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Could new law improve innovation?

Yesterday, the US Court of Appeals rejected a patent application which will end the patenting of business methods that are considered more entrepreneurial than innovative. This ruling generally affects "thoughts" and there are no physical objects used in the rulings.

According to CNet News:
The U.S. Court of Appeals for the Federal Circuit ruled on Thursday that the patent application at issue was not tied to a machine and did not result in a transformation, both standards set by the U.S. Supreme Court for patentability.

What do you think about this ruling? Will this increase or hinder innovation in the software industry?

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