Why Sisvel patent pools rock

Category
Licensing views
Date
January 23, 2025

Sisvel operates patent pools across areas including multimedia, broadcast, Wi-Fi, cellular and IoT. Since we opened for business in 1982, we have returned billions of euros in royalties to our licensors, while enabling technology implementers to quickly and efficiently deliver world class, innovative products to the market. This is why our programmes rock.

Recently, we published a three-part series explaining in detail the benefits our pools deliver for technology users, patent owners and the wider innovation ecosystem. We have distilled all of these points into three one-page crib sheets which are reproduced below.

1. Sisvel patent pools benefit technology implementers

Simple and efficient.

  • Licensing multiple portfolios for a single rate through a single negotiation with Sisvel saves significant management time for licensees

  • Pool licensees make a single report and a single payment, letting Sisvel shoulder the administrative burden of dealing with multiple patent owners

  • With more companies participating in standards-setting, Sisvel pool deals help licensees address the 'long tail' of patent owners

Balanced rates.

  • A Sisvel pool licence generally costs less than the sum of bilateral deals with participating patent owners

  • Sisvel is incentivised to foster realistic royalty expectations and set balanced rates

  • Sisvel pools with participation from major licensor-licensees have inherently balanced views of the market

  • Sisvel takes a big-picture view of the royalty stack rather than privileging the importance of one portfolio over another

Standardised terms.

  • Sisvel has little room to offer differentiated terms to similarly situated licensees

  • Start-ups, SMEs and new entrants can access standardised Sisvel pool terms at parity with similarly situated companies, creating a level playing field

  • Sisvel pool rates tend to stay constant even as membership in a pool grows

Transparent and predictable.

  • Sisvel’s transparent rates provide businesses with visibility on the costs of adopting a technology

  • Sisvel’s public pool terms serve as a benchmark, providing clarity and predictability to all licensees – including those that choose to license bilaterally

2. Sisvel patent pools benefit patent owners

Cost-efficient dealmaking.

  • Aggregation reduces transaction costs, eliminating many duplicative negotiations and agreements

  • Sisvel pools essentially offer an outsourced licensing team, freeing up in-house personnel for other strategic initiatives

  • SMEs, universities and research institutions that lack in-house licensing resources benefit especially from outsourced Sisvel pool licensing

A more attractive product.

  • Sisvel pools representing a large share of SEPs offer significantly more risk clearance and peace of mind than bilateral deals can provide

  • Sisvel pools can play a key role in promoting the covered technology by increasing certainty about adoption costs

  • Participation in a Sisvel pool provides external validation of a patent owner's IP as essential to a given standard

Institutional knowledge and expert administration.

  • Sisvel pools are managed by teams with extensive expertise and solid relationships with companies in key technology markets

  • Sisvel pool managers specialise in the relevant technology or vertical

  • Sisvel boasts a dedicated technical team, strong legal and administrative capabilities, and presence on the ground in Europe, Asia and North America

Stable, downside-protected returns.

  • Sisvel pools offer stable recurring royalties, with less scope for re-negotiation compared to bilateral deals

  • Sisvel shoulders upfront costs and gets paid based on dealmaking, so patent owner exposure is all upside

  • Participation in a Sisvel pool does not foreclose possibilities for bilateral licensing – it's just another option

3. Sisvel patent pools power the innovation economy

  • Sisvel patent pools fuel the inventive loop – everyone benefits when returns accrue to innovators and fund further R&D

  • Consumers benefit from Sisvel patent pools because they enable technology implementers to bring innovative new products to market more quickly with lower transaction costs and less legal risk

  • Sisvel patent pools enable SMEs and new market entrants that own patents but have few internal licensing resources to earn royalties

  • Sisvel patent pools create a level playing field that lets SMEs and new market entrants that implement technologies access standardised deal terms at parity with similarly situated companies

  • Sisvel patent pools play a key role in enabling universities and public-sector research institutes to commercialise their technology contributions

  • Sisvel patent pools are pro-competitive and operate within well-defined safeguards to ensure compliance with antitrust laws

  • All market players benefit from the transparency Sisvel patent pools bring to the SEP landscape

  • Sisvel patent pools are about dealmaking, not litigation, and frequently serve as an off-ramp for ending bilateral disputes between patent owners and implementers

  • Sisvel pool licensing is always optional and provides an additional route to a voluntary licence agreement, benefiting all market participants with greater choice

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