Apple Asked Standards Body to Set Rules for Essential Patents
StandardSAN FRANCISCO—Apple Inc. has asked a telecommunications standards body to set basic principles governing how member companies license their patents, an increasingly contentious topic for rivals in the smartphone industry.
In a letter to the European Telecommunications Standards Institute, Apple said the telecommunications industry lacks consistent licensing schemes for the many patents necessary to make mobile devices, and offered suggestions for setting appropriate royalty rates that all members would follow.
Many mobile technology companies, such as Motorola Mobility Holdings Inc. and Samsung Electronics Co. Ltd., hold patents that became part of industrywide standards. Standards bodies often require the patent holders to offer to license their patents to any company on a basis known as Frand, or fair, reasonable and nondiscriminatory. Questions about such commitments have arisen amid a flurry of patent suits between rivals in the mobile-device market.