Expiring GSM patents will spark a fresh wave of innovation in the global mobile phone industry

Expiring GSM patents will spark a fresh wave of innovation in the global mobile phone industry,

Tens of thousands of patents filed back in the late 1980s to protect GSM technology used in the first digital mobile phones are now starting to expire, paving the way for a fresh wave of industry competition and innovation, according to Withers & Rogers LLP, a leading UK firm of patent and trade mark attorneys.

GSM technology was originally developed by the leading mobile phone operators and handset manufacturers for use in the first digital mobile phone handsets and networks, supporting voice calls and text messaging. The technology was extensively patented, but these patents have already started to expire and this is likely to spark a fresh wave of global industry competition over the next few years.

Nick Wallin, patent attorney, said:

“These essential GSM patents are held by leading brands like Motorola, Nokia and Eriksson and they have successfully protected this early digital mobile phone technology from competition for the past 20 years.

“As these patents expire, we should expect to see a fresh wave of competition among mobile phone manufacturers around the world as they seek to apply the technologies in their own handsets and infrastructure.

“This increase in competition is likely to drive down prices for GSM mobile phones and network equipment this could have a significant effect on the global mobile phone market.”

While in the UK and most of the developed world, GSM technology has been superceded by 2.5G (better known as GPRS) and 3G, which can support more data services, it remains popular in countries like Africa and India, where there is high demand for low cost telecommunications systems and infrastructure. The arrival of additional competition, bringing lower prices, is likely to drive market demand in these countries and could also create a new market opportunity in the UK.

Nick Wallin said:

“New access to GSM technology will be a boon for countries in the developing world, where the use of low cost mobile phones for voice calls and text messaging will have a significant impact.

“For the UK too, there is probably a minority group of mobile phone users, such as those that typically use pay as you go services, who may prefer to choose a low cost GSM phone in preference to the latest hi-tech versions. However, the growing popularity of mobile phone data services that allow users to surf the internet or send and receive emails or pictures, will mean that UK demand for old-style digital GSM phones is likely to be limited.

“What is more exciting are the possible new applications of GSM technology that will open up as the price of such equipment falls. For example, the technology can be used to remotely control both domestic and industrial equipment, as well as for location-tracking purposes. As the price of GSM transceiver chipsets falls under increased competition, it will become possible to include the technology in all sorts of things – you may never loser your car keys again!”