Who is leading the 5G patent race?

IAM Media ^ | 12/28/2018 | Tim Pohlmann

[SeekAndFind]

The long-term vision is that 5G will lead to the invention of thousands of new products, technologies and services, increase productivity and allow for new industries to emerge. A global 5G network would unify mobile communication and connect individuals or devices to everything through the Internet of Things (IoT). 5G technology can connect vehicles, ships, buildings, meters, machines and other items with electronics, software, sensors and the Cloud, while embedded 5G technology would allow machines to exchange information and integrate computer-based systems in the physical world. In recent years 3G and 4G patent owners have controlled the way in which mobile technologies have been used in the smartphone industry. Therefore, 5G patent owners will likely become technology and market leaders by enabling 5G connectivity in various markets. Using the database and analytics of the IPlytics platform tool, Table 1 illustrates the increasing number of 5G SEPs that have been declared over the past five years – 5G SEPs are the patents that any company will have to use when implementing a standardised 5G technology.

Figure 1. Annual number of 5G SEPs being declared

While the implementation of 3G and 4G mainly concerned smartphone industry players, 5G will enable connectivity in the entire physical world through the IoT. In the future, any sector with some reliance on connectivity (eg, transport, energy, manufacturing, healthcare and entertainment) will make use of 5G and therefore use 5G SEPs. Successful 3G and 4G patent licensing programmes have demonstrated that income from patent royalties can be substantial; the target market for 5G patent licensing will be much larger than 3G and 4G since 5G patents will be required outside of the smartphone sector. Using the IPlytics platform tool, Table 2 illustrates the top 10 patent owners of 5G SEPs. The South Korean companies Samsung and LG, the Chinese companies Huawei and ZTE, the US companies Qualcomm, Intel and Interdigital, the European companies Ericsson and Nokia and the Japanese company Sharp are the major 5G patent holders.

Figure 2. Top 5G SEP owners

The automotive industry will most likely be one of the first to become reliant on 5G technology, connecting vehicles to other vehicles, roadsides, traffic lights, buildings and the Internet to process data across cars or in the cloud. Table 3 identifies 5G SEPs that relate to the connectivity of cars and automobiles. As the table shows, the number of 5G patent registrations has increased rapidly in recent years.

Figure 3. Annual number of 5G SEP registrations related to the automotive sector

The interconnectivity of different systems and communication across multiple devices relies on a common specification of the 5G standard. Due to the market potential of 5G, it is worth looking at the companies that are actively involved in the development of the 5G standard. The 5G standard is developed and adapted at international meetings where companies present and submit technical contributions. Using the IPlytics platform tool, Table 4 shows the top companies that have made technical contributions to 5G technology.

Figure 4. Top companies making technical contribution to the 5G standard

Another way of measuring involvement and investment in the development of the 5G standard is the attendance of engineers at the standards-setting meetings. Attendance at such meetings reflects the investment a company is making to developing the 5G technology, as companies send highly skilled technical engineers who commit their time to prepare, travel and discuss the latest technological developments. Using the IPlytics platform tool, Table 5 illustrates the number of employees per company who have been attending 5G standard setting meetings.

Figure 5. Top attendance at 5G meetings

The licensing of 5G SEPs looks set to become a major trend not only for the smartphone industry but for any manufacturing sector where connectivity is important. Senior patent managers and patent directors involved in 5G patents should consider the following:

• Future technologies involving connectivity will increasingly rely on patented technology standards such as 5G.
• The number of 5G SEPs is constantly rising – patent directors should start to consider royalty costs and appropriate security payments.
• Patent directors should not only consider information retrieved from patent data, but also monitor and consider other data concerning standardisation, such as technical contributions and meeting attendance.
• Senior patent managers must understand the dynamic nature of the SEP market, where patent assertion entities often acquire patent portfolios to assert extensive royalty payments.

Manufacturers should pursue a common strategy for patenting and standardisation to ensure that they are fully engaged in the development of future technology.

