The interplay of standard essential patents (SEPs) and EU competition law in the 5G era

This thesis examines the relationship between standard essential patents (SEPs) and competition law within the context of the 5G era in the European Union (EU). SEPs play an important role in the development and implementation of 5G by ensuring interoperability and standardisation, which helps facilitate innovation and seamless communication between devices and networks. However, licensing and enforcing SEPs introduce competition law challenges, especially in balancing the incentives for innovation with fair competition practices. The thesis addresses two primary research questions: 1) How regulatory frameworks and legal precedents shape the interplay between SEPs and competition law in the 5G industry within the EU, and what specific gaps or inconsistencies hinder effective market regulation. It also examines 2) how SEPs influence market dynamics, identifying potential barriers to innovation and competition arising from their implementation, and how key competition law issues impact the balance between incentivising innovation and preventing market abuse. The methodology combines a literature review, legal dogmatic analysis, and case studies to offer an understanding of the theoretical frameworks, key studies, and legal norms related to SEPs and competition law. The findings indicate that SEPs are integral to the advancement and implementation of 5G technology, fostering innovation and ensuring interoperability. Nevertheless, the licensing and enforcement of SEPs pose substantial challenges under competition law, particularly within the stringent regulatory framework of the EU. This thesis examines the economic impact of SEP licensing practices, emphasising the need to balance the encouragement of innovation with the prevention of market abuse. Policy recommendations suggest strengthening FRAND (fair, reasonable, and non-discriminatory) commitments, improving transparency in SEP licensing, and encouraging innovation and R&D investment. The study finds that a balanced approach to SEP enforcement is important for maintaining a competitive and innovative telecommunications industry in the EU.