Idaho inventionINDEX July 2026: 1.16% (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).

Historical Idaho inventionINDEX Scores

The Idaho inventionINDEX score for the past 12 months is shown in the table below.

The July 2026 Idaho inventionINDEX score of 1.16% and corresponding C+ rating represent a clear retraction when evaluated against recent performance and multi-year historical benchmarks. This mark reflects a sharp decline from June 2026, which posted a robust 1.79% with an A+ rating, as well as a year-over-year drop from the 1.84% recorded in July 2025. Furthermore, the current standing sits well below the 60-month historical average of approximately 1.71%. Aside from the single-month outlier of 0.11% in June 2023, the July 2026 score stands as one of the lowest marks observed across the entire dataset, rivaling the 1.18% recorded in November 2024 and remaining far removed from historical peaks such as the 4.29% high achieved in July 2023.

Analyzing the broader 60-month historical trajectory reveals structural shifts in performance over time. From late 2021 through early 2024, the index consistently demonstrated higher baseline activity, frequently registering scores above 2.00% and securing consecutive A+ ratings throughout late 2023. In contrast, the performance window spanning mid-2024 through mid-2026 illustrates a lower equilibrium band. During this recent period, scores have predominantly fluctuated between 1.20% and 1.50%, generating mostly B-tier ratings with only sporadic rebounds into A-tier territory. The trajectory suggests that while fundamental innovation activity remains intact, the momentum required to sustain elite-level scores has experienced recent friction.

Attaining higher inventionINDEX scores and superior ratings yields meaningful economic and institutional benefits for the region. Elevated scores signal vibrant intellectual property generation, active research pipelines, and efficient technology commercialization pathways. These top-tier ratings enhance regional credibility, attracting venture capital investments, corporate partners, and skilled technical talent looking for thriving ecosystems. High ratings also reassure policy leaders and enterprise executives that investments in research and development are yielding tangible commercial fruit, thereby reinforcing funding loops and driving long-term economic expansion.

On the other hand, declining scores and lower ratings bring noteworthy drawbacks that warrant close attention. A persistent downward movement or step-down into C-grade territory points toward potential stagnation in patent filings, funding constraints, or administrative inertia in bringing new technologies to market. Over extended periods, suppressed index values can erode investor confidence, divert capital toward competing hubs, and indicate broader macroeconomic pressures affecting local enterprise. Recognizing these headwinds allows decision-makers to intervene strategically by bolstering incubator funding, accelerating intellectual property disclosures, and fostering public-private innovation partnerships.

Discussion:

In July, 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 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 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.