New royalty rates announced for DVD technology
Posted on 25/01/08 16:01 by geno 888                             
New royalty rates announced for DVD technology
The DVD6C Licensing Group (DVD6C), consisting of nine developers of DVD technology and formats, announced that it has revised its worldwide patent licensing program beginning on and after January 1, 2008, including offering a new license agreement (the "New DVD6C License"), which offers reduced royalty rates on certain products and additional licensing options.

Oh yes, I can hear you: "What ... are you talking about???"

Probably most of end-consumers ignore that for each DVD they buy in the price is included a royalty to be paid to the owner of the patent. Patents are also the reason of the war between the next generation High Definition formats (Blu-ray and HD DVD), and also the reason why China created a new format (to not be forced to pay royalties).

Probably most of people ignore also the huge amount of patents involved in DVD technology, and then the amount of royalties that must be paid for each purchased disc.

Probably most of people ignore also that patents are not limited to the disc, but also to the apparatus necessary to play discs, i.e. screens, cables, standalone players and/or recorders, etc.

Anytime you see in advertisements the amazing features of a technology, what you see is actually a patent that forces you to pay a royalty to use that product.

More detailed information is available in the official announcement.

 

Reactions
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By yronnen, Fri 25 Jan 2008 18:17
"Anytime you see in advertisements the amazing features of a technology, what you see is actually a patent that forces you to pay a royalty to use that product." I had to comment about this line: Patents are the main reasons that companies are innovative. Why should a company invest millions of dollars on an invention if some copycat can just take the invention and sell it?
By geno888, Sun 27 Jan 2008 16:13
geno888The problem is that in my opinion most of patented technologies are actually useless. The only reason why a company obtain a patent is to oblige people to pay a royalty Frown What I'd like to have is lesser useless stuff (that I am forced to pay anyway when I purchase a piece of hardware) and more reasonable prices Smilie Does this makes sense? Smilie
By Hypnosis4U2NV, Sun 27 Jan 2008 21:32
Hypnosis4U2NVActually I dont think this is unfair at all.. Similarly, artists continue to get royalties on their creations long after the initial hype has passed..

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