GEORGIA INVENTIONINDEX | JUNE 2025

June 2025: 1.55% (C+ grade)

Georgia inventionINDEX

Georgia inventionINDEX June 2025: 1.55% (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 Georgia inventionINDEX Score for June 2025 stands at 1.55%, a slight decrease from the previous month’s 1.71%. This modest decline marks a return to levels similar to those seen in April 2025 (1.53%) and February 2025 (1.46%). Despite the dip, June’s figure still represents a mid-range score when compared to the broader 12-month period, which fluctuated between a low of 1.23% in November 2024 and a peak of 2.07% in December 2024. This relative steadiness suggests a balanced pace in the state’s innovation activity, albeit with reduced momentum compared to the recent spring uptick.

A higher inventionINDEX score often signals a surge in inventive activity, patent filings, or R&D breakthroughs within the region. For Georgia, months like December 2024 (2.07%) and October 2024 (2.01%) likely reflect periods of robust innovation, potentially driven by seasonal funding cycles, research completions, or legislative incentives. These peaks are often correlated with stronger industry engagement, increased academic-industry partnerships, and elevated investor interest in technology-based startups.

Conversely, lower scores such as those in November 2024 (1.23%) and March 2025 (1.40%) may indicate a slowdown in innovation output. This can stem from several factors, including reduced funding availability, policy uncertainty, or industry-specific challenges. A persistent decline could weaken Georgia’s competitiveness in securing federal grants, attracting high-tech firms, or retaining R&D talent. The marginal decrease in June may warrant monitoring, especially if this becomes a trend through Q3 2025.

Overall, the June 2025 score reflects a stable, though slightly cooled, innovation environment in Georgia. While not at peak levels, it still compares favorably to historical lows and suggests continued underlying inventive activity. Strategic initiatives that foster university research, streamline patenting, and incentivize private-sector R&D could help lift future scores and reinforce the state’s position as a regional innovation leader.

Discussion:

In June, the Georgia inventionINDEX scored a positive sentiment which was lower than the previous year’s average but outperformed the downward trend for the year. This is in contrast to the prior 12 months, which experienced an upward 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 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.

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