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It is sometimes said that the utility model registration system has finished its role since the total annual number of domestic utility model application filings is only about 5,000 whereas that of domestic patent application filings is about 300,000.
One of the reasons for this is that the 1993 revision of the Utility Model Act made the utility model registration system non-examining, which led to instability of rights and restrictions on the exercise of rights.

Meanwhile, the utility model registration has advantageous aspects such as early acquisition of rights and inexpensive cost.
If you aim to have an early acquisition of right to prevent or restrain reckless imitation, but the possibility of exercising right is not very high, or if you have no prospects for sales or profit for your product or service that would meet the cost for patent right acquisition, you may file for utility model that allows a low cost and simple registration.

The Utility Model Act was revised in 2005 and the period of utility model protection is now ten years. Further, a correction for the purpose of restriction of the scope of claims and converting a utility model application into a patent application are available, thus increasing the utility of the utility model registration.
A device that relates to the shape or structure of an article or combination of articles is protected by the utility model registration, whereas a computer program itself is not a subject of protection. However, smart phone applications, games, etc. can be registered as a utility model, as a system consisting of a server, network, communication terminals, etc.

New mechanisms for applications or games for smartphones, tablets, PCs, etc. can be accumulated as a property by the acquisition of patent rights.
Game mechanisms (billing system, raising events), hardware mechanisms (controller/touch screen, ingenuity of interface), ingenuity of CG expression, new functions or processing of the application, etc. are all subject to patent protection.

By obtaining a patent for the mechanism of the application or game that you have spent a lot of time and effort developing, it can be used in the future as a unique asset even after its commercialization.
For example, “loot box” used for games has been patented and turned into a property with a number of patents.

Further, ideas that have not been adopted as a product and that are not yet implemented may become a property by the acquisition of patent rights.
A device that relates to the shape or structure of an article or combination of articles is protected by the utility model registration, whereas a computer program itself is not a subject of protection. However, applications, games, etc. can be registered as a utility model, as a system consisting of a server, network, communication terminals, etc.

New technologies for devices or systems that you have spent a lot of time and effort developing can be accumulated as a property by the acquisition of patent rights.
Further, they can be used in the future as a unique asset even after the commercialization. Moreover, ideas that have not been adopted as a product and that are not yet implemented may become a property by the acquisition of patent rights.

As an effect of patent rights, it can be expected to include acquisition of reliability, display of technical skills, facilitation of financing, promotion, advertising, etc. as well as elimination of monopolization on the market and of imitations/similar products.
Meanwhile, if you infringe others’ patent rights, the continuity of your business may become at risk. A patent strategy in accordance with your goal is thus important.

However, during the start-up phase of your business, launching a business is focused and a resource for acquisition of patent rights tends to be insufficient.
For companies that do not have a patent (intellectual property) department or personnel in charge of intellectual property matters, continuously performing the following (discovering inventions, searching prior arts, dealing with Office Actions, etc.) may become a major burden for personnel in technical/development department.