The Fair Standards Alliance celebrates the European Parliament vote in favour of the legal action against the European Commission’s withdrawal of the regulation on standard essential patents (SEP Regulation).
Today, the European Parliament once again expressed its support for a regulatory solution to the currently opaque, unpredictable and imbalanced licensing system for standardised technologies. The Parliament had supported with overwhelming majority the SEP Regulation in the co-legislative process.
“We are relieved that democracy in Europe prevails over well-funded lobby of powerful patent holders, mostly from overseas. Europe desperately needs a balanced licensing framework that rewards innovation while ensuring every company, large or small, can access and use the connectivity standards, such as WiFi or 5G, on fair and reasonable terms.” – said Evelina Kurgonaite, FSA Secretary General.
“For too long, companies across the technology ecosystem – especially SMEs – have faced disproportionate costs, legal uncertainty, and threats of market exclusion that has slowed innovation across the Internet of Things markets in Europe.”
The Court of Justice of the EU will now assess whether the withdrawal procedure was conducted in accordance with the rules, thereby bringing much-needed clarity and transparency to the unexpected Commission’s decision to withdraw.
For more than a decade, manufacturers, innovators, and SMEs have been calling for a framework that ensures greater transparency and fairness in SEP licensing. In the absence of such rules, companies are left facing opaque negotiations, inconsistent outcomes, and legal uncertainty, all factors that deter investment and slow the uptake of digital technologies across the economy.
The FSA is grateful to the European Parliament members for defending a democratic EU legislative process. The EU is built on the rule of law and a careful balance of institutions.
