Determinants of Essential Intellectual Property Rights for Wireless Communications Standards: Manufacturing firms vs. non-manufacturing patentees

         
Author Name Byeongwoo KANG  (University of Tokyo) /MOTOHASHI Kazuyuki  (Faculty Fellow, RIETI)
Creation Date/NO. June 2012 12-E-042
Research Project Empirical Studies on the International Comparison of Open Innovation
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Abstract

Obtaining essential intellectual property rights (IPRs) is important for innovation competition in the network industry, where technical standardization plays a critical role in development. In this study, we empirically investigate the determinants of essential IPRs for wireless communications standards by using the patent database. More specifically, we use the technological capabilities of both the firm and the patent inventor to explain the probability of its selection as an essential IPR. In addition, we compare manufacturing firms' and non-manufacturing patentees' (NMPs) technology strategies for essential IPRs. Our results indicate that manufacturing firms accumulate their technological capability in specific technology fields, whereas NMPs cover broader technology fields to keep their dominant position in the standardization process.