Nikolic, Igor; (2019) Licensing standard essential patents: FRAND and the internet of things. Doctoral thesis (Ph.D), UCL (University College London).

Abstract

The thesis examines the legal licensing framework of standard essential patents (SEPs) in the upcoming Internet of Things. In doing so it analyses the meaning and content of the commitment to license SEPs on fair, reasonable and non-discriminatory (FRAND) terms, assess the adequacy of current FRAND licensing models in the changed IoT environment and suggests avenues for reform. The precise meaning and content of FRAND licensing terms to date remain unclear, and the thesis will contribute to the literature by providing a comprehensive legal and policy analysis of different elements of FRAND commitment. In particular the thesis will look at the legal nature and enforceability of FRAND commitment; the role of contract and competition laws in ensuring compliance with a FRAND commitment; the principles of FRAND royalty; the methods for calculating FRAND royalty; the appropriate FRAND royalty base; the meaning of the non-discrimination requirement of FRAND commitment; the requirement to license at every level of the supply chain, and legal remedies available for infringement of SEPs. The answer to each element will provide a comprehensive guide to the meaning of the FRAND licensing framework. After providing an insight into what FRAND terms are, the thesis will look at the suitability of the current FRAND licensing framework in the IoT environment. It will be shown that current bilateral licensing models which mainly focus on cross-licensing may not be adequate in the IoT context. The thesis will critically assess current proposals intended at reforming the SEP licensing landscape and will suggest several measures with the aim of increasing the transparency and predictability of the SEP licensing framework in the IoT.

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