The 25% Re Revisited and a New Investment-Based Method for Determining FRAND Licensing Royalties

Granstrand, Ove; Holgersson, Marcus

The 25% Re Revisited and a New Investment-Based Method for Determining FRAND Licensing Royalties

Granstrand, O. and Holgersson, M. (2012) ‘The 25% rule revisited and a new investment-based method for determining FRAND licensing royalties’, les Nouvelles, Vol. 47, No. 3, pp. 188-195.

14 Pages Posted: 7 Oct 2013

See all articles by Ove Granstrand

Marcus Holgersson

Chalmers University of Technology

Date Written: January 1, 2012

Abstract

This paper starts with briefly discussing the 25% rule and the argumentation for and against it. The paper continues with developing a new investment-based method for determining FRAND licensing royalties, a method not only applicable to one-to-one bilateral licensing deals but also to multilateral deals with multiple license sellers and multiple license buyers. The paper ends with discussing limitations and generalizations, opening up for further research.

Suggested Citation: Suggested Citation

Granstrand, Ove and Holgersson, Marcus, The 25% Re Revisited and a New Investment-Based Method for Determining FRAND Licensing Royalties (January 1, 2012). Granstrand, O. and Holgersson, M. (2012) ‘The 25% rule revisited and a new investment-based method for determining FRAND licensing royalties’, les Nouvelles, Vol. 47, No. 3, pp. 188-195., Available at SSRN: https://ssrn.com/abstract=2336859