We recently wrote about changes to the law which came into force on 1 May 2026 and which impact upon technology transfer agreements (TTAs) in the UK.

Now it's the EU's turn. On 16 April 2026, the European Commission adopted a revised Technology Transfer Block Exemption Regulation (TTBER). The new rules, which came into force on 1 May 2026, are also accompanied by Guidelines which explain how the Commission will interpret and apply the TTBER.

As Teresa Ribera, Executive Vice-President for Clean, Just and Competitive Transition, notes on the new TTBER:

by supporting pro-competitive licensing, we help ensure that technology, including data, can circulate more widely, encourage investment in research and innovation, and reinforce Europe's competitiveness on a fair and open basis. 

We've set out the main changes below.

What the TTBER actually does

The original 2014 regulation worked well enough for over a decade, but the Commission's evaluation, which included a public consultation and an extensive review, identified gaps in the rulebook. And, of course, it's not an exaggeration to say that technology markets have shifted significantly since that date.

New TTBER

Market share thresholds

The new TTBER:

  • extends from two to three years the grace period during which time the TTBER continues to apply where the parties' market shares rise above the relevant thresholds (which would take them out of the scope of the TTBER). The Commission believes that "this will increase legal certainty where parties' market shares fluctuate as a result of the launch of new technologies".
  • confirms that, when applying the market share thresholds, technologies that have not yet generated sales of contract products will be considered to have a zero market share, meaning that they will therefore fall within the threshold.

Hardcore restrictions

The new TTBER has tweaked the previous hardcore restrictions by including a reference to "contract products" to provide clarity. By way of reminder, hardcore restrictions are certain contractual provisions which are so anti-competitive that their inclusion in a TTA would result in the TTA falling outside the block exemption. 

New Guidelines

The new Guidelines have been redrafted and expanded in places.

The Guidelines introduce guidance on licensing negotiation groups (LNGs), which are referred to in the recital to the TTBER, but not the Regulation itself. 

These are collectives of technology implementers, such as product manufacturers, who band together to negotiate licence terms with patent holders. Think, say, of a group of smartphone makers who jointly approach the owners of standard-essential patents.

The Commission recognises that LNGs can cut transaction costs and level the playing field for smaller implementers. But it draws a firm line: a genuine LNG negotiates collectively, whereas a buyer cartel suppresses competition. 

The Guidance sets out how the Commission will distinguish one from the other, and identifies the factors it considers when assessing whether an LNG restricts competition. European law prohibits agreements and concerted practices that restrict competition, and collective purchasing or negotiating arrangements can fall foul of this provision. The Guidance spells out practical steps LNGs can take to stay on the right side of competition law.

The revised Guidelines under the TTBER also break new ground on data licensing agreements, which are increasingly common. The Guidelines confirm that:

  • the new TTBER can apply to data licensing agreements where the data qualifies as one of the existing technology rights which are defined in the TTBER (such as production know-how);
  • for data that doesn't fit neatly within the TTBER's defined technology rights, but resembles them, such as databases protected by database rights or copyright, the Commission will apply TTBER and Guidelines principles by analogy. Other data licensing falls to a case-by-case assessment;
  • in many cases, exchanging commercially sensitive information won't automatically be treated as restricting competition. Where an exchange isn't objectively necessary for or proportionate to the licensing arrangement, the Commission will assess it under the principles set out in its guidelines on horizontal co-operation agreements; and
  • data sharing under the Data Act (see our 2026 Commercial, Technology & Regulatory Handbook for more information on this Act) generally complies with EU competition law. Agreements mandated by Chapter II of the Data Act shouldn't raise competition concerns, unless the parties use them as cover for conduct such as customer allocation or price fixing.

Technology pools

The safe harbour for technology pools (such as arrangements where multiple patent holders bundle their rights into a single licensed package, often to support telecoms or other technical standards) has been tightened. The Commission has specified certain conditions more precisely, ensuring the safe harbour benefits only those pools that genuinely comply with competition law.

What to do now

Now is a good time to review your current TTAs to see whether they still work as intended, as there are small changes throughout the new TTBER, including on definitions.

The new TTBER has applied since 1 May 2026. Agreements that benefited from the old TTBER but don't meet the new conditions will have a transitional period of one year (until 30 April 2027) to be brought into compliance. Alas, that window isn't generous so the time to start reviewing is now. 

There may also be opportunities to take advantage of the new arrangements such as LNGs, which should be considered.

As we mentioned in our previous article, "the UK and EU regimes broadly align, but divergences do exist and are likely to increase over time. The result? Dual compliance remains essential for many businesses."

If you have any queries about the above, please contact us.

Changes to the new Technology Transfer Block Exemption Regulation

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