H.264 licenses: Prices increase up to 45 times
6 days ago
- #H.264 licensing
- #video compression
- #FRAND patents
- Via Licensing Alliance increases H.264 licensing fees significantly, up to 45 times higher.
- New pricing tiers based on user numbers: highest tier for ≥100M users costs $4.5M/year.
- Companies without a license agreement by end-2025 face new fees; existing contracts are unaffected.
- Major players like Netflix could pay $4.5M annually, while smaller providers pay $100K/year.
- Fees are for patent holders in the standard under FRAND terms, but fairness of increases is debated.
- H.264 remains essential with no quick replacement, despite some expired patents.
- Unusual price hike for aging standard lacks comparable examples; FRAND analysis may scrutinize it.