As the Electronic Frontier Foundation has noted, in some cases “patents . . . have become a tool
for intimidation and expensive litigation, chilling the very innovation the patent system was sup-
posed to encourage.”8 That is the reality that LG is facing now. Excessive per-unit royalty rates
resulting from litigation, and the threat (known and unknown) presented by patent holders that
have not made commitments to license under RAND conditions, have a chilling effect on the de-
ployment of advanced technologies by LG. In addition, patent litigation costs are very high, even
when litigation is settled or otherwise resolved prior to trial. Moreover, consumers are adversely
impacted by the results of reduced investment and slower deployment of technologies. This is a
most unwelcome circumstance.
This challenging and uncertain patent landscape has forced LG to make the difficult decision to
suspend the inclusion of ATSC 3.0-compatibility in its 2024 television lineup for the United
States. This decision was not made lightly, because LG has been a vocal ATSC 3.0 advocate, a
strong supporter of local broadcasters, and a leading developer of television products with the lat-
est NEXTGEN TV technologies. Going forward, LG will, of course, continue to monitor the pa-
tent landscape and its effect on LG’s own product roadmap and overall industry dynamics.