[PAR35]

Will this be a spectrum hog?

Yes and no. The capacity of the bandwidth will be greatly increased by 5G, but the number of devices using the bandwidth will increase exponentially.

[mrsmith]

Thanks.

5G pet bracelets... what silly things won’t consumers demand?
Lot of the spectrum wasted. And that will keep other uses out.

[vette6387]

“I like to know what is behind the acronym.”

I worked in the Silicon Valley for 25 years. As I understand it, 5G is a completely new generation of internet connectivity, and that there are most likely a sheaf of patents covering the system architecture and most likely approaches to chip set designs to enable the new system. That’s why it’s disturbing to me to see that Chinese companies are in the lead here with Korean and other Asian countries with what appears to be major chunks of the patented technology to make 5G work. No wonder we’re concerned about Huaweh and ZTE, and why the CFO of Huaweh is in jail in Canada awaiting extradition to the US because the Chinese are going to steal their way to the lead in everything.

[aquila48]

So, which company’s stock should we buy?

QCOM is at 57 from a high of 75 and paying a nice 4.4% dividend.

Huawei is not public.

Any others?

[Viiksitimali]

Nokia acquired Alcatel-Lucent in 2015.

https://www.forbes.com/sites/parmyolson/2015/04/15/nokia-buys-alcatel-lucent-for-16-6-billion/

[PIF]

All 5G Chinese made networks will, in some fashion or another, report back to the Chinese PLA, which owns/controls all Chinese companies.

[PAR35]

It’s not wasted. It’s being used to spy on you. Your refrigerator will track what you eat. Your stove will track whether you are risking your health by undercooking or wasting energy by overcooking. Are you cleaning your countertops properly? Politically incorrect speech in your home? “Alexia, what is a re-education training center, and when will my ride there show up?”

Where did you drive today, and did the route you selected waste energy. How many people were in your vehicle. And what did you buy with your chip when you got there. And who stopped by your house to visit in person today - your doorbell camera will be happy to tell us.

Tag reading cameras. Facial recognition software. All for one purpose.

As for wasted spectrum, that really depends on the range to the backhaul. Run fiber to every light pole in town, and then put a small antenna on each, and capacity is going to be much higher than the scattered large towers used today. Or since I already have fiber to the house, put a unit on my box outside to gather from me and my neighbors.

The goal is for 5G to not just replace current cell service, but to replace WiFi as well. No private networks, everything monitored by Google, or Amazon, or Facebook, or Dell, or AT&T, or a handful of other government approved monitors.

[PAR35]

Chinese Foxconn bought Japanese Sharp.

[Wuli]

Sad report, how little U.S. corporate giants are in this 5G advance.

“Globalism” and “free enterprise” are truly NOT practiced anywhere in East Asia - Japan, Korea, China, Taiwan. They are all nationalist, mercantilist, state-capitalist (each in their own way) while the boards of all the U.S. majors were convinced to ignore that and treat them (Asian companies) no different than a competing American company; while the Asia corporate giants are all nationalists caring about their nationalism first and last, not western “globalism”.

[Pollard]

“A global 5G network would unify mobile communication and connect individuals or devices to everything through the Internet of Things (IoT). 5G technology can connect vehicles, ships, buildings, meters, machines and other items with electronics, software, sensors and the Cloud, while embedded 5G technology would allow machines to exchange information and integrate computer-based systems in the physical world.”

Every breath you take
Every move you make
Every bond you break
Every step you take
I’ll be watching you

Every single day
Every word you say
Every game you play
Every night you stay
I’ll be watching you

Oh, can’t you see
You belong to me

https://www.youtube.com/watch?v=OMOGaugKpzs

[Svartalfiar]

I really detest it when acronyms aren’t defined.

A global 5G network would unify mobile communication and connect individuals or devices to everything through the Internet of Things (IoT).

Funny, they did define the one acronym a lot of people will know nowadays (and only use it once in the rest of the article), but they don't define the acronym central to the article, which is much less well-known. And has a wide range of meanings.