Monetising Data: Legal Frameworks And Strategic Considerations

In today's digital era, data is an invaluable asset for businesses, offering opportunities for innovation and competitive advantages. However, effectively monetising data involves navigating complex legal frameworks that govern ownership, protection, and commercialisation. This Article examines key legal provisions under Chinese law that facilitate and regulate data monetisation, focusing on intellectual property ("IP") rights, trade secret protections, data pledge financing, licensing mechanisms, and compliance challenges.

Data Ownership

The Chinese government recognised the economic attributes and value of large data sets by at least 2019 (if not much sooner), and recognised data as the fifth factor of production, alongside traditional factors, such as land, labour, capital, and technology.