Intellectual Property and Compatibility Standards: A Primer

Tim Simcoe, Assistant Professor of Strategic Management in the Joseph L. Rotman School of Management at University of Toronto.

9/04/2008
(Original Publish Date: 6/4/2007)

Voluntary standard setting organizations (SSOs), such as those certified by the American National Standards Institute (ANSI), are an important venue for achieving compatibility and interoperability in information technology markets. These groups provide a forum where industry participants perform collaborative research and discuss the merits of alternative technologies. The goal is to identify the best available solution for a given problem. Ultimately, SSOs choose a particular technology and issue a formal endorsement. This certification is meant to signal the end of deliberations and promote industry-wide investments in the new standard.