Licensing

Introduction

The Philips Touch-Enabled Devices patent release program gives companies access to a broad range of technologies used in today’s touch-enabled devices such as mobile phones, tablets, laptops and all-in-one PCs. The Philips Touch-Enabled Devices patent portfolio comprises some 450 patents.

By making available these patented technologies and innovations, Philips facilitates access to the market of touch-enabled devices. If you are engaged in the sale or manufacture of touch-enabled devices, you may benefit from the program. Within this program, the right to use the technology covered by the Philips Touch-Enabled Device patents is granted by way of a legal release for prior sales. The releases are granted by Philips after submission of each quarterly royalty report and payment in full of all royalties due.

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Patents

The chart below illustrates the broad range of technologies covered by the Philips touch-enabled devices patents available under the registration program.

In the download section you will find a list of the available touch-enabled patents available under the program.

Note that in addition to rights under Philips touch-enabled device patents, your company may require licenses for mobile phones, tablets, laptops and all-in-one PCs under technically essential patents of Philips covering various technical standards including, but not limited to, AAC, UMTS/LTE, MPEG-2, H.264 and H.265.

Becoming a Registrant

Philips is committed to enriching people’s lives through innovation, and therefore we have developed a low-cost patent release program that enables sellers and manufacturers of touch-enabled devices to enrich their customers’ media and connectivity experiences with our many patented technologies.  As a technology leader, Philips has a long heritage of making use of its intellectual property (IP) available to the market.

The program offers registrants the opportunity to report the sales of touch-enabled devices under the relevant product categories, pay the applicable royalties, and then receive a legal release for the products duly reported and paid for. Registrants can choose between two different systems of royalty calculation, depending on what suits them best.

How to join

Joining the Philips Touch-Enabled Device Patent release program is easy. Philips IP specialists operate globally and are ready to respond to your questions. They will work with you on every step, so you can quickly start using our patent-protected technology.

How do we determine royalties?
Royalties are determined either on a product-by-product and country-by-country basis (Discrete Rate Agreement) or a simpler flat rate basis (Blended Rate Agreement). The same approach for the determination of royalties is available to all registrants.

1. Meet with Philips IP Licensing representative
One of our licensing specialists will be assigned to your company so you have a personal contact with Philips. This contact person will explain the Program in detail and answer any questions you may have.

2. Portfolio Analysis
We work with you to determine which of your products are relevant and should be covered under a Registrant agreement.

3. Choose
Choose between the Blended Rate and Discrete Rate for royalties and sign the patent registration agreement.

Royalties / payment

You may choose between two different royalty calculation methods: 
(1) the Blended Rate and (2) the Discrete Rate.

The Blended Rate
The Blended Rate agreement incorporates a flat royalty rate applicable to every sold touch-enabled device. This involves less recordkeeping, paperwork and interaction between you, as registrant, and Philips and in many situations will also provide lower overall royalty payments than the Discrete Rate. The Blended Rate agreement has a Standard Rate of US$0.99 per device sold and a Compliance Rate of US$0.75 per device sold. The Compliance Rate is only available upon pre-payment of royalties each calendar quarter and full compliance with the terms of the Blended Rate Agreement. 

The Discrete Rate
The Discrete Rate agreement incorporates a product-by-product royalty calculation method based on the number of feature sets used and identified in the Discrete Rate agreement. Each feature set has a corresponding royalty rate. The total royalty for each product is the sum of the royalties for the feature sets used in the country of manufacture or sale. This calculation method requires discussion with your Philips contact for each new or revised product falling within the scope of the definitions used in the Agreement. The royalty may vary from product to product and even from country to country for the same product.  In some situations, the overall royalties payable may be lower than under the Blended Rate approach and may be advantageous despite the greater complexity.
For further explanation, see the download “Explanation of Agreements”.

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