New, lower royalty rates announced for Sisvel Cellular IoT patent pool
Luxembourg, May 14, 2024 – Sisvel has updated the royalty rate framework for its Cellular IoT programme, which offers a licence to more than 30 patent portfolios owned by world class innovators. Lower royalty segments have been added for both NB-IoT and LTE-M products in response to feedback from implementers and shifting commercial dynamics in the IoT market.
The new framework now also provides for royalties as low as US$0.08 per unit for NB-IoT products, depending on selling price. Previously, these products were subject to a flat royalty of US$0.66 per unit. This adjustment ensures that Sisvel’s solution will remain economically compelling as the industry continues to develop lower-priced and higher-volume NB-IoT use cases for mass-adoption.
For LTE-M and devices that implement both LTE-M/NB-IoT, a new mid-tier US$0.66 royalty rate has been introduced for smart sensor devices with a selling price between US$20 and US$60. This represents a 50% rate reduction for the segment, again reflecting feedback from the market.
“Since launching the Sisvel Cellular IoT pool, we have engaged with the entire IoT ecosystem, including end product makers, module providers and developers of cellular technology,” says programme manager Sven Törringer. “This new royalty framework, coupled with the groundbreaking deal we announced with Nordic Semiconductor last week, demonstrates our ability to create flexible, market-driven solutions that are able to balance the interests of all stakeholders and help drive wider adoption of cellular IoT technologies.”
The new rate structure is as follows:
| Royalty per unit |
|---|---|
NB-IoT |
|
- Selling price of US$6 or less | US$ 0.08 |
- Selling price of US$6-US$20 | US$ 0.35 |
- Selling price of US$20 and above | US$ 0.66 |
LTE-M* |
|
Smart Sensor Devices |
|
- Selling price of US$6 or less | US$ 0.08 |
- Selling price of US$6-US$20 | US$ 0.35 |
- Selling price of US$20-US$60 | US$ 0.66 |
- Selling price of US$60-US$130 ** | US$ 1.33 |
Smart Utility Metering Devices | US$ 2.00 |
* The LTE-M royalty rate also applies to multimode devices featuring both LTE-M and NB-IoT standard data connectivity.
** Sisvel is available to discuss applicable royalty rates for LTE-M Smart Sensor Devices with a Selling Price over US$130.
Please note that the listed rates represent the current royalty structure of the Sisvel Cellular IoT programme and may be subject to alteration in case of substantial changes to market conditions.
Contact
About Sisvel
Sisvel is driven by a belief in the importance of collaboration, ingenuity and efficiency to bridge the needs of patent owners and those who wish to access their technologies. In a complex and constantly evolving marketplace, our guiding principle is to create a level playing field with the development and implementation of flexible, accessible, commercialisation solutions.
Sisvel | We Power Innovation
www.sisvel.com
https://www.linkedin.com/company/sisvel-group
https://twitter.com/sisvelgroup