WORLD PATENT REPORT

its use by both developed and developing countries.<br><br> The statistical information provided in this report allows users to analyze and monitor the latest trends in patent activity based on objective and detailed information. The World Patent Report 3 A Statistical Review is an annual publication and the 2008 edition is the third edition in the series. There is a continuing effort at WIPO to improve statistical information on patent activ- ity covering as many countries as possible across the world and to develop and provide new indicators that are relevant to current policy issues.<br><br> The report contains a wide range of indicators, some of which are published for the first time in the 2008 edition, covering areas such as: > Patent filings and grants by offices and countries of origin with the aim of providing an overview of the level of patent activity across the world. > Patent statistics by field of technology which highlight and identify key / emerging technologies. > Use of utility models as an alternative to patents for protecting intellectual property rights.<br><br> > International filings through the Patent Cooperation Treaty, indicating the level of internationalization of technologies. > Use of the patent system in emerging countries. > Processing of patent applications, including pendency volume and time, which highlight the challenges faced by patent of fices with rapidly increasing numbers of patent filings.<br><br> > Opposition and invalidation. > Cost of patenting. All statistics included in this report and additional data (i.e.<br><br> longer time series and more countries / patent offices) are available for download from WIPO 9s statistics website: www.wipo.int/ipstats/en/statistics/. This report was prepared by Mosahid Khan, Ryan Lamb, Bruno Le Feuvre, William Meredith, Catherine Calais Regnier, Alex Riechel, and Hao Zhou of the Patent Information and IP Statistics Service of the World Intellectual Property Organization. We would like to thank the many National and Regional Intellectual Property Offices that shared their sta- tistics with WIPO, without the contribution of which this report would not have been possible.<br><br> Francis GURRY Deputy Director General WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 III IV WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 Readers are welcome to use the information provided in this report, but are requested to cite WIPO as the source. Tables and graphs can be downloaded at http://www.wipo.int/ipstats/en/statistics/patents/. TABLE OF CONTENTS HIGHLIGHTS7 METHODOLOGICAL INFORMATION10 TOTAL PATENT FILINGS13 A.1.1.<br><br> Total Patent Filings13 A.1.2. Patent Filings By Patent Office14 A.1.3. Patent Filings by Country of Origin16 PATENT FAMILIES17 A.2.1.<br><br> Patent Families17 A.2.2. Patent Families by Origin and Destination19 TOTAL PATENT GRANTS20 A.3.1. Total Patent Grants20 A.3.2.<br><br> Total Patent Grants By Patent Office21 A.3.3. Total Patent Grants by Country of Origin22 PATENTS IN FORCE23 A.4.1. Patents in Force23 A.4.2.<br><br> Age Profile of Patents in Force24 UTILITY MODELS25 A.5.1. Utility Model Filings25 A.5.2. Utility Model Grants26 RESIDENT PATENT ACTIVITY27 B.1.1.<br><br> Resident Patent Filings27 B.1.2. Resident Patent Filings by Country of Origin 28 B.2.1. Resident Patent Grants29 B.2.2.<br><br> Resident Patent Grants by Country of Origin30 NON-RESIDENT PATENT ACTIVITY31 C.1.1. Non-Resident Patent Filings31 C.1.2. Non-Resident Patent Filings By Country of Origin32 C.1.3.<br><br> European Regional Filings by Office33 C.2.1. Non-Resident Patent Grants34 C.2.2. Non-Resident Patent Grants By Country of Origin35 INTERNATIONAL FILINGS THROUGH THE PATENT COOPERATION TREATY36 D.1.1.<br><br> International Filings through the Patent Cooperation Treaty (PCT)36 D.1.2. Patent Cooperation Treaty (PCT): PCT International Filings by Ownership Type 37 D.1.3. Non-Resident Filings by Filing Route38 PATENT ACTIVITY IN SELECTED EMERGING COUNTRIES39 E.1.1.<br><br> Patent Filings in Selected Emerging Countries39 E.2.1. Patents Granted in Selected Emerging Countries40 V WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 PATENT ACTIVITY BY FIELD OF TECHNOLOGY41 F.1. Patent Filings by Field of Technology41 F.2.<br><br> Foreign-Oriented Patent Families by Field of Technology and Origin42 F.3. Relative Specialization Index (RSI) of Foreign-Oriented Patent Families by Origin43 F.4. Patent Filings in Energy Technology44 PATENT INTENSITY45 G.1.1.<br><br> Resident Patent Filings per Gross Domestic Product 45 G.1.2. Resident Patent Filings per Million Population 46 G.1.3. Resident Patent Filings per Research and Development Expenditure47 G.1.4.<br><br> Trends in Resident Patent Filings per Research and Development Expenditure48 PATENT PROCESSING ACTIVITY49 H.1. Patent Processing Activity49 STATISTICS ON OPPOSITION AND INVALIDATION50 I.1. Statistics on Opposition and Invalidation by Patent Office50 COST OF PATENTING51 J.