A feasibility study on using blockchain technology to protect intellectual property rights in building information modelling

Abstract

Building Information Modelling (BIM) allows the creation of a digital representation of a construction project throughout its lifecycle, based on an intelligent model and enabled by a cloud platform. The introduction of BIM has brought about more rooms for collaboration and flexibility to construction workflows and has made it easier for data reuse. Nevertheless, the frequent transfer of design files during the lifecycle of a construction project increases the risk of design leaks and Intellectual Property Rights (IPR) infringements. It is therefore crucial to properly address IPR issues when a construction project involves numerous participants. The objectives of this dissertation are to evaluate the IPR concerns of BIM implementation in construction projects, and to investigate the legal, economic, schedule, operational and technological feasibility of using blockchain technology to protect IPR in BIM. A feasible conceptual framework to allow design owner entities or individuals to register their intellectual properties on a distributed ledger to preserve or transfer their designs' ownership will be proposed as a support to technological feasibility. This dissertation adopts qualitative research methods which include desk research, interviews, and case study. Through desk research, the concerns on confidentiality, availability, and integrity issues of IPR is BIM is clearly identified. The potentials of using blockchain technology to protect IPR in BIM are also illustrated based on its immutability, decentralized and smart contract features. To further look into the legal, economic, schedule, operational and technological feasibility of the proposed solution, 4 interviews were conducted in February 2023 with professionals who come from different positions in either the academic field or business field and have adequate experience and understandings towards construction and blockchain. Then, a case study on Opensea, a well-known transaction platform for Non-Fungible Tokens (NFT), is carried out to further support the operational and technological feasibility study. In specific, the user registration and authentication layer, digitalization and verification layer, data storage layer, and blockchain layer are discovered as the major components of a distributed and trustworthy framework for minting NFT. Findings revealed that it is generally feasible in using blockchain technology to protect IPR in BIM, although it depends on the priority of data security in the view of construction companies. Legally speaking, the admissibility of blockchain records as legal evidence has been recognized, while the need for an intermediary to handle licensing and rights management is still necessary to prevent license chaos. Economic feasibility depends on the complexity of project and level of customization required. While the cost of establishing and operating a blockchain-based solution can be substantial and attain hundreds of thousands of Hong Kong dollars, the benefits may outweigh the costs in the long run. The adoption of blockchain technology in the construction industry may require market-driven trends, economic incentives from the government, and increased awareness of the value of blockchain technology in protecting IPR. Then, the study on schedule feasibility shows that the development process can take several months to a year or more for complicated systems, while simple smart contracts can be created in less than 2 weeks for IP registration. It is hence feasible to provide a blockchain solution without affecting the critical events of a construction project. Next, operational feasibility can be achieved through the development of a governance framework, roles and responsibilities, and rules for accessing the system. Technological feasibility is also demonstrated through a conceptual framework of the blockchain-based solution for IP registration in BIM. The front-end of the framework includes the user-friendly interface enabling designers to register their intellectual properties and user to request access for the use of designs. While the back-end comprises on-chain metadata storage and off-chain original asset storage in an Interplanetary File System. The conclusion of this dissertation suggests that it is imperative to implement the proposed legislation based on blockchain to prevent legal disputes, reputation harm, and improve stakeholder relationships in construction projects. Although blockchain technology has its drawbacks, its advantages, such as security, immutability, data privacy, smart contracts, and transparency, make it a more reliable system for registering and safeguarding IPR in the construction sector. As a result, the construction industry should consider adopting blockchain technology for IPR registration to ensure its transparency and secure management.