ITU Workshop on Standards and Intellectual Property Rights (IPR) Issues

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ITU Workshop on Standards and Intellectual
Property Rights (IPR) Issues
STANDARDS IPR

• Dinesh Chand Sharma, Director, Regulatory Affairs
  Monica Magnusson, Director, Patent Portfolio
• Ericsson

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Agenda

• Why standardization in Telecom
• IPR in Telecom
• Telecom an Open Innovation
• What and Why FRAND in Telecom
• FRAND, a proven success in Telecom

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TELECOMSTANDARDIZATION FOR INTEROPERABILITY
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IPR IN TELECOM

• Follows concept of collaboration in other words
  open telecom standards e.g. 3GPP, 3GPP2
• Concept of building on each others inventions
• Mutual benefit to the industry through market
  growth, globalization, and networked technology
• Local, Global collaboration works on RD, IPR
  generation and its commercialization
• IPR Registration could be done in any, many
  countries

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OPEN INNOVATIONIN TELECOM STANDARDIZATION

Requirements agreed early Concurrent
research Technology sharing Consensus
selection Joint technology ownership 50
companies claim rights
Need for fair, reasonable and non-discriminatory
licensing
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FRANDWHAT DOES IT MEAN?

• FRAND commitment means no blocking patents
• Essential patents licensed
• Fair return on RD investments
• Market accessible to new entrants
• Reasonable cumulative royalty
• In summary
• Gives incentive for further innovation
• Makes it possible for new companies to enter the
  market
• Has a proven track record of global market
  success

Fair compensation in return for waiving monopoly
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FRAND ESSENTIAL IN THE OPEN STANDARDS TELECOMS
INDUSTRY
EQUIPMENTMANUFACTURER
PATENTOWNER
FRAND is intended to maintain the delicate
balance between the interest of the intellectual
property holder and the needs of the broader set
of companies that need access to the essential
intellectual property
- The essentials of intellectual property,
Signals Research group, 2010
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FRAND LICENSING IN TELECOM PROVEN SUCCESS
Mobile subscriptions by system standard
FRAND licensing is a key mass market enabler
Source Internal Ericsson
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