IDAHO INVENTION INDEX – MARCH 2025

The Invention Index measures a country’s or state’s innovation output by comparing GDP growth with patent production growth. 

Idaho Invention Index March 2025: 1.28% (B- grade)

Idaho Invention Index over the last year:

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).

Discussion:

In March, the Idaho Invention Index scored a positive sentiment which was lower than the previous year’s average and underperformed the downward trend for the year. This is in contrast to the prior 12 months, which experienced an upward trend. As the world continues to recover from the height of the Covid-19 pandemic, it is unclear if there is any backlog of applications awaiting approval or if the department has fully caught up. If approvals are not yet caught up, we may see a decrease in approvals – and a reduced Invention Index – in the coming months/years as the state feels the full economic impact of companies closing and/or being forced to minimize their staffing and therefore minimize their R&D work hours.

Over the past six months, Idaho’s Invention Index has exhibited a fluctuating trend. The score peaked in October 2024 at 1.89%, indicating a strong period of innovation relative to GDP growth. However, this was followed by a decline to 1.28% in March 2025, suggesting a reduction in innovation output relative to economic growth.

Several factors may contribute to these fluctuations. The COVID-19 pandemic has had lasting effects on economic activities, including research and development efforts. Companies may have reduced R&D expenditures or faced challenges in maintaining staffing levels, leading to fewer patent applications. Additionally, any backlog in patent approvals could delay the recognition of new innovations, further affecting the Invention Index.

A higher Invention Index score, such as the 1.89% in October 2024, can have positive implications for Idaho’s innovation ecosystem. It may signal increased competitiveness in attracting investment and talent, fostering economic growth. Conversely, a lower score, like the 1.28% in March 2025, could indicate challenges in sustaining innovation, potentially impacting economic diversification and growth.

The absence of data from November 2024 to February 2025 leaves a gap in understanding the current trajectory of Idaho’s innovation activities. This lack of information makes it challenging to assess whether the downward trend has continued or if there have been efforts to reverse it. Monitoring future reports will be crucial to gauge the effectiveness of any initiatives aimed at revitalizing innovation within the state.

Learn more about the Invention Index here.

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 contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

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