And finally, to answer one question that has come up several times
in the comments to my post and in the comments over at the IE
Blog: What guarantee do licensees have that MPEG LA won’t raise
royalty rates by some outrageous amount when the royalty
schedules come up for renewal? The current rates are fixed for
five years, till the end of 2015, and are renewed again every five
years for the life of the patents. That guarantee appears to be
in place already in the Summary of AVC License Terms, which sets
out the royalties to be paid for different uses of the technology.
Here’s the language:
[F]or the protection of licensees, royalty rates applicable to
specific license grants or specific licensed products will not
increase by more than ten percent (10%) at each renewal.
That goes a long way toward making me feel more comfortable that
the cost of H.264 content is not going to impact you and me in any
significant way, even after 2016.