Patent Dispute Between Automakers and Mobile Communications Technology Providers

Date
August 9, 2022

A German court hasbanned the sale and production in Germany of Ford carscapable of connecting to the Internet as part of a lawsuit alleging infringement of wireless technology patents. The ruling also orders the recall and destruction of the vehicles currently at Ford dealerships. The ruling can still be appealed.

 

Patent Dispute Between Manufacturers and Suppliers

Patent EP2294737B1, currently owned by IPBridge, protects a technology for a channel quality indicator and is essential to the LTE mobile standard. The judges have ruled that the FordPass-Connect connectivity module, which connects the car to smartphones, infringes the patent.

The ruling reflects the growing tension between automakers and technology companies that want automakers to pay royalties for the technologies used in navigation systems, vehicle communications, and self-driving cars.

Ford is also facing lawsuits related to connected cars in the United States and Italy.

 

The Automotive Industry and Mobile Communication Patents

IP Bridge had previously sued Volkswagen in Germany over the same patent. Before the court issued its ruling, the German automaker decided to pay for the rights to use an Avanci license, which also includes patents from other owners. Other automakers, such as General Motors and Tesla, have decided to acquire this license before being sued.

The lawsuits against Ford are part of a series of lawsuits involving connected cars against the automotive industry. In recent years, the Avanci group and other patent holders had focused on German automakers, such as BMW, Daimler, and the aforementioned Volkswagen, as well as their suppliers. For example, Nokiasued Daimlerover this very issue. BMW, Daimler, and Volkswagen ultimately decided to sign a licensing agreement with Avanci.

Author: Ruth Sánchez