Strategy to determine essentiality of SEP patents

June 12, 2025

Standard Essential Patents (SEPs) protect technologies crucial for implementing industry standards set by bodies like ITU and 3GPP. They are vital in telecom (GSM, 3G, 4G, 5G), Wi-Fi, Bluetooth, video codecs, and more. A patent becomes an SEP when the holder declares it essential to a standard via the SSO’s IPR declaration process. Products complying with the standard must use the patented technology.

Challenges in SEP Essentiality

  • Self-Declaration Issue: SEP declarations are self-assessed and rarely independently verified.
  • Over-Declaration: Many declared SEPs are not truly essential.
  • Business Impact: Overpaying for non-essential patents increases licensing costs and legal risks.

Strategy for Determining Essentiality

1. Comprehensive Portfolio Analysis

  • Study patent claims (device, network, method)
  • Analyze citations, background, field of invention, and problem statement

2. Database Search

  • Use of both paid and unpaid databases
  • Categorize each patent as SEP or Non-SEP with documented evidence

Mapping & Gap Analysis

  • Claim Mapping: Match claims with technical specifications of LTE standard
  • Evidence Charts: Prepared to support essentiality decisions
  • Remarks & Comments: Gaps and inconsistencies highlighted for each patent

Results & Insights

  • 50% of declared SEPs found non-essential
  • Only 25% had device claims relevant to the client's mobile manufacturing business
  • Key Outcome: Significant reduction in licensing obligations

Conclusion/Way Forward

Our analysis found that only 50% of the declared SEPs were truly essential, and just half of those had relevant device claims. This left only a few patents essential to our client, enabling a significant reduction in licensing costs. A strategic essentiality check ensures smarter decisions and leaner resource use.

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