<br><br> Cost of Patenting51 ANNEX A53 Top PCT Applicants ANNEX B54 IPC and Technology Concordance Table ANNEX C56 Relative Specialization Index (RSI) of Foreign-Oriented Patent Families by Origin ANNEX D58 Cost of Patenting Methodology GLOSSARY59 STATISTICAL TABLES62 VI WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 7 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 HIGHLIGHTS Worldwide patent activity increased by 4.9% between 2005 and 2006, mostly due to increased filings by applicants from China, the Republic of Korea and the United States of America > The total number of applications filed across the world in 2006 is estimated to be 1.76 million, repre- senting a 4.9% increase from the previous year. Between 2005 and 2006, the number of filings world- wide by applicants from China, the Republic of Korea and the United States of America increased by 32.1%, 6.6% and 6.7% respectively. > The United States Patent and Trademark Office was the largest recipient of patent filings, for the first time since 1963, with a total of 425,966 patent applications filed in 2006.<br><br> There was a small decr ease in the number of patents filed at the Japan Patent Office in 2006 (408,674). The patent offices of China (210,501), the Republic of Korea (166,189), and the European Patent Office (135,231) also received a large number of filings. > Patent applicants tend to come from a relatively small number of countries of origin.<br><br> For example, appli- cants fr om Japan, the United States of America, the Republic of Korea, Germany and China accounted for 76% of total patent filings in 2006. Chinese residents increased their share of total worldwide patent filings from 1.8% to 7.3% between 2000 and 2006, mostly due to increases in domestic patent filings. > Although the number of patent applications filed across the world has increased at a steady pace, the rate of increase is less than the rate of incr ease observed for other economic indicators such as GDP and trade.<br><br> > In 2006, approximately 727,000 patents were granted across the world. Similar to patent filings, patent grants are concentrated in a small number of countries. Applicants from Japan, the United States of America, the Republic of Korea and Germany received 73% of total patent grants worldwide.<br><br> Between 2000 and 2006, the number of patents granted to applicants from China and the Republic of Korea grew by 26.5% and 23.2% a year, respectively (average annual growth rate). > There has been an increase in the level of patenting activity in emerging countries. The patent offices of India, Brazil and Mexico all r eceived a large number of filings in 2006.<br><br> However, for the majority of the reported emerging countries, non-resident applicants accounted for the largest share of total filings in these countries. There has also been an increase in the use of the PCT System by emerging countries for international filings. Increasing internationalization of the patent system > There has been a significant increase in the level of internationalization of patent activity as reflected by non-resident patent filings and international filings through the PCT System.<br><br> The non-resident filings share of total patent filings increased from 35.7% in 1995 to 43.6% in 2006. > Non-resident patent filings originate from a relatively small number of countries, led by the United States of America (21.9% of non-resident filings worldwide), Japan (21.7%) and Germany (10.8%). The 8 largest countries of origin incr eased their share of worldwide non-resident patent filings from 66% to 74% between 2000 and 2006.<br><br> Applicants from emerging economies, including China, file relatively few patent applications outside their home countries. > Many inventions result in filings in multiple offices. Approximately 24% of all patent families are filed in 2 or more offices.<br><br> 10% of patent families are filed in 4 or more offices. > The level of internationalization varies across countries/economies. The share of non-resident patent fil- ings is very high in the patent offices of Hong Kong (SAR), China, Israel, Mexico and Singapore 3 where more than 90% of total filings are accounted for by non-resident applicants.<br><br> In addition, between 2005 and 2006, non-resident patent filings increased by 7.4%, whereas resident filings increased by 3.1%. > The number of international patent filings filed through the PCT in 2007 is estimated to be 158,400, rep- resenting a 5.9% incr ease from the previous year. Emerging countries such as India, Brazil and Turkey are increasingly using the PCT System to file international applications.<br><br> Approximately 6.1 million patents were in force in 2006 > Approximately 6.1 million patents were in force in 2006. The largest number of patents in force were in the United States of America (1.8 million in 2006). However, the majority of patents in force were owned by applicants from Japan.<br><br> > Both measures of patents in force, by country of origin (ownership of the patent) and by patent office (where the patent is in force), reflect an increase in the number of patents in force in 2006. > Although patent rights are conferred to the applicant for up to 20 years, available data show that only a minority of patents are maintained for the full 20 year term. More than half of the patents in force in 2006 were filed during the period between 1997 and 2003.<br><br> Increase in patent filings in computer technology, telecommunications and electrical machinery technologies, but a decrease in biotechnology > In 2005, a large number of patent filings were filed across the world in computer technology (144,594), telecommunications (116,770), and electrical machinery (121,350) technologies. Between 2001 and 2005, patent filings in computer technology, optics, and semiconductors grew by 5.3%, 5.0% and 4.9%, a year, respectively. There was a modest increase in pharmaceuticals filings (1.7%) and a decrease in biotechnology filings (-2.7%).