WISCONSIN INVENTIONINDEX | APRIL 2025

April 2025: 2.01% (A+ grade)

Wisconsin inventionINDEX April 2025: 2.01% (A+ 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).

Wisconsin inventionINDEX – Six-Month Performance Analysis

The Wisconsin inventionINDEX score for April 2025 stands at 2.01%, marking a notable increase from 1.75% in March 2025 and 1.41% in February 2025. Over the last six months, the index has displayed a fluctuating but generally upward trend, peaking in October 2024 at 2.14% and dipping to its lowest in November 2024 at 1.29%. The average score across this six-month period is approximately 1.71%, suggesting steady innovation activity with signs of acceleration in recent months.

Higher inventionINDEX scores, such as those seen in April and December, often reflect increased patent filings, research investments, and startup activity. These gains can contribute to job creation, stronger university-industry collaboration, and heightened national recognition for innovation leadership. For Wisconsin, maintaining scores above 2% suggests a robust innovation ecosystem capable of attracting capital and talent.

Conversely, a dip in the index, such as in November 2024, can indicate stagnation in intellectual property output or reductions in R&D activity. This may deter investor confidence and reduce the momentum of tech-driven economic growth. Ensuring sustained support for innovation infrastructure and funding remains critical for upward trends to continue.

Discussion:

In April, the Wisconsin inventionINDEX scored a positive sentiment which was higher than the previous year’s average and 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 Wisconsin office provides R&D tax credit consulting and advisory services to Milwaukee, Madison, Green Bay, Kenosha, Racine, Appleton, Waukesha, Eau Claire, Oshkosh, and Janesville.

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.