Standardization and Technological Innovation: Some Reflections on Ex-Ante Licensing, Frand, and the Proper Means to Reward Innovators
TILEC Discussion Paper No. 2006-017
17 Pages Posted: 20 Jun 2006
Date Written: June 2006
Abstract
In today's technology-driven world, industry standardization, component interoperability, and product-compatibility have become critical to promoting innovation and competition. Standards are typically created by voluntary organizations (generally referred to as standard-setting organizations (SSOs)) composed of participants from a given market or industry (electronic components, communications, etc.). They meet to discuss, analyze, refine, and ultimately adopt mutually acceptable standards, which ensure competing and complementary products and components are compatible and can interoperate with one another. SSOs have thus gained importance over the years in technology-driven sectors.
Keywords: standards, standardization, FRAND, licensing, royalties, cross-licensing, patents, caps, proportionality, hold-up
JEL Classification: K21, L13, L41, L51, L63, L96, 031, 034
Suggested Citation: Suggested Citation
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