<br><br> > The recent pressures on energy resources have created an increase in patenting activity related to ener- gy technologies. Examples can be seen in patent filings related to solar (thermal and photo) energy, fuel cells and wind energy. Patent filings in the fields of solar energy and fuel cells mainly originated from Japan.<br><br> Patent applications in the field of wind energy were evenly distributed, with Germany and Japan being the top two countries of origin for this technology. Large volume of pending applications at some patent offices > There has been an increase in the number of pending patent applications at the United States Patent and Trademark Office (USPTO). By 2006, the number of patent applications awaiting examination at the USPTO was 1,051,502.<br><br> There has also been an increase in the application processing time, as reflected by the increase in the number of months for first office action and total pendency time. > Between 2004 and 2005, there was a sharp increase in the number of pending applications at the Japanese Patent Office (JPO). In 2006, ther e were around 836,801 patent applications awaiting examination at the WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 8 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 9 JPO.<br><br> However, the increase at the JPO was mostly due to the shortening of the time limit for request for examination, from 7 years to 3 years, which has created an increased examination workload for a peri- od of several years. Since 2005, the volume of pending applications at the JPO has stabilized and it is expected to decrease in the near future. > The number of pending applications at other large patent offices, such as Germany (265,395) the European Patent Of fice (247,165) and Canada (205,776), is relatively small (compared to the USPTO and the JPO) and has been stable over time.<br><br> Increased opposition and invalidation requests > In most of the reported offices, the numbers of opposition or invalidation requests are loosely correlated with the number of patents granted, the exception being Germany where requests have declined while the number of granted patents has increased. In general, there is an upward trend in the numbers of opposition or invalidation requests which may reflect an increasing interest in the challenging of grant- ed patents by third parties. 10 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 METHODOLOGICAL INFORMATION A patent is an exclusive right granted by law to applicants / assignees to make use of and exploit their inven- tions for a limited period of time (generally 20 years from filing).<br><br> The patent holder has the legal right to exclude others from commercially exploiting his invention for the duration of this period. In return for exclu- sive rights, the applicant is obliged to disclose the invention to the public in a manner that enables others, skilled in the art, to replicate the invention. The patent system is designed to balance the interests of appli- cants / assignees (exclusive rights) and the interests of society (disclosure of invention).<br><br> Patent statistics as an indicator of inventive activity It is widely accepted that patent statistics are a reliable (although not perfect) indicator of innovative activi- ty. Therefore, it has become standard practice to use patent statistics for monitoring innovative activities and the development of new technologies. However, when using patent statistics as an indicator of inventive activity, the following points should be taken into consideration: > Not all inventions are patented.<br><br> There are other alternatives such as trade secrecy or technical know-how available to inventors for protecting their inventions. > Use of the patent system for protecting inventions varies across countries and industries. Applicants 9 dif- ferent filing strategies or filing preferences may render direct comparison of patent statistics difficult.<br><br> > Differences in patent systems may influence the applicant 9s patent filing decisions in different countries. > Due to the increase in the internationalization of research and development (R&D) activity, R&D may be conducted in one location but the pr otection for the invention might be sought in a dif ferent one. > Cross-border patent filings depend on various factors, such as trade flows, foreign direct investment, market size of a country, etc.<br><br> Notwithstanding the points mentioned above, patent statistics do provide valuable information about inno- vative activity. Patent statistics methodology To obtain patent rights, the applicant must file a patent application and pay fees. The patent office exam- ines the application and decides whether to grant or reject the application.<br><br> A large volume of data is gen- erated during the patent application process, which are frequently used by researchers to construct statisti- cal indicators for measuring innovative activity, patenting activity of offices and countries, etc. However, for correctly interpreting patent statistics, it is important to understand the methodology used in constructing the indicators. > Date: patent indicators are often constructed based on dates.