ARTICLE
9 September 2026

Navigating The Legal Safety Net Of NIST’s Post-Quantum Cryptography Patent Licenses

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Sheppard, Mullin, Richter & Hampton LLP

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The global migration to post-quantum cryptography is actively underway following NIST's release of finalized standards for quantum-resistant algorithms. For general counsel and IP attorneys, intellectual property concerns present significant challenges when transitioning to new cryptographic standards, particularly regarding third-party patent claims on algorithms like CRYSTALS-Kyber (ML-KEM).
United States Intellectual Property
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The global migration to post-quantum cryptography (PQC) is no longer a theoretical exercise. It is actively underway. Following the National Institute of Standards and Technology’s (NIST) release of its finalized FIPS standards for quantum-resistant algorithms, including the Module-Lattice-Based Key-Encapsulation Mechanism Standard (ML-KEM) and the Module-Lattice-Based Digital Signature Standard (ML-DSA), commercial entities are engaging in a massive infrastructure overhaul.

Yet, for general counsel and IP attorneys, cybersecurity and technical feasibility are only part of the challenge. When transitioning vital digital infrastructure to a new cryptographic standard, intellectual property can become a significant roadblock. Certain PQC algorithms—most notably CRYSTALS-Kyber, now standardized as ML-KEM—have been the subject of third-party patent claims. To remove that obstacle to widespread adoption, NIST secured two broad, royalty-free patent licensing agreements for the benefit of implementers. But these licenses have important limitations. Understanding their boundaries, mechanics, and legal protections is crucial for any organization mapping out its post-quantum migration strategy.

The NIST agreements neutralize the risks associated with the licensed patent portfolios, but they are not a blanket freedom-to-operate for every ML-KEM product. Other potentially relevant patents may still require consideration, particularly where an implementation departs from the standardized algorithm or incorporates additional proprietary technology.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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