We examine patent pools in the context of a consortium standard. Although such pools of complementary technologies are approved by antitrust authorities, the actual implementation has proved to be problematic. We identify two possible obstacles: free riding and bargaining failure. We also examine the traditional RAND (reasonable and non-discriminatory) licensing condition. We suggest formation, licensing and rent distribution methods more conducive to a successful patent pool operation
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Find related papers by JEL classification: O34 - Economic Development, Technological Change, and Growth - - Technological Change - - - Intellectual Property Rights L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
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Bruno Versaevel & Vianney Dequiedt, 2007.
"Patent Pools and the Dynamic Incentives to R&D,"
Working Papers
0703, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure.
[Downloadable!]
Klaus M. Schmidt, 2008.
"Complementary Patents and Market Structure,"
Discussion Papers
249, SFB/TR 15 Governance and the Efficiency of Economic Systems, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
[Downloadable!]
Patrick Gaulé, 2006.
"Towards Patent Pools in Biotechnology?,"
CEMI Working Papers
cemi-report-2006-010, Ecole Polytechnique Fédérale de Lausanne, Collège du Management de la Technologie, Management of Technology and Entrepreneurship Institute, Chaire en Economie et Management de l'Innovation.
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