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Licensing Policy And Technology Adoption In Standard Setting Organizations

Author

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  • Emanuele Tarantino

Abstract

The standard setting organizations' decisions on licensing policy and standard's technological specification, and the ensuing implications for social welfare are analyzed. The author finds the conditions under which a licensing rule that grants monopoly power to the licensors whose technology is adopted in the standard can be employed by the members of the consortium (ex‐post licensing). Moreover, it is shown that the adoption of ex‐post licensing might lead to the inefficient exclusion of an efficient stand‐alone licensor. Finally, the author discusses the conditions under which a policy of ex‐ante licensing can be less efficient than ex‐post licensing. (JEL K21, L15, L24, L42)

Suggested Citation

  • Emanuele Tarantino, 2015. "Licensing Policy And Technology Adoption In Standard Setting Organizations," Economic Inquiry, Western Economic Association International, vol. 53(1), pages 604-623, January.
    • Handle: RePEc:bla:ecinqu:v:53:y:2015:i:1:p:604-623
    DOI: 10.1111/ecin.12112
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    Citations

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    Cited by:

    1. Hiroshi Kitamura & Noriaki Matsushima & Misato Sato, 2024. "How Does Downstream Firms’ Efficiency Affect Exclusive Supply Agreements?," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 64(2), pages 219-242, March.
    2. Fiedler, Clemens & Larrain, Maria & Prüfer, Jens, 2023. "Membership, governance, and lobbying in standard-setting organizations," Research Policy, Elsevier, vol. 52(6).
    3. Ernesto Rengifo García & Francisco E. Beneke Ávila, 2021. "Los derechos de propiedad intelectual y la libre competencia," Books, Universidad Externado de Colombia, Facultad de Derecho, number 1301.
    4. repec:dpr:wpaper:0878 is not listed on IDEAS
    5. Junjun Hou & Ya Hou & Zijin Li, 2022. "Patent disclosure strategies of companies participating in standard setting: Based on government regulation perspective," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(8), pages 3987-3995, December.
    6. Lindblom Ted & Mallios Aineas & Sjögren Stefan, 2024. "A Theoretical Analysis of Collusion Involving Technology Licensing Under Diseconomies of Scale," The B.E. Journal of Theoretical Economics, De Gruyter, vol. 24(1), pages 263-297, January.

    More about this item

    JEL classification:

    • K21 - Law and Economics - - Regulation and Business Law - - - Antitrust Law
    • L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
    • L24 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Contracting Out; Joint Ventures
    • L42 - Industrial Organization - - Antitrust Issues and Policies - - - Vertical Restraints; Resale Price Maintenance; Quantity Discounts

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