The US FTC requires FRAND commitments as part of merger settlement in the industry of automotive diagnostics (SPX / Bosch)

FTC Requires FRAND Commitments as Part of Merger Settlement with Broad Implications* On November 26, 2012, the FTC and Robert Bosch GmbH entered into a Consent Agreement that resolved the FTC’s inquiry into Bosch’s $1 billion acquisition of SPX Services. As part of the Consent Agreement the FTC required that Bosch agree to license on FRAND terms certain SPX patents. This is the first case where the FTC alleged an antitrust violation where a patent owner sought injunctions against willing licensees of FRAND-encumbered standard-essential patents. Moreover, the FTC obtained a consent agreement, establishing what the agency considers to be internal precedent – which puts licensors on notice that, in proceedings before the FTC, injunctions violate a FRAND commitment. The Consent Agreement

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Lee K. Van Voorhis, Brian E. Rafkin, The US FTC requires FRAND commitments as part of merger settlement in the industry of automotive diagnostics (SPX / Bosch), 26 November 2012, e-Competitions November 2012, Art. N° 53378

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