June 2025: 1.00% (C grade)

Nebraska inventionINDEX June 2025: 1.00% (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).

Nebraska’s inventionINDEX score for June 2025 came in at 1.00%, marking a slight dip from May’s 1.11%. While modest, the decrease places the state below its 12-month average of approximately 1.08%. Compared to its highest score in the past year-1.23% achieved in both August and December 2024-the current figure reflects a mild slowdown in patent activity. However, the score is not alarmingly low and remains consistent with several prior months, such as March 2025 and November 2024, which also posted a 1.00% score.

A strong inventionINDEX score generally signals active innovation, increased R&D efforts, and a favorable environment for intellectual property generation. Higher scores often correlate with strong university research, startup vitality, and corporate investment in technology. During peak months, Nebraska may have benefited from focused industry initiatives, grant-supported research, or strategic patent filings aligned with federal funding cycles. Sustaining or improving upon these higher periods can elevate the state’s competitiveness and attract venture capital and federal innovation funding.

Conversely, a dip-even a small one-may suggest a slowdown in filings or delays in patent processing. Repeated lower scores could signal waning activity in innovation sectors or underinvestment in research infrastructure. If such trends persist, Nebraska risks falling behind neighboring states in technology development and commercialization. This could also influence public and private investment decisions, especially in regions where policy and funding are closely tied to demonstrable innovation output.

Despite the recent dip, Nebraska remains within a historically stable range. To maintain and grow its innovation footprint, the state may benefit from policies that encourage patent generation, such as expanding access to IP education, offering R&D tax credits, and incentivizing university-industry collaborations. Close monitoring of future scores will help determine whether June’s figure is part of a short-term fluctuation or an early indicator of a longer-term trend.

Discussion:

In June, the Nebraska 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 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 Nebraska office provides R&D tax credit consulting and advisory services to Omaha, Lincoln, Bellevue, Grand Island, and Kearney.

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.