1. NJTIP 8th Annual Symposium FRAND Overview
Jorge L. Contreras
American University – Washington College of Law
March 8, 2013

2. Standards Development Environment
Interoperability standards
Voluntary consensus standards development organizations (SDOs)
Contreras/FRAND - Feb. 23, 2013

3. Patent Issues in Standard Setting
Patent stacking
Patent “hold up”
Contreras/FRAND - Feb. 23, 2013

4. SDO Policy Solutions Disclosure Policies Licensing Policies
SDO participants must disclose essential patents prior to approval
Licensing Policies
SDO participants commit to license essential patents [often on Fair, Reasonable and Nondiscriminatory (FRAND) terms]
Contreras/FRAND - Feb. 23, 2013

5. This should work, in theory…
Under Nash bargaining conditions:
bilateral ex ante negotiations between patent holders and standards implementers
with genuine non-discrimination commitments
should result in consistent, equilibrium royalties
(Gilbert 2011)
Contreras/FRAND - Feb. 23, 2013

6. But … FRAND Smart Phone Litigation 2010-2013
Contreras/FRAND - Feb. 23, 2013