The 25% rule revisited and a new investment-based method for determining FRAND licensing royalties
Journal article, 2012
This paper starts with briefly discussing the 25% rule and the argumentation for and against it. The paper continues with developing a new investment-based method for determining FRAND licensing royalties, a method not only applicable to one-to-one bilateral licensing deals but also to multilateral deals with multiple license sellers and multiple license buyers. The paper ends with discussing limitations and generalizations, opening up for further research.
R&D
technology
intellectual property
patent
royalty
pricing
IP
FRAND
licensing
Author
Ove Granstrand
Chalmers, Technology Management and Economics, Industrial Management and Economics
Marcus Holgersson
Chalmers, Technology Management and Economics, Industrial Management and Economics
les Nouvelles
0270-174X (ISSN)
Vol. XLVII 3Subject Categories
Other Mechanical Engineering
Economics and Business
Business Administration
Driving Forces
Innovation and entrepreneurship