CJ Jouhal
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An Entrepreneur that leverages technology to grow and enhance a business. A Technologist that understands business and entrpreneurship and makes technology facilitate the business model.

These are my ramblings about business, technology, startups and whatever else.

What Is A Cross-Licensing Agreement

For example, Intel Inc. has several cross-licensing agreements with Advance Micro Devices Inc. (AMD).1 Similarly, Google and Samsung have agreements that cover existing patents as well as those that will be filed within the next 10 years from the date of the agreements.2 What is a cross-licensing agreement? How do large software companies use such agreements? Do you think their use is fair for small software development companies? Why or why not? A cross-licensing agreement is a binding contract between several parties in which each party has rights to a product, technology, research or something else. These types of agreements are advantageous in terms of intellectual property. Cross-licensing agreements typically occur between companies that hold patents for different facets of the same product. They will enter into an agreement that will prevent each of them from bringing disputes related to infringement litigation One of the biggest concerns about general cross-licensing agreements is that they create an almost impenetrable legal barrier to intellectual property for new entrants to the industry. The cost of licensing cross-licensed intellectual property can be unpacking for most startups. Antitrust authorities are particularly cautious about cross-licensing portfolios with provisions that could facilitate anti-competitive collusion activities such as pricing or market sharing. On Monday, Samsung also agreed to pay Swedish telecom company Ericsson about $650 million and future undisclosed royalties to settle a separate patent dispute. Ericsson sued Samsung in 2012 for alleged patent infringement, prompting Samsung to file a counterclaim.

Monday`s deal resolves those legal issues and allows Samsung to license patents related to Ericsson`s cellular infrastructure and touchscreens. While the deal deepens the relationship between Google and Samsung regarding certain technologies, they won`t be able to use the covered patents to bolster their case in existing litigation with other parties, according to a person who was briefed on the details and speaks on condition of anonymity because the deal is confidential. Cross-licensing agreements offer a number of significant advantages: a cross-licensing agreement is private, between two individual companies or between a consortium of companies. It may be public in some cases, such as a patent pool with joint management of intellectual property between a larger group of patent holders sharing one or more patents. .

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