Competition and intellectual property rights (IPRs) are both necessary for a market to work efficiently and to promote consumer welfare. Properly applied, intellectual property rules define a legal framework which allows undertakings to profit from their inventions. This in turn encourages competition among firms and enhances dynamic efficiency, to the benefit of consumer welfare. Standard setting represents one of the fields where the interaction between competition law and IPRs clearly comes to light. The collaborative goal of standard setting organizations (SSOs) is to adopt and promote standards that either do not conflict with anyone’s right or, if they do, are developed under condition that patents are licensed under defined terms. This book examines the tension between IPRs and competition in the standard setting field which can arise when innovators over-exploit the rights they have been granted and hold up an entire industry. The book compares EU and U.S. jurisdictions with a particular focus on the IT and telecommunication sectors. It scrutinizes those practices which could harm standard setting and its goals, looking at misleading conducts by SSOs’ members which may lead to breach the EU and U.S. antitrust provisions on abuse of market power. Recent developments in EU and U.S. standard setting are analysed highlighting the differences in enforcement approaches. The book considers how the optimal balance between IPRs and industry standards can be struck, suggesting a policy model which takes into account both innovators’ interests and SSOs’ goals.

Competition and intellectual property rights (IPRs) are both necessary for a market to work efficiently and to promote consumer welfare. Properly applied, intellectual property rules define a legal framework which allows undertakings to profit from their inventions. This in turn encourages competition among firms and enhances dynamic efficiency, to the benefit of consumer welfare. Standard setting represents one of the fields where the interaction between competition law and IPRs clearly comes to light. The collaborative goal of standard setting organizations (SSOs) is to adopt and promote standards that either do not conflict with anyone’s right or, if they do, are developed under condition that patents are licensed under defined terms. This book examines the tension between IPRs and competition in the standard setting field which can arise when innovators over-exploit the rights they have been granted and hold up an entire industry. The book compares EU and U.S. jurisdictions with a particular focus on the IT and telecommunication sectors. It scrutinizes those practices which could harm standard setting and its goals, looking at misleading conducts by SSOs’ members which may lead to breach the EU and U.S. antitrust provisions on abuse of market power. Recent developments in EU and U.S. standard setting are analysed highlighting the differences in enforcement approaches. The book considers how the optimal balance between IPRs and industry standards can be struck, suggesting a policy model which takes into account both innovators’ interests and SSOs’ goals.

Standardisierung ist ein wesentliches Instrument zur Förderung von Innovation und Wettbewerb, was wiederum sowohl Verbrauchern als auch Unternehmen zu Gute kommt. Doch aufgrund der Tatsache, dass die Normen in der Regel durch Standardessentielle Patente (SEP) geschützt sind, kann die Standardisierung den Zugriff auf die Technologie behindern und denjenigen den Eintritt in den Markt erschweren, die nicht Patentinhaber sind. Normungsorganisationen (SSPs) haben die Aufgabe das Gleichgewicht zwischen den Patentinhabern und den Nutzern herzustellen. Die Patentinhaber sollen von den Nutzern eines Standards Gebühren erhalten, die die Akzeptanz des Standards nicht unnötig gefährden. Recht häufig kommt es zu kostspieligen und zeitraubenden Rechtsstreitigkeiten, weil die Parteien nicht in der Lage sind, angemessene und nicht diskriminierende Lizenzbedingungen (FRAND) zu vereinbaren. Eine solche Situation behindert zwangsläufig die Umsetzung der standardisierten Technologie und führt zu der Frage, welche Funktion die SSOs während des Standardisierungsprozesses und bei der Festlegung des Standards haben.

Patent Challenges for Standard-Setting in the Global Economy: Lessons from Information and Communication Technology examines how leading national and multinational standard-setting organizations (SSOs) address patent disclosures, licensing terms, transfers of patent ownership, and other issues that arise in connection with developing technical standards for consumer and other microelectronic products, associated software and components, and communications networks including the Internet. Attempting to balance the interests of patent holders, other participants in standard-setting, standards implementers, and consumers, the report calls on SSOs to develop more explicit policies to avoid patent holdup and royalty-stacking, ensure that licensing commitments carry over to new owners of the patents incorporated in standards, and limit injunctions for infringement of patents with those licensing commitments. The report recommends government measures to increase the transparency of patent ownership and use of standards information to improve patent quality and to reduce conflicts of laws across countries.

This Handbook is particularly important because of the increasingly critical role standards play in our economy. Within the broad scope of this Handbook are quality standards, informational standards, uniformity standards, interoperability standards and non-products standards such as professional conduct standards. These standards promote innovation, productive efficiency, and market structure. The Handbook describes how the antitrust laws balance these procompetitive effects against the potential mususe of standards, and the sandard-setting process, to create barriers to entry, retard innovation, raise rivals' cists, facilitate collusion, and protect market position. The Handbook also recognizes the increasing role played by governments - federal, state and interantional - in the promulgation of standards, and how that impacts the application of the antitrust laws. Finally, the Handbook addresses the remedies available to redress the effects of standards-related activity found to be unlawful.

This book is open access under a CC BY 4.0 license. With technology standards becoming increasingly common, particularly in the information and communications technology (ICT) sector, the complexities and contradictions at the interface of intellectual property law and competition law have emerged strongly. This book talks about how the regulatory agencies and courts in the United States, European Union and India are dealing with the rising allegations of anti-competitive behaviour by standard essential patent (SEP) holders. It also discusses the role of standards setting organizations / standards developing organizations (SSO/SDO) and the various players involved in implementing the standards that influence practices and internal dynamics in the ICT sector. This book includes discussions on fair, reasonable and non-discriminatory (FRAND) licensing terms and the complexities that arise when both licensors and licensees of SEPs differ on what they mean by “fair”, “reasonable” and “non-discriminatory” terms. It also addresses topics such as the appropriate royalty base, calculation of FRAND rates and concerns related to FRAND commitments and the role of Federal Trade Commission (FTC) in collaborative standard setting process. This book provides a wide range of valuable information and is a useful tool for graduate students, academics and researchers.

Consumers can make choices because of the differentiation that is preserved by intellectual property. Competition law informs intellectual property, generally with the intent of ensuring that it achieves this main purpose. However, very often, certain public policies relating to competition interfere with the way intellectual property should normally operate, either with the purpose of reinforcing its differentiating role, or with the objective of submitting it to other public goals – such as access to essential goods and services, or in recognition of situations where a given invention becomes part of a technical standard or is deemed dangerous to health or the environment. This book presents eighty cases that interpret the various public policies that mould the interface of intellectual property law with competition law (or antitrust). Although most cases are from the United States - which has developed an enormously wide wealth of jurisprudence in this area - there are also cases from the European Union, the United Kingdom, Australia, Canada, South Africa, Brazil, South Korea, India, and Argentina. The author presents the cases under the following general headings: • setting the right dosage (i.e., avoiding too much or too little intellectual property); • setting the standards of differentiation; • refusing to license intellectual property; • licensing (and assigning) intellectual property; • enforcing intellectual property rights; • remedies; • intellectual property in sectors of special public interest; and • technical standards. Revealing in extraordinary depth the tensions behind the values of the free market which intellectual property serves and the variety of responses these tensions provoke, this book may be regarded as a watershed resource regarding the principles and policies that, sometimes coherently, sometimes not, preside over the very complex relationship between intellectual property and antitrust. It is sure to be greatly valued by all professionals in both fields, from practitioners to policymakers, as well as by academics.