The report includes five chapters.

Chapter 1 introduces the status of cellular communications in the automotive industry.

For chapter 2, it discusses the considerations for the automotive industry's licensing model to comply with the fair, reasonable and non-discriminatory (FRAND) terms, and analyzes the rationality of Avanci's charging model.

For chapter 3, the basis for licensing fees ("fee base") is elaborated in detail. The value created by cellular communication standard essential patents in automobiles is estimated both from the perspective of technology and consumer market, the former is based on the cost of T-Box, and the latter uses two models - characteristic price model and consumer survey model. In the end, it is concluded by the model calculation that the reasonable licensing fee basis for cellular communication SEPs in the automotive industry in the Chinese market should be between RMB 1,000 and RMB 1,800.

The licensing fee rate is the main issue analyzed in chapter 4. By the analysis of the use of cellular communication functions in automobiles and mobile phones, mainly comparing the differences in data usage, usage time, etc., The report proposes that the cumulative fee rate for cellular communication standard essential patents in the automotive industry should be about one-fifth of that in the mobile phone industry, and further proposes to use a regional discount rate.

For chapter 5, it summarizes the above calculation method, derivation process and calculation results: In terms of 4G multi-mode automobiles, the reasonable cumulative licensing fees for essential patents for cellular communication in the Chinese automotive industry should be RMB 7.125-16.362 per automobile; in terms of 5G multi-mode vehicles, the reasonable cumulative licensing fee for essential patents for cellular communication in the Chinese automotive industry should be RMB 8.895-19.840 for each one.

The "Research Report on Licensing Fees for Essential Patents for Cellular Communication in the Automotive Industry " is an essential innovative achievement in the field of intellectual property research in China's automotive industry. By the construction of a licensing fee base and rate model for standard essential patents from an economic perspective, it provides theoretical tools and practical guidance for automakers to deal with standard essential patents in global competition. The report not only provides solid support for China's automotive industry to go overseas with high quality, but also contributes to the "Chinese solution" for building fair and transparent patent licensing rules worldwide.

From Auto IP

December 20th, 2024