Why Europe must keep the SEP licensing regulation to protect automotive innovation and competitiveness
Brussels, 14 May 2025 – The European Automobile Manufacturers’ Association (ACEA) echoes the calls of the European Parliament in support of the Standard Essential Patents (SEPs) licensing regulation and calls upon the European institutions to oppose the European Commission’s proposed withdrawal of the SEP regulation.
This important legislation, introduced in April 2023 and endorsed by a substantial majority in the European Parliament in early 2024, is essential to the success of European innovation and would ensure fair and reasonable access to patented wireless technologies for Europe’s automotive industry. It would allow the establishment of a more transparent and efficient SEP licensing framework and is intended to end the exploitative practices that undermine innovation and inflate costs for vehicle manufacturers.
Without this framework, European automakers remain vulnerable to non-European SEP license holders who refuse to license to suppliers and instead demand excessive royalties from Vehicle Manufacturers, often under the threat of injunctions.
There is a lot of discussion about the competitiveness of the EU industry and not letting EU industry fail in competition with other regions. This is a golden opportunity to translate this lofty rhetoric into practice – give EU companies, the users of patents, fair access to licences necessary to develop innovative technologies.
“This Regulation is vital for the future of connected and automated vehicles in Europe,” said Sigrid de Vries, Director General of ACEA. “Withdrawing it now would not only disregard the clear democratic mandate of Parliament, but it would also hand a strategic advantage to global competitors who have already moved ahead with regulatory solutions.”
It is urgent that the European Commission continue the legislative process, amend the proposal where needed, and adopt the SEP Regulation without delay. Europe’s R&D leadership and innovative strength, as well as the competitiveness of the European automotive industry in the digital age, are at stake.
ACEA echoes the calls of the European Parliament in support of the Standard Essential Patents (SEPs) licensing regulation and calls upon the European institutions to oppose the European Commission’s proposed withdrawal of the SEP regulation.
About ACEA
- The European Automobile Manufacturers’ Association (ACEA) represents the 16 major Europe-based car, van, truck and bus makers: BMW Group, DAF Trucks, Daimler Truck, Ferrari, Ford of Europe, Honda Motor Europe, Hyundai Motor Europe, Iveco Group, JLR, Mercedes-Benz, Nissan, Renault Group, Stellantis, Toyota Motor Europe, Volkswagen Group, and Volvo Group.
- Visit www.acea.auto for more information about ACEA, and follow us on https://www.x.com/ACEA_auto or http://www.linkedin.com/company/ACEA/
Contact:
- Ben Kennard, Head of Communications, bk@acea.auto, +32 (0) 2 738 73 17
- Julien Hoez, Media Relations Manager, jh@acea.auto, +32 (0) 2 738 73 45
About the EU automobile industry
- 13.2 million Europeans work in the automotive sector
- 10.3% of all manufacturing jobs in the EU
- €383.7 billion in tax revenue for European governments
- €106.7 billion trade surplus for the European Union
- Over 7.5% of EU GDP generated by the auto industry
- €72.8 billion in R&D spending annually, 33% of EU total
