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The Rules of Standard Setting Organizations: An Empirical Analysis

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Author Info
Chiao, Benjamin
Lerner, Josh
Tirole, Jean

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Abstract

This paper empirically explores standard-setting organizations’ policy choices. Consistent with Lerner-Tirole (2006), we find (a) a negative relationship between the extent to which an SSO is oriented to technology sponsors and the concession level required of sponsors and (b) a positive correlation between the sponsor-friendliness of the selected SSO and the quality of the standard. We also develop and test two extensions of the earlier model: the presence of provisions mandating royalty-free licensing is negatively associated with disclosure requirements, and the relationship between concessions and user friendliness is weaker when there is only a limited number of SSOs.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 6141.

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Date of creation: Feb 2007
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Handle: RePEc:cpr:ceprdp:6141

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Related research
Keywords: forum shopping; innovation; licensing; standardization;

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Find related papers by JEL classification:
L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
O3 - Economic Development, Technological Change, and Growth - - Technological Change

This paper has been announced in the following NEP Reports:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Joseph Farrell & Garth Saloner, 1985. "Standardization, Compatibility, and Innovation," RAND Journal of Economics, The RAND Corporation, vol. 16(1), pages 70-83, Spring. [Downloadable!] (restricted)
    Other versions:
  2. Josh Lerner & Jean Tirole, 2004. "A Model of Forum Shopping, with Special Reference to Standard Setting Organizations," NBER Working Papers 10664, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  3. Joseph Farrell & Garth Saloner, 1988. "Coordination through Committees and Markets," RAND Journal of Economics, The RAND Corporation, vol. 19(2), pages 235-252, Summer.
    Other versions:
  4. Emmanuel Farhi & Josh Lerner & Jean Tirole, 2005. "Certifying New Technologies," Journal of the European Economic Association, MIT Press, vol. 3(2-3), pages 734-744, 04/05. [Downloadable!] (restricted)
  5. Josh Lerner & Jean Tirole, 2006. "A Model of Forum Shopping," American Economic Review, American Economic Association, vol. 96(4), pages 1091-1113, September. [Downloadable!]
  6. Paul Klemperer & Jeremy Bulow, 1999. "The Generalized War of Attrition," Game Theory and Information 9901004, EconWPA. [Downloadable!]
    Other versions:
  7. Marc Rysman & Tim Simcoe, 2005. "Patents and the Performance of Voluntary Standard Setting Organizations," Working Papers 05-22, NET Institute, revised Oct 2005. [Downloadable!]
    Other versions:
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Mathias Dewatripont & Patrick Legros, 2008. ""Essential" Patents, FRAND Royalties and Technological Standards," ECARES Working Papers 2008_010, Université Libre de Bruxelles, Ecares. [Downloadable!]
    Other versions:
  2. Vitor Trindade & Johannes Moenius, 2007. "Networks, Standards and Intellectual Property Rights," Working Papers 0705, Department of Economics, University of Missouri. [Downloadable!]
  3. Josh Lerner & Jean Tirole, 2006. "A Model of Forum Shopping," American Economic Review, American Economic Association, vol. 96(4), pages 1091-1113, September. [Downloadable!]
  4. Gill, David & Sgroi, Daniel, 2008. "The Optimal Choice of Pre-launch Reviewer : How Best to Transmit Information using Tests and Conditional Pricing," The Warwick Economics Research Paper Series (TWERPS) 877, University of Warwick, Department of Economics. [Downloadable!]
  5. Milne , Alistair, 2005. "Standard setting and competition in securities settlement," Research Discussion Papers 23/2005, Bank of Finland. [Downloadable!]
  6. Layne-Farrar, Anna & Padilla, Atilano Jorge & Schmalensee, Richard, 2007. "Pricing Patents for Licensing in Standard Setting Organisations: Making Sense of FRAND Commitments," CEPR Discussion Papers 6025, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  7. Timothy S. Simcoe & Stuart J.H. Graham & Maryann Feldman, 2007. "Competing on Standards? Entrepreneurship, Intellectual Property and the Platform Paradox," NBER Working Papers 13632, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  8. PARLANE, Sarah & MENIERE, Yann, 2006. "Licensing a standard: fixed fee versus royalty," CORE Discussion Papers 2006116, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE). [Downloadable!]
  9. Aija Leiponen, 2005. "Clubs and Standards: The Role of Industry Consortia in Standardization of Wirelelss Telecommunications," Discussion Papers 997, The Research Institute of the Finnish Economy. [Downloadable!]
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