A primary cause of the formation of patent pools and patent platforms is the issuance of overlapping patent rights to technology. The relation of patents to one another may be described as blocking, complementary, or competing. But for the settlemen...
A primary cause of the formation of patent pools and patent platforms is the issuance of overlapping patent rights to technology. The relation of patents to one another may be described as blocking, complementary, or competing. But for the settlement of the litigation or cooperation between the holders of those patents through such as a patent pool or a patent platform, the technology would be blocked by rival or competing patents. Patent pools are private contractual agreements whereby rival patentees transfer their rights into a common holding company for the purpose of jointly licensing their patent portfolio. The best example of a patent pool is the MPEG LA Patent Pool. A patent pool consolidate the patent rights into a central, independent entity, and establishes a method for valuing the patents and for dividing up the royalty stream generated through licensing revenues. Thus, a patent pool is suitable for solving the blocking problems of patents. However, a patent pool may not be suitable in the situation where over 100 companies own technology necessary for the implementation of standards, like 3G systems because 3G systems rely on complex systems, with multiple technologies, global reach from the very introduction of the first systems, and widely distributed patent rights. The solution for this problem is a patent platform. The 3G Patent Platform is the best and only example. The 3G Patent Platform is an industry defined approach for the evaluation, certification, identification, and licensing. of patents essential to the manufacture and operation of 3G systems. The lawfulness of some patent pools such as the MPEG LA. Patent Pool has been recognized by the US antitrust authority. Furthermore, the 3G Patent Platform has recently been approved the antitrust authorities of the US, EU and Japan. This article analyzes patent pools and deals with such topics on a patent pool as their lawfulness, structure, weakness and strength, function, and a licensing mechanism, a royalty structure, the evaluation of patents, essentiality of patents, the relationship between licensors and licensees, and etc. in patent pool. It also describes examples of a patent pool such as MPEG LA Patent Pool. Finally, it suggests that several factors be taken into consideration in deciding the lawfulness of each patent pool, which will be formed in the near future in Korea.