<br><br> Indicators used in this report are based, in general, on the following concepts: 3Patent filing (application) indicators are constructed according to the patent filing date. 3Patent grant indicators are based on the grant date. 3Patent families data are based on the priority (first filing) date.<br><br> 3Technology indicators are based on the publication date. 11 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 > Country of origin: patent applications include information pertaining to the country of residence of the inventor and the applicant (or assignee). Patent statistics based on the country of residence of the inven- tor may indicate the location of the invention, whereas the country of residence of the applicant (or assignee) provides information about the owner of the patent at the time of the application.<br><br> 3Country of origin used in this report is based on the country of residence of the first-named applicant (or assignee), which will include companies that are domiciled in a country but which may be effectively owned or controlled by overseas interests. This is particularly the case in countries with large foreign direct investments. 3Statistics based on the concept of resident and non-resident filings are included in this report.<br><br> Resident filing refers to an application filed at an office of or acting for the State in which the first-named applicant in the application concerned has residence. Likewise, non-resident filing refers to an application filed at an office of or acting for the State in which the first-named applicant in the application concerned does not have residence. Data sources The patent statistics published in this report are taken from the WIPO Statistics Database, which is based on information supplied to WIPO by patent offices in annual surveys and data generated at WIPO during the PCT application process.<br><br> Each year, WIPO collects patent statistics from patent offices, including the num- ber of patent applications filed and patents granted and enforced, broken down by country of origin, date and a number of other criteria. A continuing effort is made to improve the quality and availability of patent statistics. It is difficult to obtain data for all patent offices with all possible breakdowns, however every effort is made to cover data for all patent offices / countries.<br><br> When it is necessary and feasible, missing data are estimated by WIPO on an aggregate level. The statistics on field of technology and patent families are constructed by WIPO based on data obtained from the PATSTAT database, which is maintained by the EPO. Macroeconomic and research and develop- ment data are obtained from the World Bank and UNESCO.<br><br> Pending applications and pendency time statistics are obtained from WIPO Statistics Database, supple- mented with data from the Trilateral statistical reports and annual reports of patent offices. The opposition/ invalidation request data were derived from National IP Offices annual reports and publications as well as from statistics requested by WIPO directly from IP Offices. Please note that due to the continual updating of missing data and the revision of historical statistics, data provided in this report may be different from previously published figures.<br><br> National and international patent systems The procedures for patent rights are governed by the rules and regulations of national and regional offices. There are a number of international (e.g. see PCT section below) and regional treaties in existence, which have brought national legal frameworks governing patent systems closer together.<br><br> However, in order to accommodate different national interests and needs, there are differences in the architecture of patent sys- tems at the national level. While more commonalities among the national legal systems are found with regard to certain elements of the patent system, other aspects reflect substantially different approaches. The existence of differences within the patent system has a significant impact on the statistical indicators and may hamper proper interpretation of such indicators.<br><br> For example: 12 > The existence of alternative forms of patent rights to standard patents, such as utility models, provision- al patent applications and design patents may result in fewer standard patent applications. > There are differences in the patentability of subject matter. For example, it is possible to protect business method inventions in some jurisdictions but not in others.<br><br> > In some patent offices, submission of a patent application automatically results in search and/or exami- nation, while in other offices an applicant is required to make a request for examination within a speci- fied time limit. To assist users in correctly interpreting and analyzing patent statistics, WIPO has collected and published information on the characteristics of different national patent systems which is available at http://www.wipo.int/ipstats/en/resources/. The Patent Cooperation Treaty (PCT) The Patent Cooperation Treaty (PCT) is an international treaty administered by the World Intellectual Property Organization (WIPO).