Ericsson Strengthens Focus on IPR Licensing

January 12, 2012 by Jeff Shepard

Ericsson states that it has the industry’s strongest wireless IPR portfolio, comprising 27,000 granted patents that cover a wide range of technologies, from wireless access (2G, 3G and 4G) to WLAN and the whole Information and Communications Technology (ICT) value chain. As wireless access is now being added in new types of devices, Ericsson is reorganizing its Licensing and Patent Development department with the focus on further monetizing its IPR assets.

An unnamed source at Ericsson has also informed PowerPulse.Net that this strategy applies to the company’s power modules as well.

Hans Vestberg, President and CEO of Ericsson, says, "The ICT industry is built on standardized and shared technologies, making it possible to create a global mass market for mobile telephony and mobile broadband. Today’s 6 billion mobile phone subscriptions, and close to 1 billion mobile broadband subscriptions, would not be possible without this industry mentality.

"As we are entering the Networked Society, we will see built-in wireless access beyond traditional devices like phones, laptops and tablets, providing new services to the consumers. This provides an interesting business opportunity for us, having this industry’s strongest patent portfolio, as any company or manufacturer that wants to get in there will need an agreement with Ericsson."

Ericsson’s Chief Intellectual Property Officer, Kasim Alfalahi, who currently reports to Ericsson’s CTO within Group Function Technology and Portfolio Management, will report directly to President and CEO Hans Vestberg. The reorganization is effective immediately.

Kasim Alfalahi said, "Ericsson complies with, and endorses, terms that are fair, reasonable and non-discriminatory for its patent licensing programs, which make standard-essential patents widely available. This makes Ericsson the partner of choice for new entrants to the market, as well as established companies seeking to license technology at fair and commercially viable rates."

Ericsson is today a net receiver of royalties and has signed more than 90 license agreements. With new devices and other industries entering the world of connectivity, Ericsson targets to grow its IPR revenues above the SEK 4.6 billion net revenue generated in 2010, as stated at the company’s Capital Markets Day on November 9, 2011.