The Patent and Trademark Office's Effort To Automate Its Trademark Operations

Testimony was given concerning the automation of trademark operations at the Department of Commerce's Patent and Trademark Office (PTO). GAO found that PTO, in attempting to carry out improved registration quality, cost-effectiveness, and reduced application processing time, did not: (1) properly manage its automation efforts; (2) thoroughly analyze or develop requirement analyses for its three automated trademark systems; (3) adequately assess the costs and benefits of trademark automation; (4) fully test its search system before accepting it from a private contractor; and (5) properly manage its exchange agreements. GAO noted that, although PTO benefited from the exchanges, several problems were found because: (1) PTO and the exchange agreement companies initially placed no value on the provision that PTO would limit public access to its database; (2) maximum practical competition on two agreements was not obtained; and (3) PTO did not adequately consider all future impacts of the exchanges on itself or the public.