Compulsory licensing of technology and the essential facilities doctrine

Reiko Aoki, John Small

Research output: Contribution to journalArticlepeer-review

14 Citations (Scopus)


We consider compulsory licensing of intellectual property as a remedy for anti-competitive practices. We identify aspects of intellectual property that could warrant a different remedy from those developed for access to physical essential facilities. Based on the analysis, we present a characterisation of optimal compulsory licensing for a simple market. We find that royalty payments offer a greater range of choices to a regulator than fixed fees. Thus, even though the marginal cost of supplying access to intellectual property is zero, some unit charging is likely to be efficient.

Original languageEnglish
Pages (from-to)13-29
Number of pages17
JournalInformation Economics and Policy
Issue number1
Publication statusPublished - Mar 2004
Externally publishedYes

All Science Journal Classification (ASJC) codes

  • Economics and Econometrics
  • Management, Monitoring, Policy and Law


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