<br><br> The PCT makes it possible to seek patent protection for an invention simul- taneously in a large number of countries by filing a single "international application d with a single patent office (i.e. receiving Office). The PCT system simplifies the process of multi-national patent filings by reduc- ing the requirement to file multiple patent applications for multi-national patent rights.<br><br> The PCT interna- tional applications do not result in the issuance of cinternational patents d and the International Bureau (IB) does not grant patents. The decision on whether to confer patent rights remains in the hands of the nation- al and/or regional patent offices, and the patent rights are limited to the jurisdiction of the patent granting authority. The PCT procedure consists of an international phase and a national/regional phase.<br><br> The PCT international application process starts with the international phase and concludes with the national/region- al phase. For further details about the PCT system, refer to: http://www.wipo.int/pct/en/ and http://www.wipo.int/ipstats/en/statistics/pct/. WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 A.1.1.TOTAL PATENT FILINGS Trends in total patent filings, 1985-2006 Distribution of total patent filings by residents and non-residents, 1985-2006 Note: PCT national phase entry data is incomplete prior to 1995.<br><br> Source: WIPO Statistics Database > In 2006, the total number of patent applications filed across the world is estimated to be around 1.76 million, representing a 4.9% increase from the previous year. > Between 1995 and 2006, the mean yearly growth rate of total number of filings was 5.3%. The growth of total patent filings is lower than that of other economic indicators.<br><br> For example, the mean yearly growth rate of the volume of world trade was 7.2% over the same period. > Over the past two decades, there has been a significant increase in the share of non-resident patent fil- ings. In 2006, the share of non-resident patent filings accounted for 43.6% of total filings, representing an 8.0 percentage point increase from the 1995 level.<br><br> Concurrently, the share of resident patent filings decreased from 64.3% to 56.4%. 13 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 2.6 4.8 1.7 0.4 -1.1 -10.9 6.2 0.1 0.9 10.1 2.6 6.4 3.3 5.6 8.7 6.0 -0.7 2.9 5.2 8.3 4.9 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 1,600,000 1,800,000 1985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Number of Filings 4 Growth Rate (%) Patent Filings 56.4 69.5 43.6 30.5 0 25 50 75 1985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Resident and Non-Resident Share (%) Residents Non-Residents 14 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 A.1.2. PATENT FILINGS BY PATENT OFFICE Trends in patent filings at selected patent offices, 1883-2006 Patent filings by patent office: top 20 offices, 2006 Distribution of resident and non-resident patent filings by office, 2006 Note: The share of non-resident filings in France is very low which is partly due to the fact that the PCT national phase route is closed for France.<br><br> A PCT applicant seeking protection in France must therefore enter the PCT regional phase at the EPO. Source: WIPO Statistics Database 0 150,000 300,000 450,000 1883189319031913192319331943195319631973198319932003 Number of Filings United States of America Japan China Republic of Korea European Patent Office Soviet Union 0 50,000 100,000 150,000 200,000 1883189319031913192319331943195319631973198319932003 Number of Filings Germany Canada Russian Federation Australia United Kingdom France 0 150,000 300,000 450,000 United States of America Japan China Republic of Korea European Patent Office Germany Canada Russian Federation Australia United Kingdom Patent Offices Number of Filings 2000 2006 0 20,000 40,000 India (2005) Brazil France Mexico Hong Kong (SAR), China Singapore Israel New Zealand Thailand Norway Patent Offices Number of Filings 2000 2006 0% 25% 50% 75% 100% Japan France Germany Republic of Korea Russian Federation United Kingdom China United States of America New Zealand India (2005) Norway Brazil Thailand Canada Australia Singapore Mexico Israel Hong Kong (SAR), China Patent Offices Resident and Non-Resident Share (%) Resident Non-Resident 15 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 > Long-term trends of patent filings at selected patent offices show that filings were stable between the early 1880s to mid-1960s, after which there has been a steady increase in filings in most offices. The most notable increases were at the patent offices of the United States of America (USPTO), Japan (JPO), China (SIPO), Republic of Korea (KIPO) and the European Patent Office (EPO).<br><br> > In recent years, there has been a downward trend in filings in France, Germany and the United Kingdom. This is due to the fact that two routes ar e available for filings in Europe (national route and regional route through the EPO). > In 2006, the USPTO received the largest number of filings (425,966), followed by JPO (408,674), SIPO (210,501) and KIPO (166,189).<br><br> Between 2000 and 2006, filings at SIPO and KIPO increased by 26.3% and 8.5% a year (average annual gr owth rate), respectively. In contrast, patent filings at the JPO decreased by 0.4% a year. > Non-resident filings account for a small share of total filings in Japan (15.1%) and France (15.8%).