Chairperson Choi Min-hee of the Science Committee: "Joint Ownership of Intellectual Property Rights for Next-Generation Launch Vehicles Not Possible"

Strong Warning on Space Agency's Mediation Direction Between KAIST and Hanwha

Choi Min-hee, Chairperson of the National Assembly Science, Technology, Information and Broadcasting and Communications Committee, has issued a strong warning regarding the joint ownership of intellectual property rights for the next-generation launch vehicle between the Korea Aerospace Research Institute (KARI) and Hanwha Aerospace, which was being promoted through mediation by the Korea Aerospace Administration (KAA).

Choi Min-hee, Chairperson of the National Assembly Science, ICT, Broadcasting and Communications Committee (right), is conversing with Noh Kyung-won, Deputy Director of the Space Aviation Agency (left), after the conclusion of the national audit on the 17th. Photo by Baek Jong-min

On the 17th, during the National Assembly audit held at the KAIST auditorium in Daejeon, Chairperson Choi disclosed a draft explanatory document received from the KAA regarding media reports that the KAA, KARI, and Hanwha Aerospace had agreed to seek joint ownership of intellectual property rights for the next-generation launch vehicle.

In the document, the KAA explained that the three parties agreed through consultations on the 25th of last month to: ▲ establish a consultative body led by the KAA to evaluate the specificity and contribution of intellectual property rights arising during the project execution; ▲ enable Hanwha Aerospace to obtain the status of a participating research institution under the National Research and Development Innovation Act to secure and utilize intellectual property rights; ▲ clarify the grounds for national ownership through re-announcement of the project and transfer intellectual property rights to national ownership based on this, allowing Hanwha Aerospace to utilize them through technology transfer procedures.

The KAA further stated that it would review the opinions gathered through the tripartite consultations promptly to resolve disputes and strive to activate private investment and technology development in the new space era.

Chairperson Choi argued that the explanatory document received from the KAA does not state that KARI owns the intellectual property rights. "As it stands, it talks about joint ownership," she claimed.

Chairperson Choi asked Lee Sang-yul, Director of KARI, whether he intended to jointly own the intellectual property rights with Hanwha Aerospace, and Director Lee responded, "Currently, under the contract, it is owned by us. It is difficult to change unless the contract is amended." Director Lee also remarked, "The new space era involves research funded by corporate investment rather than national budgets."

Chairperson Choi then pointed out, "While companies will participate in development, the national budget is astronomically larger. Does this make sense?" She emphasized, "I will pursue this to the end. Director Lee should also strive to protect the intellectual property rights. If KARI wants to retain the intellectual property rights, it must respond with a clear mind. The National Assembly will support you," she stressed.

Chairperson Choi accused the KAA of ignoring Article 16, Paragraph 1 of the National Research and Development Innovation Act, which states that "research and development outcomes shall be owned by the research and development institution that performed the research and development task by succeeding the rights from the researcher."

After the audit, when asked by reporters whether she was confident that the KAA would allow joint ownership with Hanwha, Chairperson Choi replied, "I have seen press releases for 30 years. I am certain of it."

The strong warning from Chairperson Choi visibly unsettled the KAA and Hanwha representatives. If Chairperson Choi does not withdraw her opposition, it will be difficult to promote joint ownership of intellectual property rights even with mediation by the KAA.

The next-generation launch vehicle project is a launch vehicle to be used for lunar exploration. Departing from the existing rocket development method led by KARI, a private space company, i.e., a system integrator, was selected to participate in order to foster the new space era. Hanwha Aerospace was selected as the system integrator after submitting the sole bid in a procurement process led by the Public Procurement Service, but later claimed joint ownership of intellectual property rights, causing conflict with KARI. KARI insists that nearly one trillion won of government budget has been invested, the contract is a simple assembly contract, and intellectual property rights belong to them under the contract, thus joint ownership of intellectual property rights is not possible.