IEC Standard Revision Dynamics: Symbiosis between Standard and Technology

The International Electrotechnical Commission System of Conformity Assessment Scheme for Electrotechnical Equipment and Components (IECEE) enables each country to test products based on the same International Electrotechnical Commission (IEC) standard and to issue a test report that is accepted by other countries, instead of requiring that individual countries test products based on different national standards. In this way, it is possible to reduce costs, simplify the certification process, and reduce trade barriers. Relevant extant studies on standardization have focused on the network effect of the standard, the standard-setting process, and its political aspect. The standard essential patent (SEP) is a patent that cannot be avoided when complying with the standard. The extant studies on the SEP have concentrated on optimal patent application timing or filing patterns. In this study, we have examined standard dynamics concentrating on international standards and the SEP's characteristics, as well as its implications for firms with regard to a cycle of technology acceptance-standard development- intellectual property protection. We conducted survival analysis to analyze the standardization flow using data including IEC standards, IECEE-adopted standards and standards including SEPs. The results showed a difference between IEC-adopted standards and standards including SEPs regarding the occurrence of a standard revision. Such results highlighted the importance of standardization for firms' technology procurement and standardization strategies through IEC standard dynamics concerning the technology acceptance and SEPs.