<br><br> However, the shar e of non-resident filings is very high in Mexico (96.3%), Israel and (96.6%) Hong Kong (SAR), China (98.8%). 16 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 A.1.3. PATENT FILINGS BY COUNTRY OF ORIGIN Patent filings by country of origin: top 20 origins, 2006 Share of countries in total patent filings 20002006 Note: The data includes patent filings in the office of the country of residence as well as patent filings abroad.<br><br> Source: WIPO Statistics Database > In 2006, applicants from Japan (514,047) and the United States of America (390,815) filed the largest numbers of patent applications worldwide. A substantial number of filings also originated from the Republic of Korea (172,709), Germany (130,806) and China (128,850). > Between 2000 and 2006, there was a significant increase in the number of filings originating from Australia, China, India and the Republic of Korea.<br><br> The average annual growth rate for these countries was far above that of all reported European and North American countries. Japan, the United Kingdom and Sweden experienced a modest growth in filings (less than 1% a year). > Between 2000 and 2006, Japan 9s share in total patent filings decreased by 6.7 percentage points.<br><br> The share of patent filings originating fr om China, the Republic of Korea and the United States of America increased by 5.4, 3.5 and 2.0 percentage points, respectively. The share of the top 10 countries of origin increased from 82.4% (2000) to 85.2% (2006), reflecting an increasing level of concentration. 0 150,000 300,000 450,000 600,000 Japan United States of America Republic of Korea Germany China France United Kingdom Russian Federation Netherlands Switzerland Countries of Origin Number of Filings 2000 2006 0 10,000 20,000 30,000 Canada Sweden Australia Finland India (2005) Belgium Spain Israel Austria Denmark Countries of Origin Number of Filings 2000 2006 Japan 35.9% Republic of Korea 6.3% Switzerland 1.2% United Kingdom 3.0% United States of America 20.1% China 1.9% Russian Federation 1.8% France 2.8% Netherlands 1.1% Others 17.6% Germany 8.3% Japan 29.1% Germany 7.4% Republic of Korea 9.8% Switzerland 1.4% United Kingdom 2.3% United States of America 22.1% China 7.3% Russian Federation 1.6% France 2.5% Netherlands 1.6% Others 14.8% A.2.1.<br><br> PATENT FAMILIES Trends in total patent families, 1990-2005 Note: Country share is based on foreign-oriented patent families (i.e. patent families that include at least two patent offices ). Source: WIPO Statistics Database > A patent family is defined as a set of patent applications inter-related by either priority claims or PCT national phase entries, normally containing the same subject matter.<br><br> Statistics based on patent family data eliminate double counts of patent applications that are filed with multiple offices for the same invention. > Many inventions result in filings in multiple offices. Approximately 24% and 10% of all patent families are filed in 2 or mor e offices and 4 or more offices, respectively.<br><br> > The latest available data show that the total number of patent families created across the world in 2005 amounted to 876,432. Since the mid-1990s, there has been a steady increase in the total number of patent families. > The distribution of patent family by size (i.e.<br><br> number of offices in which applications for the same inven- tion are filed) shows considerable variation. For example, most of the patent families originating from the Russian Federation, China and Brazil are domestic-oriented patent families. A large share of patent fam- ilies originating from the Netherlands, Switzerland, Italy, France and Germany are foreign-oriented patent families.<br><br> 17 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 0.3 0.5 0.7 7.3 1.8 4.7 4.4 5.9 10.2 2.5 0.0 1.9 1.8 -3.6 3.6 0 200,000 400,000 600,000 800,000 1,000,000 1990199119921993199419951996199719981999200020012002200320042005 Number of Families Growth Rate (%) Patent Families 0% 25% 50% 75% 100% Russian Federation China Brazil Republic of Korea Australia Japan Total United States of America United Kingdom Canada Sweden Germany France Italy Switzerland Netherlands Countries of Origin Distribution of Families by Office (%) 1-Office 2-Offices 3-Offices 4-Offices 5-Offices over 5-Offices Others 10.5% Germany 12.3% Switzerland 1.4% Sweden 1.1% Japan 29.9% United States of America 28.4% Republic of Korea 5.5% France 3.6% Netherlands 1.9% United Kingdom 3.4% Italy 1.9% Distribution of patent family size by country of origin, 2001-2005 Share of countries in total foreign-oriented patent families, 2001-2005 18 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 > Japan (29.9%) and the United States of America (28.4%) accounted for the largest share of total foreign-oriented patent families. Although in recent years, there has been an increase in the number of foreign-oriented patent filings originating from Brazil and China, their combined share is less than 1%. > Patent families increased at a slower pace than total filings.