NAVIGATING THE SEP ECOSYSTEM: STANDARDS, STANDARD ESSENTIAL PATENTS AND STANDARD-SETTING ORGANIZATIONS
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Abstract
The telecommunication industry is the backbone of modern technology that facilitates connecting people and devices across the globe. In India, the telecom sector has seen massive growth, with the total telephone subscriber vase reaching 1.99 billion in March 2024 and rural teledensity of 59.19%. This connectivity is possible due to standards. Standards provide the technical specifications and guidelines necessary for ensuring that products made by different manufacturers work seamlessly. For instance, an Android phone is able to connect to an iPhone due to certain standardized technologies present in it which enable interoperability. Interoperability is indispensable in any industry, even more so in the telecommunications industry. Standards play a crucial role in facilitating interoperability, creating cost efficiency and fostering innovation and competition.
One of the major components in this standards ecosystem is Standard Essential Patents (SEPs). SEPs are patents that are given the status of essentiality due to them being indispensable to implementing a standard. This means that any product or service anticipating to comply with a technical standard such as 5G or 4G must have these SEPs in them. SEPs a[[ re vital for the dissemination of standardized technologies and promote innovation. SEPs enable interoperability of devices and networks which is essential in the telecommunication industry. SEPs are considered to be “prized possessions” in a company’s portfolio as they yield high returns through licensing when compared to regular patents.
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