GEORGIA INVENTIONINDEX | APRIL 2025

April 2025: 1.53% (C+ grade)

Georgia inventionINDEX April 2025: 1.53% (C+ 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 inventionINDEX Score for Georgia in April 2025 is 1.53%, reflecting a steady performance in the last 12 months. This score is slightly higher than the previous month of March 2025, which was 1.40%. Over the past six months, the index has shown fluctuating trends, with a peak of 2.07% in December 2024 and a low of 1.23% in November 2024. These variations highlight the dynamic nature of innovation and invention activities in Georgia, which are influenced by a range of factors including research investments, patents filed, and technological advancements.

A higher inventionINDEX Score, like the 2.07% recorded in December 2024, typically signals strong innovation activity and a thriving environment for inventors and entrepreneurs. It suggests an increase in the number of patents and inventions, signaling growth in industries such as technology, manufacturing, and research. This can lead to enhanced economic development, job creation, and a competitive edge in the global market. Higher scores may also attract investment and foster collaboration between educational institutions, corporations, and government bodies.

Conversely, a lower score, such as the 1.23% in November 2024, could indicate a slowdown in invention and innovation activity. This may be a result of reduced funding, regulatory challenges, or a lack of incentives for creators. A low score often reflects stagnation or a decline in Georgia’s ability to lead in technological development, which could hamper economic growth and diminish the state’s competitiveness on a national or global scale.

In conclusion, maintaining a balanced and positive inventionINDEX Score is crucial for fostering continued innovation in Georgia. Regular monitoring and proactive measures to address any downward trends can help ensure the state remains a strong hub for invention and technological progress.

Discussion:

In April, the Georgia inventionINDEX scored a positive sentiment which was lower than the previous year’s average and underperformed the downward trend for the year. This is similar 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 Georgia office provides R&D tax credit consulting and advisory services to Atlanta, Columbus, Savannah, Athens, Sandy Springs, Roswell, Macon, Johns Creek, Albany, Warner Robins, Augusta, Valdosta, Smyrna, Brookhaven, Dunwoody, Peachtree Corners, Marietta, Alpharetta, Milledgeville and Rome.

Feel free to book a quick teleconference with one of R&D tax specialists at a time that is convenient for you, 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.