Mindful of smartphone patent wars, automakers, now among top US patent filers, work together on self-driving IP issues via industry associations to avoid suits
Automakers are learning the mistakes by smartphone companies — Ford, BMW among those looking for licenses without lawsuits Tweets: @atripper Tweets: Anthony Trippe / @atripper : Many automakers, anticipating future #patent wars have joined alliances like @TheLOTNET , $RPXC , and @unifiedpatents to begin arranging licenses without litigation http://www.bloomberg.com/...
Context & Ripple Effects
The filing surge is documented: a study found automakers out-patenting tech companies on driverless cars, with Google — the most-patented tech firm — ranking just 26th. Having watched handset makers spend years litigating over mobile IP, Ford, BMW and peers are now among the top US filers and are joining defensive alliances like The LOT Network, RPX and Unified Patents to line up licenses before disputes start.
The move extends an existing cooperation habit: BMW built its autonomous program with Intel and Mobileye, then brought Fiat Chrysler in via its expansion of that partnership. The worry is not hypothetical — years later, carmakers would raise alarms about Chinese firms led by Huawei amassing standard essential patents for the connectivity layers self-driving cars depend on.
First-order effects
- Automakers gain pre-cleared access to self-driving IP through alliance memberships, swapping potential courtroom costs for negotiated licenses with Ford, BMW and peers as the named beneficiaries.
- Suppliers and tech entrants selling into autonomous vehicles now face a buyer side organized for collective licensing rather than one-off negotiations.
Second-order effects
- Non-practicing entities and patent-holding tech firms lose leverage against carmakers, since LOT-style agreements defuse the injunction threat that made smartphone-era suits profitable.
- Consortium models like BMW-Intel-Mobileye become more attractive because shared development pools IP internally, reducing what members must license externally.
Third-order effects
- If the pattern holds, self-driving becomes the first major platform transition where incumbents pre-empted a patent war through collective licensing — shifting value toward whoever holds standard essential patents, as the later Huawei filings controversy illustrates.
- Industry structure tilts toward a small set of licensed, cooperating OEMs, raising barriers for new entrants who lack both the patent stockpile and the alliance memberships.
The trend: As cars turn into software platforms, automakers are importing the smartphone industry's patent playbook but choosing its defensive version — alliances and licenses ahead of litigation.