startups, and how policymakers can help
Bad actors are constantly looking to trick unsuspecting startups into unnecessarily giving up their already-limited resources. One scam gaining in popularity is to impersonate government officials and ask startups for payment to “renew” their existing trademarks, and it demonstrates how intellectual property systems can be weaponized against startups.
The Patent and Trademark Office should work for everyone
You might not realize it, but whether you’re a startup founder, a digital entrepreneur, or a casual technology and Internet user—what the U.S. Patent and Trademark Office (USPTO) does impacts you and the agency needs to be listening to you. That’s why Engine filed comments this week on USPTO’s draft strategic plan, suggesting ways the agency could improve its plans to support all U.S. innovators, creators, and entrepreneurs.
Engine releases 2023 Startup Agenda
Engine's Startup Policy Agenda for 2023 highlights the voices of those startup companies, investors, and support organizations as they discuss in their own words the obstacles they face and the ways policies have helped and hurt them. We hope it serves as a high-level overview of the issues we hear about from startups every day and a jumping off point for policymakers looking to support the technology industry's small businesses.
USPTO Public Advisory Board Must Represent The Public
The USPTO does not get all of its advice from the PPAC — and it shouldn't. But especially for an agency with limited avenues for public engagement, it's essential that when conversations are happening — including at the PPAC — policymakers make sure everyone gets a voice in how the patent system works.
Proposal to Redefine Patent Eligibility and What it Means for Startups
Last month, Senator Tillis (R-N.C.) introduced a bill to change the rules that govern what can be patented. Briefly, current patent eligibility law prevents companies from trying to own basic ideas and from trying to preclude others from building new businesses or innovations that rely on those underlying ideas.
Engine Releases Policy Roadmap for Supporting Startups Everywhere
Today, Engine issued a paper focused on the policy insights needed—and the legislative actions required—to adequately support the expanse of the startup ecosystem, and to grow the innovation economy. We hope this paper can serve as a resource for policymakers considering a wide range of policy issues that impact early-stage companies across the country.
Startup News Digest 07/15/22
The Big Story: Hope fades for pro-startup provisions in U.S. competitiveness package. After months of negotiations, Congress has hit another roadblock to advancing a compromise version of two bills aimed at boosting U.S. competitiveness: the Senate’s United States Innovation and Competition Act (USICA) and the House’s America Creating Opportunities for Manufacturing, Pre-Eminence in Technology, and Economic Strength (COMPETES) Act.
The 411 on SPACs
SPACs, or Special Purpose Acquisition Companies, are publicly traded vehicles other companies use as an alternative way to go public. These companies, also known as “blank check” companies, are essentially shell companies that do not have commercial operations. They are formed with the sole purpose of raising capital and merging with or acquiring private companies, so that these acquisitions can go public faster and with fewer costs than a traditional Initial Public Offering (IPO).
Startup News Digest 07/08/22
The Big Story: Copyright Office concludes ancillary copyright protections are not warranted. In a recent report, the U.S. Copyright Office explained why it does not recommend expanding or adopting new copyright-like protections for press publishers. The Copyright Office’s study was rooted in concerns about supporting vitally important local news media, but it focused specifically on whether policymakers should extend copyright-like protections (also known as “ancillary copyright”) to sharing hyperlinks and quoting news headlines or snippets of articles. Last week’s report concluded that it is not clear any new copyright-like protections would solve problems facing press publishers, while those sorts of copyright expansions would have “critical policy and Constitutional dimensions.”
Startup News Digest 06/24/22
The Big Story: Patent policy discussions resurface in D.C. this week. This was an active week for patent policy conversations in D.C., with the Senate, House, and Patent and Trademark Office (PTO) all weighing in. Procedures for reviewing low-quality patents took center stage, with many focused on the role the Patent Trial and Appeal Board (PTAB) plays in the startup and small business ecosystems. It is imperative that policymakers who want to understand the full impact of the PTAB—particularly in regards to U.S. startups—ensure startup voices have an equal seat at the table when the topics are discussed.
Startup News Digest 06/17/22
The Big Story: Possible federal privacy framework on the horizon. After years of discussions and negotiations, lawmakers are taking serious steps towards creating a much-needed federal privacy framework that would create consistency for startups and protections for consumers. Earlier this week, the House Energy and Commerce subcommittee on Consumer Protection and Commerce held a hearing discussing the American Data Privacy and Protection Act (ADPPA)—a draft bipartisan, bicameral bill that is the first meaningful step towards a federal privacy law following years of negotiations. Subcommittee Chair Jan Schakowsky (D-Ill.) reportedly said this week that the subcommittee will consider and vote on the bill during a markup next week.
Startup News Digest 06/10/22
The Big Story: Patent Quality Week examines impact, reach, importance of balanced patent system. Today we close out our second annual Patent Quality Week where we—alongside startup leaders, experts, and industries across the country—set out to demystify the complex patent system and highlight the important ways in which it impacts every person and business in the U.S. With a better understanding of how the system operates, and all the ways we encounter it, we can chart a path to ensure patent policy works for every entrepreneur, innovator, and individual. And we can make sure everyone has a voice in the system.
Startup News Digest 06/03/22
The Big Story: JOBS Act 4.0 could create more opportunities for startups. Policymakers are considering a sweeping package of proposals that could increase opportunities for startups to access capital and reduce regulatory barriers that make existing opportunities difficult. In comments to the Republican leadership of the Senate Committee on Banking, Housing, and Urban Affairs, Engine explained how the Jumpstart Our Business Startups (JOBS) Act 4.0—as well as potential modifications and additions to the bill—could incentivize investment, open up more avenues for would-be investors, and advance equitable access the startup ecosystem.
Startup News Digest 05/27/22
The Big Story: Indo-Pacific framework could advance digital trade priorities for startups. Early this week during his visit to Japan, President Biden announced the launch of the Indo-Pacific Economic Framework for Prosperity (IPEF) with 12 countries in the region. The framework—first outlined last year and including Australia, Brunei, India, Indonesia, Japan, Malaysia, New Zealand, the Philippines, Singapore, South Korea, Thailand, and Vietnam—is the administration’s primary trade engagement in the region and promises to touch on digital trade issues important to startups, like data flows and regulation of emerging technologies.
Startup News Digest 05/20/22
The Big Story: Tech waits to see if SCOTUS will let Texas social media law stand. The Internet ecosystem is waiting to see whether the Supreme Court will issue an emergency stay of a lower court ruling from last week that would limit Internet companies’ ability to remove harmful content. The emergency stay could come as early as today. This week, Engine joined the Chamber of Progress and over 20 Internet advocacy groups and civil society organizations in a brief to the court urging them to reverse the Fifth Circuit decision, which overruled a lower court ruling that kept a 2021 Texas social media law from going into effect.