IDAHO INVENTIONINDEX | DECEMBER 2025
December 2025: 1.63% (A grade)
Idaho inventionINDEX December 2025: 1.63% (A grade)
The inventionINDEX measures innovation output by comparing GDP growth with patent production growth.
Anything over C grade is positive sentiment; anything under C is negative outlook/sentiment. Using that sentiment, it is possible to observe trends over time, and also compare states/countries. In doing so, we can predict which states have the best chance to recover economically from the pandemic (or any other economic incident that may occur).
Idaho inventionINDEX Scores – Last 12 months
| Month | inventionINDEX Score |
| December 2025 | 1.63% |
| Nov 25 | 1.28% |
| Oct 25 | 1.23% |
| Sep 25 | 1.49% |
| Aug 25 | 1.24% |
| Jul 25 | 1.84% |
| Jun 25 | 1.25% |
| May 25 | 1.53% |
| Apr 25 | 1.21% |
| Mar 25 | 1.28% |
| Feb 25 | 1.49% |
| Jan 25 | 1.52% |
| Dec 24 | 1.63% |
The December 2025 inventionINDEX score for Idaho stands at 1.63%, earning a solid A rating. This performance marks a notable improvement over the preceding three months, where the index lingered between 1.23% and 1.28% with B- ratings. By finishing the year on a high note, the index has recovered from its mid-autumn slump, nearly matching the performance seen exactly one year prior in December 2024, which also recorded a 1.63% score. This return to an A grade suggests a revitalized momentum in the state’s creative and intellectual output as it enters the new year.
When viewed through a broader historical lens, the current 1.63% score reflects a period of stabilization following the extreme volatility observed in 2023 and early 2024. The index reached an all-time high of 4.29% in July 2023, a peak that the state has not approached since. However, the current standing is significantly more favorable than the June 2023 historical low of 0.11%. While the scores in 2025 have generally been lower than the 2.00% plus marks frequently seen in early 2024, the consistency of the A and B range throughout the current year indicates a maturing innovation ecosystem that is moving away from erratic swings toward more predictable growth.
The positive outcomes associated with maintaining a higher grade, such as the current A rating, are substantial for Idaho’s economic landscape. A high inventionINDEX score serves as a beacon for venture capital and private investment, signaling that the state possesses a fertile environment for research, development, and the commercialization of new ideas. Furthermore, strong ratings bolster the reputation of local research institutions and universities, making it easier to attract and retain top-tier scientific and engineering talent. This creates a self-sustaining cycle where high-level innovation leads to economic diversification and the creation of high-wage jobs.
On the other hand, the negative implications of a lower score or a declining grade can be detrimental to long-term prosperity. When the index dips into the C or D range, it may indicate a stagnation in patent filings or a lack of institutional support for new ventures. A sustained lower score can lead to a brain drain, where the state’s most talented innovators seek opportunities in more dynamic markets. Additionally, a lower rating can diminish investor confidence, making it more difficult for local startups to secure the funding necessary to scale. Therefore, the recent upward trend in the December 2025 data is a vital indicator of Idaho’s continued resilience and competitive standing in the national innovation landscape.
Discussion:
In December, the Idaho inventionINDEX scored a positive sentiment which was higher than the previous year’s average and outperformed the downward trend for the year. This is similar to the prior 12 months, which experienced a considerable downward trend.
As the economy continues to stabilize in the post-pandemic era, it remains uncertain whether any backlog of applications still exists or if the department has returned to normal processing timelines. The inventionINDEX could also be affected by lingering consequences from the pandemic, such as company closures, reduced workforces, and limited R&D capabilities, which may still be impacting current operations.
Learn More:
Are you thinking of patenting any of your bright ideas? Did you know your research work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? To find out more, please check out our free online eligibility test.
Swanson Reed’s Idaho office provides R&D tax credit consulting and advisory services to Boise, Meridian, Nampa, Idaho Falls and Pocatello.
Feel free to book a quick teleconference with one of R&D tax specialists if you would like to learn more about R&D tax credit opportunities.
Who We Are:
Swanson Reed is the largest Specialist R&D tax credit advisory firm in the United States. With offices nationwide, we are one of the only firms globally to exclusively provide R&D tax credit consulting services to our clients. We have been exclusively providing R&D tax credit claim preparation and audit compliance solutions for over 30 years.
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What is the R&D Tax Credit?
The Research & Experimentation Tax Credit (or R&D Tax Credit), is a general business tax credit under Internal Revenue Code section 41 for companies that incur research and development (R&D) costs in the United States. The credits are a tax incentive for performing qualified research in the United States, resulting in a credit to a tax return. For the first three years of R&D claims, 6% of the total qualified research expenses (QRE) form the gross credit. In the 4th year of claims and beyond, a base amount is calculated, and an adjusted expense line is multiplied times 14%. Click here to learn more.
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