We’ve already covered the royalty fees for one small business and we are launching a dedicated sign-up page so that more can take advantage

By Sven Torringer

Cellular IoT is a fast-moving and dynamic space, thanks in part to the rich diversity of firms competing to develop the next big connectivity vertical. From legacy players to innovative startups, companies that build successful cellular products will eventually need to navigate the licensing ecosystem that keeps wireless innovation going.

In late 2025, Sisvel established an IoT SME fund to help ensure that patent royalties are not a barrier to newer entrants. By covering a portion of SMEs’ royalty obligations from our own pockets, we hope to provide them with time and space to focus on developing great products while gaining experience and confidence around licensing.

Today, we’re excited to share that this fund is already delivering on its promise, with our first agreement finalised and more resources available for businesses that are ready to take the next step.

About the IoT SME fund

The IoT SME fund was created to support smaller businesses that are developing innovative connected products but may lack the resources to manage licensing arrangements at the outset of their growth journeys.

Participating SMEs obtain a licence to the Sisvel Cellular IoT patent pool – a programme comprising more than 30 leading patent portfolios and accounting for well over half of the standard essential patents reading on LTE-M and NB-IoT technology. Sisvel will cover the royalties for the first 2,000 units sold during the initial two years of the licence.

Once a company has sold more than 2,000 units – or has enjoyed not having had to pay royalties for more than two years – it will become subject to the same transparent rate structure as other Sisvel Cellular IoT licensees.

First SME agreement reached

We have already finalised one licence agreement with an SME licensee under the fund. This validates our belief that there is genuine demand among smaller businesses for supportive licensing frameworks. The agreement was reached through an amicable, collaborative process. The company, which develops NB-IoT emergency beacons for vehicles and is based in Spain, will not have to worry about paying royalties on the first shipments as it introduces its product to the market. We hope to watch it develop into an ever-larger player in the years to come.

Getting the word out

Our hope is that this marks the start of a growing community of SMEs empowered to innovate within the IoT space. We are currently speaking to a number of other SMEs about the fund and have also created a new page on our programme website with details about it to ensure that all potential licensees are aware of this offer. Anyone interested can easily get in touch via a web form or email contact to learn more. We encourage all SMEs working on cellular IoT technologies to reach out to us for an informal, commitment-free conversation. The offer is available to any SME that meets the criteria, wherever in the world it may be based.

A new model for IoT licensing

The SME fund is just one part of Sisvel’s broader effort to lead a transformation of patent licensing in the IoT sector. We believe that best-in-class patent pools which operate with transparency and efficiency are the only way to create a licensing market that’s inclusive of smaller players, and have pioneered several initiatives addressed at SMEs accordingly:

• We have invested in information campaigns to help new entrants to understand basic IP and licensing concepts.

• We have set our Cellular IoT programme licence fees at a level that is designed to encourage NB-IoT and LTE-M adoption.

• We have worked with some of the largest module makers in the market to create convenient licensing frameworks for their customers.

• We were a founding signatory of the WIPO Mediation Pledge for IoT SMEs – promising to offer confidential mediation in the event of an impasse over the licensing of Sisvel-owned patents

We look forward to welcoming more SMEs into the Sisvel Cellular IoT programme and will continue to build a licensing environment that helps the technology to thrive.

Sven Torringer is Programme Manager of the Sisvel Cellular IoT pool