A vehicle consists of approximately 30,000 parts, components and systems, each of which are
complex and technical by nature. It is thus not surprising that the automotive industry has
accumulated a wealth of experience in patents and innovation, and, in many jurisdictions,
automotive companies are the top applicants for patents.1 The automotive industry, including its
supply chain, has long relied on the traditional IPR rules and laws to protect innovation and the
ability to obtain licences for typical automotive technologies. European automotive companies
alone invest more than €30bn in R&D per year. Our members are concerned that traditional
protections for patents are being misapplied in the context of SEPs, to the detriment of European
industry, consumers, and innovation. SEP holders have made a voluntary commitment to license
on FRAND terms, which created a legitimate expectation of the implementers that they will grant
licences on such terms – as per the requirements set out by the EU Court of Justice when enforcing
SEPs. To ensure effective access to a standard, SEP owners must offer to license their essential
IPR to all third parties on fair, reasonable, and non-discriminatory terms.
CLEPA Position paper on Standard Essential Patents (SEPS) and Fair, Reasonable & Non-Discriminatory (FRAND) licensing
CLEPA represents over 120 of the world's most prominent suppliers for car parts, systems and
modules. CLEPA members consist of 23 National trade associations and European sector
associations, which represent more than three thousand companies and employ more than 5
million people while covering all products and services within the automotive supply chain. Based
in Brussels, Belgium, CLEPA is recognised as the natural discussion partner by the European
institutions, United Nations and fellow associations (ACEA, JAMA, MEMA, etc.).
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