LONDON :Britain’s competition regulator has recommended replacing a legacy EU-era exemption for technology licensing agreements with a UK-specific framework, in a move aimed at modernising post-Brexit competition rules.
The Competition and Markets Authority said on Tuesday it had advised the government to scrap the Assimilated Technology Transfer Block Exemption Regulation (TTBER), which is due to expire in April next year, and replace it with a new 12-year UK exemption order.
The TTBER allows companies to share and license technology, such as patents or software, under certain conditions without breaching competition law.
“Technology transfer agreements can often be pro-competitive and can benefit innovation, investment and growth… but certain clauses within such agreements can also have negative effects on competition,” the CMA said in its final recommendation to business and trade minister Peter Kyle.
Britain retained the TTBER after leaving the European Union, but it was under review as part of the government’s efforts to tailor its regulatory regime to boost economic growth.
Nokia, patent firm Sisvel International and independent licensing marketplace Avanci were among companies who responded to the CMA’s consultation.
The CMA said the proposed changes would give businesses greater clarity and flexibility, while ensuring that licensing deals do not harm competition.
The watchdog wants to remove outdated references to “utility models” and include newer rights such as database copyrights.
Under the proposed framework, agreements could qualify for exemption either by meeting existing market share thresholds or by demonstrating the presence of at least three competing technologies.
