IDAHO INVENTIONINDEX | JANUARY 2026

January 2026: 1.31% (B grade)

Idaho inventionINDEX January 2026: 1.31% (B 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

The “weird” look you’re seeing is likely due to the LaTeX formatting (the mathematical font style) used for the numbers and percentages.

Here is the same information in plain text:

The January 2026 Idaho inventionINDEX score of 1.31% with a B rating indicates a period of moderation when compared to the historical data from the previous five years. This latest figure represents a decline from the December 2025 score of 1.63% and falls below the sixty-month average of approximately 1.74%. When looking specifically at the start of each year, the current performance is notably lower than the January peaks of 2.57% in 2024 and 2.31% in 2023. While the index remains significantly healthier than the historical floor of 0.11% recorded in June 2023, the current trajectory suggests that the state’s innovation activity is currently operating at a level closer to its median performance rather than its high-growth phases.

A higher grade on the inventionINDEX, such as the A+ ratings seen throughout 2023 and early 2024, signals a period of intense intellectual property development and economic vitality. When the score reaches these elevated levels, such as the record high of 4.29% in July 2023, it often reflects a surge in patent filings, increased research and development investment, and a robust environment for technological breakthroughs. These high-performing months serve as a catalyst for economic growth, attracting venture capital and high-skilled talent to the region. A consistent A-grade performance suggests that the local ecosystem is successfully converting creative concepts into measurable economic assets, thereby enhancing the state’s competitive position on a national scale.

Conversely, a lower score or a downward trend in the inventionINDEX can have several negative implications for the regional economy. When ratings drop into the B or C categories, it may indicate a stagnation in the pipeline of new ideas or a decrease in the resources allocated toward experimental development. The dramatic dip to 0.11% in mid-2023 serves as a stark reminder of how quickly innovation momentum can stall under unfavorable conditions. Lower scores often correlate with reduced investor confidence and a potential slowdown in the creation of high-tech jobs. If the index remains consistently below the historical average, it could suggest that local industries are facing headwinds that prevent them from maintaining a leading edge in an increasingly competitive global marketplace.

In summary, the Idaho inventionINDEX is currently in a phase of consolidation following the exceptional peaks observed between 2023 and 2024. While a B rating is still a respectable mark of stability, the ongoing decline from the 2.16% highs of April 2024 to the current 1.31% requires careful monitoring. To return to the elite A+ status that characterized the region’s most productive periods, a renewed focus on fostering a supportive climate for inventors and tech-driven enterprises will likely be necessary. Maintaining a high index score is not merely a matter of prestige but is a vital indicator of the state’s long-term capacity for economic resilience and industrial evolution.

Discussion:

In January, the Idaho inventionINDEX scored a positive sentiment which was lower than the previous year’s average and underperformed the upward trend for the year. This is in contrast to the prior 12 months, which experienced a 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. 

Swanson Reed hosts daily free webinars and provides free IRS CE and CPE credits for CPAs.  For more information please visit us at www.swansonreed.com/free-webinars or contact your usual Swanson Reed representative.