What is IP theft?

Definition

IP theft (intellectual property theft) is taking or using someone else's inventions, designs, software, writing or brand names without their permission. It is not the same as IP address theft or identity theft.

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Category
Security
Also called
intellectual property theft, IP stealing
Last updated

"IP" here means intellectual property, not an internet address. NIST's glossary, quoting the World Intellectual Property Organization, describes intellectual property as the creations of the human mind. It splits IP into two branches: industrial property, which covers patents for inventions, industrial designs, trademarks and service marks, and copyright, which covers things like books, music, paintings, films and computer programs.

IP theft is taking or using one of those creations without the owner's permission. A former employee walks out with source code, a competitor copies a product design, or someone sells pirated copies of a film or program. The thing taken is an idea or a work, not a bank balance, which is why it often goes unnoticed until the copy shows up somewhere else.

How it happens

Some IP theft is digital: someone copies files from a laptop or cloud drive, or gets into a company's systems with stolen logins. Some is ordinary: a departing employee emails documents to a personal account, or a contractor reuses work they were only meant to deliver. Phishing is a common way in, because one stolen password can open a shared drive full of designs or code.

Why it matters to you

If you freelance, write, make music, design or run a small business, your work is your IP, and a single leaked draft or copied portfolio can cost you clients. Employees can also be affected: your login can be the way someone reaches your employer's IP, and your personal details can be used to make a phishing message to you look convincing.

  • IP address theft is a different thing: an IP address is a device's network address, and it is not an asset someone can own and lose in the same way.
  • Identity theft is using a person's identifying details to pose as them. IP theft targets work and ideas.
  • A data breach exposes stored data. It can lead to IP theft when the stolen files include designs, code or documents.

How to protect yourself

  1. 1

    Limit who can open your work

    Share files with named people rather than public links, and remove access when a project or job ends.

  2. 2

    Protect the accounts that hold it

    Use a unique strong password for each account and turn on two-step verification, so one leaked password doesn't open your drive or code repository.

  3. 3

    Keep a dated record of what you made

    Save drafts, source files and timestamps. If someone copies your work, dated originals help show it was yours first.

  4. 4

    Be wary of messages asking for files or logins

    Phishing is a common route to stolen work. Check the sender through a separate channel before you send documents or sign in from a link.

  5. 5

    Get legal advice for a real case

    Copyright, patent and trade secret rules differ by country. If you think your work was stolen, speak to a lawyer who handles IP.

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Frequently asked

Is IP theft a crime?

It can be. Copying or selling protected work without permission can lead to civil claims and, in some cases, criminal charges. The rules depend on the country and the kind of IP, so a lawyer can tell you how they apply to a specific case.

What counts as intellectual property?

Per NIST's glossary, quoting WIPO: patents, industrial designs, trademarks and service marks on the industrial side, and literary and artistic works such as books, music, films and computer programs on the copyright side.

Is IP theft the same as stealing my IP address?

No. People searching for this often mean the other meaning of IP. Here IP is intellectual property, the work you create, not the network address of your device.

Sources

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