Patent Pools: A Practical Perspective - Part II

Abstract

Patent pools, i.e., the practice of one or more patent owners to come together to license their patents as a bundle, have played a relevant role in the Standard Essential Patents (SEPs) licensing scenario for many years now. Part I of this article2 exposes how the pools’ pro-competitive effects typically outweigh the antitrust concerns, such as the risk of price-fixing or unlawful tying agreements.3 Indeed, patent pools are very flexible in the formation phase and usually facilitate the SEP licensing process by offering higher transparency, more efficiency and a reduction of transaction costs. This allows participants to address certain challenges, such as in the Internet of Things (IoT), where increasingly new stakeholders incorporate standardized technologies in their products or services but lack experience in SEP licensing. One example, Avanci for the automotive and smart meters manufacturers, is analyzed in detail.

Keywords: patent pools, practical perspective, SEPs, standard essential patents, licensing