<br><br> For example, between 1995 and 2005, patent families increased by 3.6% a year (average annual growth rate), whereas total filings increase by 4.8% a year. A.2.2. PATENT FAMILIES BY ORIGIN AND DESTINATION Distribution of patent families by country of origin and destination office: selected countries of origin, 2001-2005 Note: European Patent Office (EPO), Japan Patent Office (JPO), Korean Intellectual Property Office (KIPO), State Intellectual P roperty Office (SIPO, China) and United States Patent and Trademark Office (USPTO).<br><br> Source: WIPO Statistics Database > The graphs above show a breakdown of patent families by countries of origin (owner of the invention) and destination office (five largest patent offices). It provides some indication of the ownership of the invention and the region where the owner wishes to protect the invention. > Although the largest share of patent families originating from Japan and the Republic of Korea contain patent applications filed with the USPTO, a significant proportion of their patent families also contain patent applications filed with the patent of fice of China (SIPO).<br><br> A large proportion of patent families originating from Canada (59%) contain patent applications filed with the USPTO, reflecting the impact of the geo- graphical proximity to and the market size of the United States of America. European countries tend to have a high share of patent families containing patent applications filed with the European Patent Office. 19 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 Origin: Australia 4.9% 9.9% 4.8% 2.2% 14.7% SIPO EPO JPO KIPO USPTO Destination Office Origin: Brazil 1.4% 3.1% 1.1% 0.7% 4.7% SIPO EPO JPO KIPO USPTO Destination Office Origin: Canada 5.8% 15.8% 4.9% 2.3% 59.1% SIPO EPO JPO KIPO USPTO Destination Office Origin: China 1.0% 0.5% 0.3% 2.6% SIPO EPO JPO KIPO USPTO Destination Office Origin: France 13.0% 49.2% 15.2% 6.5% 31.8% SIPO EPO JPO KIPO USPTO Destination Office Origin: Germany 11.1% 47.7% 13.6% 5.4% 29.3% SIPO EPO JPO KIPO USPTO Destination Office Origin: Japan 8.0% 6.8% 4.7% 15.7% SIPO EPO JPO KIPO USPTO Destination Office Origin: Netherlands 32.5% 32.3% 21.1% 47.7% 65.9% SIPO EPO JPO KIPO USPTO Destination Office Origin: Republic of Korea 7.7% 3.8% 6.2% 14.0% SIPO EPO JPO KIPO USPTO Destination Office Origin: Switzerland 22.0% 22.3% 10.6% 45.0% 68.3% SIPO EPO JPO KIPO USPTO Destination Office Origin: United Kingdom 8.3% 26.4% 10.0% 4.4% 24.5% SIPO EPO JPO KIPO USPTO Destination Office Origin: United States of America 9.9% 22.4% 12.7% 6.0% SIPO EPO JPO KIPO USPTO Destination Office 20 A.3.1.<br><br> TOTAL PATENT GRANTS Trends in total patent grants, 1985-2006 Distribution of total patent grants by resident and non-resident, 1985-2006 Source: WIPO Statistics Database > In 2006, approximately 727,000 patents were granted by patent offices around the world, representing an 18.2% increase from the previous year. The increase could be due to increasing efforts by patent offices to reduce backlog and the substantial increase in the number of patents granted by the patent offices of China and the Republic of Korea (see A.3.2). > Since 1991, there has been an upward trend in the number of grants, similar to the trend observed for the number of patent filings (see A.1.1).<br><br> However, the tr end in patent grants is more volatile than patent filings. The number of patents granted by patent offices depends on resources available to the offices (e.g. number of examiners, IT infrastructures, etc.) > The share of non-resident patent grants has remained more or less stable over the past six years.<br><br> This is in contrast to the trend observed for patent filings, which shows an incr ease in the share of non-resident filings (see A.1.1). WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 0.3 2.0 -3.9 7.4 -3.8 -26.0 24.5 3.5 4.7 5.8 24.0 -5.5 8.5 4.4 -9.3 2.7 3.9 10.4 2.1 0.2 18.2 0 150,000 300,000 450,000 600,000 750,000 1985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Number of Grants Growth Rate (%) Patent Grants 0% 25% 50% 75% 100% 1985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Resident and Non-Resident Share (%) Resident Grants Non-resident Grants 21 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 A.3.2.TOTAL PATENT GRANTS BY PATENT OFFICE Trends in patent grants at selected patent offices, 1883-2006 Patent grants by patent office: top 20 offices, 2006 Distribution of resident and non-resident patent grants by office, 2006 Source: WIPO Statistics Database > The long-term trends of patent grants by the five largest patent offices show that the number of patent grants was stable for the period of 1880-1950 followed by an upward trend between the early/mid- 1960s and the early 1990s, and the rate of increase accelerated from the mid-1980s. > The numbers of patents granted by the patent offices of France, Germany and the United Kingdom have been decreasing over the past 15 years.<br><br> This is due to the existence of two parallel routes for obtaining patent protection in these countries (the national route and the regional route through the EPO). > In 2006, the five largest patent offices (patent offices of the United States of America, Japan, the Republic of Korea, China and the European Patent Office) accounted for approximately 76.5% of the total patent grants, representing a 6.3 percentage point increase from the 2000 level. > The share of non-resident grants (in total grants) varies across patent offices, ranging from 99% in Hong Kong (SAR), China to 10.3% in Japan.