DELAWARE INVENTIONINDEX | MAY 2025
May 2025: 1.27% (B- grade)
Delaware inventionINDEX May 2025: 1.27% (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).
The May 2025 inventionINDEX Score for Delaware stands at 1.27%, reflecting a slight increase from March (1.22%) and February (1.23%) but marking a decrease from April’s notably higher score of 2.03%. While this uptick from early 2025 suggests a modest rebound, it is still below the peak performance seen last month. The data reveals a pattern of fluctuating innovation activity, where high scores are often followed by corrections in subsequent months. Delaware’s latest figure positions it in the middle tier relative to the last twelve months, neither matching the lows of August 2024 (0.60%) nor reaching the highs of April 2025 and October 2024 (1.75%).
The positive outcomes of a higher inventionINDEX score are numerous, especially for stakeholders monitoring regional innovation. A rising score typically signals increased patent filings, a more active R&D environment, and a robust intellectual property pipeline. For local industries, this can enhance competitive advantage, attract investor confidence, and boost employment in high-tech sectors. From a policy perspective, it may reflect the effectiveness of innovation incentives or academic-industry partnerships. April’s standout score of 2.03% may have been influenced by such factors, suggesting that targeted initiatives can yield measurable innovation gains.
Conversely, lower scores indicate a potential deceleration in inventive activity, which may have longer-term economic implications. For instance, the sub-1% scores observed in August 2024 (0.60%) and November 2024 (0.81%) could suggest temporary stagnation or reduced patent application output. These dips may result from factors such as funding limitations, institutional restructuring, or broader economic pressures. If such trends persist, they can undermine regional innovation ecosystems, reduce competitive output, and diminish Delaware’s positioning as a leader in intellectual property generation.
Overall, Delaware’s inventionINDEX has demonstrated resilience with occasional volatility. The current figure of 1.27% suggests the state remains in a productive cycle, albeit not at peak momentum. Continued efforts to sustain and elevate this score will be essential in maintaining innovation-driven growth. Tracking future fluctuations alongside policy and economic developments will be key to interpreting the underlying drivers of inventive performance in the state.
Discussion:
In May, the Delaware 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 slight 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 Delaware office provides R&D tax credit consulting and advisory services to Wilmington, Dover, Newark, Middletown and Smyrna.
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:
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