LG Energy Solution to Launch New Business Model for Battery Technologies Licensing amid Surge in Patent Infringements

LG Energy Solution (LGES) is taking a bold step in the electric vehicle (EV) battery industry by launching a new business model of licensing out its battery technologies. With the surge in patent infringements, the South Korean company is gearing up to protect its intellectual property rights and maintain its competitive edge in the market.

According to Lee Han Sun, head of LGES’ intellectual property center, the company has witnessed a significant increase in patent infringements over the past few years, as more players enter the EV battery sector. This has led to a price war and a rise in violations of LGES’ patents in countries such as the United States, India, and China.

With about 580 patents infringed, LGES is not taking these violations lightly. The company supplies batteries to major automakers like Tesla, General Motors, and Volkswagen, and it plans to issue warning notices or take legal action against those suspected of infringing its patents.

To combat patent infringements and monetize its technology, LGES will be forming a global patent pool and licensing out its technologies in phases. This move comes at a time when global demand for EV batteries is on the rise, but the market is expected to weaken as EV demand cools down.

Despite the challenges in the industry, LGES remains committed to innovation and research and development. The company has invested approximately $4.5 billion in battery research over the past decade, highlighting its dedication to advancing battery technology.

As the EV market evolves and competition intensifies, LGES is determined to protect its intellectual property and continue leading the way in the EV battery industry. With its new business model of licensing out its technologies, the company is poised to navigate the changing landscape of the industry and maintain its position as a key player in the market.