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Patent trends in the electric vehicle industry

Release Time：

2023-04-28

The International Energy Agency (IEA) noted that the electric vehicle (EV) industry has grown exponentially in recent years due to improvements in range, model availability and performance. In the major auto markets, electric vehicle sales have surged, reaching a record high of 6.6 million units sold in 2021. Major economies are leading the way, while emerging countries have yet to fully embrace the industry due to lack of infrastructure and higher costs. However, governments around the world are already working to boost the industry through grants, subsidies, tax rebates and other financial means. Companies around the world are rushing to patent new electric vehicle inventions.

Invention explosion

The growing popularity of electric vehicles stems not only from environmental concerns, but also from the opportunities it presents. In this innovative environment, start-ups as well as larger companies have been thriving. Electric vehicle technology has spawned many innovations in battery technology. For example, the European Patent Office (EPO) reported a 14 percent increase in international family patents for electricity storage from 2005 to 2018, with 88 percent related to battery technology. The main patent holders for battery technology are Samsung, Panasonic, LG Electronics, Toyota, Hitachi and others, most of which are in Asia.

While some companies try to patent 2 or 3 technologies at the same time, some companies focus on just 1 technology. The United States and China are the leading countries for extensive research into electric vehicles, leading the way in patent applications between 2010 and 2020. Japan, South Korea, Germany, Canada and Australia have also been the leaders in patenting electric vehicles and related technologies.

Since patents are a valid indicator of technology development, trends in patent applications and patent grants provide insight into the changes taking place within this new industry. In addition to the battery technology at the heart of the electric vehicle industry, there are a significant number of patent applications for braking systems, steering systems and propulsion systems. However, chassis and batteries are some of the areas that are just beginning to be patented and will revolutionize the electric vehicle industry as well as the automotive industry.

The automotive industry has not previously had extensive integration with competitors, companies, and inventors outside the automotive industry. However, this trend has changed in the field of electric vehicles. The vast array of different technologies needed to build an electric car has created a network of companies, innovators and competitors. Merely limiting the outlook to generic technologies will not meet the needs of the electric vehicle industry. This is another reason why there is great potential in the industry, which also leads to higher investment. The automotive industry has adapted to the fact that the normal product development methods of the automotive industry are not enough because the technologies required for electric vehicles are very different.

Key actors, start-ups and competition

Global patent trends in the electric vehicle industry show that more than 18,000 patent applications were filed in 2020, with an average grant rate of 50%. Huge potential is also driving competition in the industry. Innovative practices enable key market actors to start protecting intellectual property.

Patent application trends show that the overall number of applications is increasing. However, sub-technologies show different trends. For example, battery applications showed a downward trend, while electronics and propulsion systems saw above-average increases in applications. While most technologies have experienced similar growth or stagnation, areas common to the automotive and electric vehicle industries, such as steering systems, have not been affected.

Start-ups have played an important role in the development of the electric vehicle industry and currently hold multiple patents. For example, Sakti3, a startup specializing in lithium battery research and development, leads with 69 patents; Clean technology company NovaTorque holds about 36 patents, and Wireless Advanced Vehicle Electrification (WAVE), a supplier of wireless charging systems for commercial electric vehicles, holds about 25 patents. Most of these start-ups have been acquired by big companies such as Dyson and Ideanomics. A report analyses the various avenues that start-ups choose to protect and develop their intellectual property. At the heart is the battery charging system, where Dcbel Inc., Ze Way SAS and Fermata LLC are leading the way.

Broad patent

The rise of electric vehicles also provides opportunities for related technologies to flourish. Charging stations for electric vehicles, for example, have become a hot area for patents. However, a common trend or strategy in the race to patent these new technologies is to apply for broad patents. Broad patents maintain vague claims on technology in order to gain broader protection. These patents are deliberately vague on specifics and lack the technical details of the invention, so they may not even provide a solution. This is a fundamental reason why such patents are not granted or remain pending. In ChargePoint, Inc. v. SemaConnect, Inc. In that case, the court held that the claims relating to wireless car charging stations were not patentable because they were abstract and vague.

Trends in the electric vehicle sector in India

Like most other global players, India has been keen to safeguard its position in the global climate change agreement and its energy security interests. The government of India launched the Rapid Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) program in 2015, and at the same time approved the Product Linked Incentive (PLI) program. This incentive has led to increased production and demand for electric vehicles. A common phenomenon is that such an environment fosters innovation, with a steady rise in patent filings in India for electric vehicles and related technologies. In India, the main applicants are Honda Motor Co., LG Chemical Co., LTD., Toyota Motor Corp., TVS Motor Co., etc. Lithium batteries are an integral part of electric vehicles and have been at the top of research and development worldwide, only recently in India. The main applicants in this field are also Honda Motor Co, Toyota and LG Chemical Co LTD.

India relies heavily on public transport. Manufacturing electric vehicle components and building new bases for them does not seem feasible in the current environment; Therefore, India may focus on using existing conventional vehicle assembly lines to manufacture electric vehicle components. Daimler's patent, for example, is an example of transforming a conventional truck into an electric vehicle.

The Standing Committee of the Indian Parliament has published a report on electric and hybrid vehicles in India. India does not produce lithium batteries and relies on the international market for its electric vehicle technology needs. While major economies spend an average of 5-6% on research and development for technological advancement, India spends less than 1%. One of the key recommendations in this regard is to improve research and development to promote indigenous manufacturing and reduce dependency. This is a fundamental step in ensuring increased innovation and thus facilitating an increase in patent applications.

Conclusion

The electric car boom is set to continue, and competition is set to intensify. Global trends indicate that rapid growth is focused on research and development. While some companies rely on opening up their patents, most are using different strategies to protect and forge their intellectual property path. Future patent trends will show how and how quickly the EV industry rebounds. Patent knowledge will inadvertently become more mature as major players as well as start-ups compete. Now, patents in the field of electric vehicles are a key clue to gauge the momentum of the industry.

(Compiled from www.intepat.com)

Translated by Luo Xianqun Proofread by Liu Peng

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