As written by HAO NAN | China Daily Global | 2026-09-11: Patent Pools Drive Video Technology Progress

Transparent and pro-competitive standard-essential patent (SEP) pools can foster a long-term innovation cycle by rewarding innovators while facilitating the widespread adoption of next-generation video technologies, according to key industry insights shared at the 15th China Intellectual Property Annual Conference, held on Tuesday and Wednesday in Beijing.

Peter Moller, CEO of Access Advance, an independent global licensing administrator specializing in video compression patent management, took part in the high-profile IP event. He aligned the company’s market-driven, transparent licensing approach — based on fair, reasonable and nondiscriminatory terms — with China’s IP priorities for its 15th Five-Year Plan period (2026-30). These priorities focus on building high-value patents, driving commercialization and deepening international collaboration.

Moller emphasized that well-structured patent pools are critical for balancing implementers’ efficient access to patented technologies with fair returns on innovators’ research and development investments, enabling them to continue investing in innovation. He also noted that patent pools provide “a collaborative platform where Chinese innovators and patent owners participate in the governance of patent pools and can discuss, debate and collaborate with innovators and patent owners from all over the world to ensure that patent pools continue to play their pro-competitive role and contribute to a healthy innovation ecosystem”.

The global video and streaming sector faces increasing licensing complexity as HEVC, VVC, AV1 and VP9 codecs are adopted concurrently. These codecs are used simultaneously across smartphones, TVs, streaming platforms, automotive systems and cloud gaming services, leading to fragmented licensing arrangements.

“Our goal is to simplify the licensing environment as much as possible so that companies can focus on creating the best products or providing the best service, rather than negotiating multiple individual licenses, either bilaterally or with separate licensing programs, for each individual codec,” Moller said.

To achieve this goal, Access Advance has introduced market-tested mechanisms to reduce administrative and cost burdens. Its Multi-Codec Bridging Agreement offers discounted combined rates for licensees participating in both the HEVC and VVC patent pools, eliminating financial penalties when transitioning between codec generations.

Additionally, Access Advance designed its Video Distribution Patent Pool (VDP Pool) with this in mind. The VDP Pool streamlines operations by allowing service providers to deploy any combination of the four mainstream codecs — HEVC, VVC, VP9 and AV1 — under a single-price license, avoiding repeated negotiations or incremental royalty costs for each codec used.

Finally, following its acquisition of the VCL Advance Patent Pool administrator, the company aims to unify the administration of major HEVC and VVC patent portfolios, subject to decisions by VCL’s licensors.

Moller also addressed a common industry misconception, cautioning against the assumption that AV1 and AV2 are universally royalty-free. He explained that the royalty-free commitments of the Alliance for Open Media apply only among its members and do not cover essential patents held by third parties. To address market distortions, Access Advance has initiated an exploratory phase for an AV1/AV2 patent pool to ensure fair compensation for independent innovators. “We welcome all market participants to join the discussions and help shape that framework now,” Moller said.

Chinese enterprises have evolved from technology implementers into major contributors to innovation in global video standards. Many leading domestic companies, including Huawei, OPPO, Xiaomi, Alibaba, ByteDance, Tencent, Hikvision and ZTE, have already participated in Access Advance’s patent pools as both licensors and licensees.

Looking ahead, Moller outlined three strategic areas for deeper engagement with Chinese stakeholders: facilitating large-scale VVC commercialization, expanding VDP Pool adoption among domestic video streaming and e-commerce platforms, and inviting Chinese patent holders to contribute their expertise to the upcoming AV1/AV2 Device and Software Patent Pool.

Describing this year’s China Intellectual Property Annual Conference as “incredible” and “a new standard” for international IP dialogue, Moller expressed his expectation of further mutually beneficial collaboration with Chinese innovators to build a healthier and more sustainable global video codec innovation ecosystem.