Markets for standardized technologies: Patent licensing with principle of proportionality

Hytönen, Henri; Jarimo, Toni; Salo, Ahti; Yli-Juuti, Erkki

doi:10.1016/j.technovation.2011.08.002

Cited by 31 publications

(15 citation statements)

References 55 publications

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“…They contribute to technology development but have negligible product sales (Hytönen et al 2012). Accordingly, they are reliant on selling the technology to manufacturers or technology-using service providers.…”

Section: The Network Aspectmentioning

confidence: 99%

“…Thus, manufacturers and service providers might leverage the standardization process to boost sales (Blind 2002). Simultaneously, owners of intellectual property rights (IPRs) might leverage the standardization process to increase the firm's royalties (Berger et al 2012;Hytönen et al 2012). The demand increasing effect is all the more important, the more novel the product or service is.…”

Section: Introductionmentioning

confidence: 99%

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The impact of participation within formal standardization on firm performance

2016

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Several studies highlight the economic benefits of standards, while the benefit of taking part in standardization remains a rather unexplored mystery to date. In theory, standard setters not only benefit from the possibility to monitor and shape the development of standards but also access a wide range of knowledge sources in the standards committee. Therefore, we investigate how the participation within formal standardization is related to the performance of 1561 German companies. A Cobb-Douglas production function is estimated in order to use the Solow-residuals as indicator for the firm performance. Participation within formal standardization is measured by the number of committee seats at the German Institute for Standardization (DIN). Our results suggest that participation within formal standardization is positively related to firm performance in the manufacturing sector. In the service sector, no clear evidence for such a relationship is found. This finding also holds true when we test if a service providers' intellectual property is well protected through patents.

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Section: The Network Aspectmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

The impact of participation within formal standardization on firm performance

2016

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“…Among others, one of the most widely used strategies to utilise essential patents is licensing (Hytönen et al 2012;, which can be largely divided into two types, namely, non-exclusive and exclusive licensing (Mowery et al 2001;Parr and Smith 2010). Under non-exclusive licensing, a patent holder allows all market players to use its patented technologies at a negotiated royalty rate.…”

Section: Standardisation and Essential Patentsmentioning

confidence: 99%

Analysis of essential patent portfolios via bibliometric mapping: an illustration of leading firms in the 4G era

Han

2015

Technology Analysis & Strategic Management

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This study aims to analyse the essential patent portfolios of individual firms via bibliometric mapping. Based on the maps drawn via this method, important clusters of each company are analysed and two interpretations are made. As an illustration, the mobile phone industry is selected because standardisation is highly important for firms in this industry. Among others, long-term evolution (LTE) of the 4G era is chosen as a standard and Qualcomm, Nokia, Ericsson, and NTT DOCOMO are included as leading firms. As a result, firm-wise LTE essential patent portfolios were visualised. Based on the information given in these maps, two important clusters (i.e. the clusters composed of frequently emerging words and their periphery and the clusters including particularly noticeable terms) were analysed. In addition, two interpretations were made as follows. First, specialised and expandable technological clusters for each company (14 specialised/expandable clusters for Qualcomm, 8 for Nokia, 11 for Ericsson, and 10 for NTT DOCOMO) were identified. Second, appropriate cooperative strategies were devised according to the ownership patterns of technologies as follows. To begin with, if the technologies were owned by one company (e.g. multi-carriers, duplex channel, error correction), a non-cooperative strategy, such as non-exclusive licensing, was advised. Next, when the technology was owned by two companies (i.e. OFDM (orthogonal frequency-division multiplexing)), a cooperative strategy, such as cross-licensing, was recommended. Finally, if the technologies were owned by multiple companies (i.e. MIMO (multi-input and multi-output) and data transmission), then a cooperative strategy, such as a patent pool, was proposed.

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“…If a firm owns complementary patents, these also affect the profits from technology commercialization [19] . The format of PC includes independent production, licensing, standardized patent licensing, selling, establishing start-ups, corporate alliance [12] [20] . The positive effect on PC and TIP seems to be particularly strong in high-tech settings, where new products require high degree of newness, and the licensing activities are common [21] .…”

Section: Patent Commercializationmentioning

confidence: 99%

Linkage between patent management and technological innovation performance: New evidence from Chinese high-tech enterprises

Cao

Sun

Cao

et al. 2014

2014 International Conference on Management Science &Amp; Engineering 21th Annual Conference Proceedings

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Given the changing role of patents within enterprises, this study aims to investigate the linkage between patent management (PM) and technological innovation performance (TIP) from a resource-based perspective. According to 252 valid samples collected from 106 high-tech enterprises, the analysis results show that patent acquisition (PA) has positively effect on patent protection (PP) and patent commercialization (PC); PP has positively effect on PC and PA; PA and PC have positively effect on TIP. Therefore, the key factors to enhance the linkage between PM and TIP are effective PA and subsequent commercialization. This study not only expands the academic research fields on PM and TIP, but also provides practical underpinning to the enhancement of TIP in Chinese high-tech enterprises through committing targeted patent management under open innovation.

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Markets for standardized technologies: Patent licensing with principle of proportionality

Cited by 31 publications

References 55 publications

The impact of participation within formal standardization on firm performance

The impact of participation within formal standardization on firm performance

Analysis of essential patent portfolios via bibliometric mapping: an illustration of leading firms in the 4G era

Linkage between patent management and technological innovation performance: New evidence from Chinese high-tech enterprises

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