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9 May 2019Patents

5G SEPs for automobiles on the rise: report

The number of standard-essential patent (SEP) families related to 5G with a vehicular application has surged in recent years, according to a report.

IPlytics, an IP analysis company, has  published research last month on 5G SEPs in the automobile industry which reveals that the number of SEP families covering the application of 5G in vehicles rose by 57% in 2018 from the previous year.

The report also reveals that 5G SEPs for automobiles are dominated by technology and telecommunications companies.

American microchip manufacturer Qualcomm leads the way in ownership of the SEPs, with 305 to date. Swedish telecommunications company Ericsson is in second place with 261, while Samsung, Huawei, and Nokia round off the top five with 224, 206, and 112 respectively.

None of the SEP families are owned by automobile manufacturers.

The development of 5G standards for vehicles has fallen largely to the same companies. Ericsson has had the most contributions to 5G standards with a vehicular application, with 357, IPlytics revealed. Huawei has had 308, and Nokia 260.

Huawei has been the most active party in asserting its SEPs in this sector, having litigated 16 of its SEPs to date, the report said.

IPlytics predicts that the future of the automobile industry will be increasingly dependent on 5G standards, with the application of technologies such as autonomous driving as well as new methods of navigation and communication.

There has been an increased focus in recent months on the importance of securing 5G SEPs on fair, reasonable, and non-discriminatory (FRAND) terms.

In January, WIPR  reported that bodies including the Fair Standards Alliance and ACT | The App Association had published new guidelines on FRAND licensing for 5G SEPs.

Those guidelines called for SEP owners to only threaten or initiate litigation in “exceptional circumstances”, where 5G licensing disputes cannot be resolved out of court.

Qualcomm, one of the leading owners of 5G SEPs for vehicles, is currently facing an antitrust suit from the US Federal Trade Commission (FTC), which has accused the microchip manufacturer of failing to offer its 3G and 4G SEPs on FRAND terms.

In its  closing arguments, the FTC warned that companies such as Qualcomm would be able to exercise a monopoly over 5G standards if they weren’t rebuked for their licensing practices.

Qualcomm has denied the FTC allegations, insisting it has met its FRAND obligations.

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