The Mitsubishi Electric Group is vigorously promoting intellectual property ("IP") activities worldwide in support of global business development.

The Mitsubishi Electric Group recognizes its IP as a vital management resource for the development of its business and integrates its business and R&D activities with its IP activities. We own approximately 36,000 patents and file about 9,000 applications every year in Japan and overseas for a portfolio of competitive patents around the world.

Our IP promotion activities are managed at our IP division at headquarters, directly under the president, and through individual IP departments at respective facilities and R&D centers. We have also established the position of IP executive officer.

The headquarters IP division formulates strategies for the entire company, promotes IP focus issues, and handles interactions with the patent office. IP departments at facilities and R&D centers strive to execute individual IP strategies within the scope of the overall strategies of the entire company. We are building an IP network and are working to enhance the effectiveness of IP activities.

The basic philosophy underlying our IP activities emphasizes enhancing IP capabilities in response to the environment and features of the IP creation cycle. These activities help to further reinforce the competitiveness of Mitsubishi Electric's businesses. The IP division and departments promote strategic IP activities through the designation of IP focus themes for businesses to concentrate.

With international standardization becoming an increasingly important factor, we are stepping up our activities to obtain certificated patents for standards, aiming for increasing recognition of Mitsubishi Electric technologies as international standards.

In patents related to MPEG^*1, DVD and 3G mobile handset standards, and ARIB^*2 digital broadcasting standards, Mitsubishi Electric has taken the lead in promoting the establishment and management of patent pool organizations such as MPEG LA, DVD6C, Platform WCDMA and ULDAGE Inc. These IP activities are contributing to the improvement and expansion of business performance.

In response to further business globalization, the acquisition of overseas IP rights is also an important matter. We have therefore dispatched to the U.S., Europe and China IP representatives who work to strengthen IP capabilities and to accelerate our global IP activities.

Preventing infringement on intellectual property rights by other companies is another important aspect of our efforts. We are taking rigorous measures to eradicate counterfeiting by working closely with relevant industry associations and government agencies. We are also working to reinforce in-house measures, such as amending company regulations, designed to manage confidential IP material and prevent the leaking of it.