The EU’s Proposed Regulations of SEP Licensing and Litigation: A Solution or Setback for the Global Innovation Economy?

The European Union is considering adopting a wide-ranging regulatory regime for the licensing and litigation of standard essential patents (SEPs). Proposed for release on World IP Day (April 26, 2023), a leak revealed the EU plan to create an administrative tribunal to perform mandatory “essentiality checks” of certain SEPs, set royalty rates for those SEPs, mandate public disclosure of licenses, and provide mandatory but non-binding conciliation for disputes. Critics contend that this regulatory regime is unnecessary and will stifle the explosive rate of innovation in mobile telecommunications with added costs. Supporters argue this regime will bring more certainty in the marketplace and reduce costs in litigation over SEPs. This panel of experts will discuss the EU proposal and its implications for participation in standards development, patent law, commercial law, competition law and innovation policy in the global innovation economy.