A new company will handle license agreements for technology developed at Qualcomm Inc.
Dallas-based Avanci has opened up with the intention of becoming a one-stop shop for companies that want to produce internet-connected products — in other words, machines and objects that will become part of what futurists call the Internet of Things.
Avanci said it will license the communications technology from several other businesses, including Ericsson, InterDigital, KPN and ZTE.
“For the many manufacturers entering the IoT space, it can be cumbersome to determine which patent licenses are needed to enable connectivity and what is a fair price,” Avanci said in a statement.
Avanci promises to streamline the licensing process by offering a single license to patents owned by many companies on fair, reasonable and nondiscriminatory terms. (Members of the patent law community refer to the latter as FRAND.)
“Companies can expect a transparent, flat-rate price for each device that will vary based on the value the technology brings to the device,” Avanci said in its statement issued Sept. 14.
Avanci opened in April. Kasim Alfalahi is its founder and CEO. The clearinghouse will initially focus its licensing efforts on 2G, 3G and 4G cellular technologies for connected cars and smart meters, then expand to other markets.
Shares of Qualcomm trade on the Nasdaq as QCOM.