ISVs win ability to commercialise Government projects

ISVs win ability to commercialise Government projects

AIIA welcomes shift in Government policy that allows ISVs to retain IPs developed for Government Departments

The fallout from the Gershon review has won ISVs the ability to commercialise intellectual property (IP) developed for Government departments.

The Federal Government has decided to establish a default position in favour of ICT suppliers owning the IP for software developed under contract with any Financial Management and Accountability (FMA) Act Agency.

The amendment to IP principles was a recommendation arising from the Gershon Review.

The Australian Information Industry Association (AIIA) CEO, Ian Birks, said the industry body welcomed the change, which it had actively lobbied for.

In 2009, the AIIA was involved in detailed negotiations with Attorney-Generals in which the experience of members was analysed and shared. It also compiled a comprehensive report on global best practice for IP ownership that formed the basis of arguments made during the Gershon Review into Government use of ICT and subsequent negotiations on IP across other departments.

"The Government isn’t in the business of commercialising the IP of software products," Birks said.

"It's hard to estimate the value of the change, but it can be worth many millions of dollars, especially for SMEs. Applications developed for Government departments tend to be applicable for other departments or Governments overseas."

Despite the shift in policy, not all IPs will remain with the provider. There are a number of exceptions where the Government will retain the IPs such as defence applications, and the policy shift isn’t retroactive, meaning Government departments will retain the IPs of those applications already implemented.

The changes will take effect for all contracts negotiated from October 1. The Australian Government Statement of IP Principles will be shortly be amended to include the new principle, along with the Australian Government Intellectual Property Manual.

Follow Us

Join the newsletter!


Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags Gershon Reviewian birksAustralian Information Industry Association (AIIA)Australian Government Statement of IP Principles


ARN Innovation Awards 2022

Innovation Awards is the market-leading awards program for celebrating ecosystem innovation and excellence across the technology sector in Australia.

EDGE 2022

EDGE is the leading technology conference for business leaders in Australia and New Zealand, built on the foundations of collaboration, education and advancement.

Show Comments