<br><br> It is also very high in Mexico and Singapore. In contrast, the non- r esident grant share is very low in Japan and the Russian Federation. 0 50,000 100,000 150,000 200,000 250,000 1883189319031913192319331943195319631973198319932003 Number of Grants United States of America Japan China Republic of Korea European Patent Office Soviet Union 0 25,000 50,000 75,000 100,000 1883189319031913192319331943195319631973198319932003 Number of Grants Australia Canada Germany France United Kingdom Russian Federation 0 50,000 100,000 150,000 200,000 United States of America Japan Republic of Korea European Patent Office China Russian Federation Germany Canada France Patent Offices Number of Grants 2000 2006 0 5,000 10,000 15,000 20,000 Mexico Australia United Kingdom Singapore Hong Kong (SAR), China India (2005) Ukraine New Zealand Poland Israel Brazil Patent Offices Number of Grants 2000 2006 0% 25% 50% 75% 100% Japan Russian Federation France Netherlands Republic of Korea Germany Ukraine United States of America China Poland United Kingdom India (2005) Israel New Zealand Canada Australia Brazil Singapore Mexico Hong Kong (SAR), China Patent Offices Resident and Non-Resident Share (%) Resident Non-Resident 22 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 A.3.3.TOTAL PATENT GRANTS BY COUNTRY OF ORIGIN Patent grants by country of origin: top 20 origins, 2006 Share of countries in total patent grants 20002006 Source: WIPO Statistics Database > In 2006, applicants from Japan received approximately 217,000 patents.<br><br> Applicants from the United States of America and the Republic of Korea also received a substantial number of patents. Between 2000 and 2006, the number of patents granted to applicants from China and the Republic of Korea grew significantly. All the reported countries, except Ukraine, experienced an increase in the number of grants.<br><br> > In 2006, residents of Japan (29.9%) and the United States of America (21.3%) accounted for the largest share of world patent grants. However , their combined share of total grants decreased from 58.6% to 51.2% between 2000 and 2006. The share of patents granted to applicants from the top 10 countries of origin has increased from 85.6% to 87.4%, reflecting a slight increase in the concentration level.<br><br> A similar trend is observed for patent filings (see A.1.3) 4.5 2.6 23.2 5.7 26.5 3.9 4.8 0.4 5.6 5.7 0 50,000 100,000 150,000 200,000 250,000 Japan United States of America Republic of Korea Germany China France Russian Federation United Kingdom Netherlands Switzerland Countries of Origin Number of Grants Average annual growth rate (%): 2000-06 2000 2006 3.9 1.7 6.0 6.7 4.9 3.5 -8.5 1.3 7.0 4.6 0 5,000 10,000 15,000 Canada Sweden Finland Australia Austria Spain Ukraine Belgium Israel Denmark Countries of Origin Number of Grants Average annual growth rate (%): 2000-06 2000 2006 Japan 32.6% Germany 7.9% Others 14.4% Netherlands 1.4% France 4.0% Russian Federation 2.9% China 1.3% United States of America 25.9% United Kingdom 2.5% Switzerland 1.4% Republic of Korea 5.8% Japan 29.9% Germany 7.7% Republic of Korea 14.1% Switzerland 1.4% United Kingdom 1.8% United States of America 21.3% China 3.6% Russian Federation 2.7% France 3.5% Netherlands 1.4% Others 12.6% A.4.1.PATENTS IN FORCE Patents in force by country of origin, 2006 Patents in force by patent office, 2006 Note: The number of patents in force by country of origin is underestimated because approximately 0.5 million patents in force are of unknown origin. Source: WIPO Statistics Database > In 2006, the total number of patents in force across the world is estimated to be around 6.1 million. > Applicants from Japan (approximately 1.6 million) and the United States of America (approximately 1.2 million) own the majority of patents that were in force in 2006.<br><br> > For all countries, except Austria, France, Spain and Ukraine, the number of patents in force in 2006 is higher than the 2004 level. > The largest number of patents in force is in the United States of America (approximately 1.8 million). > France, Switzerland and the Netherlands rank higher in terms of the number of patents in force by coun- try of origin than by patent office.<br><br> In contrast, Hong Kong (SAR), China, and Mexico rank higher in terms of patents in for ce by patent office. This reflects the presence of a large number of foreign applicants in their respective domestic markets (see A.3.2) 23 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 0 600,000 1,200,000 1,800,000 Japan (2005) United States of America Republic of Korea Germany France Russian Federation United Kingdom Countries of Origin Number of Patents in Force 2004 2006 0 20,000 40,000 60,000 80,000 100,000 China (2005) Canada Switzerland Netherlands Sweden Spain Finland Ukraine Australia Belgium Austria Denmark Israel Countries of Origin Number of Patents in Force 2004 2006 0 500,000 1,000,000 1,500,000 2,000,000 United States of America Japan Republic of Korea Germany United Kingdom (2005) France Patent Offices Number of Patents in Force 2004 2006 0 50,000 100,000 150,000 200,000 250,000 China (2005) Spain Hong Kong (SAR), China Russian Federation Canada Sweden Australia Mexico Singapore Monaco Finland Portugal New Zealand Ukraine Patent Offices Number of Patents in Force 2004 2006 24 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 A.4.2.AGE PROFILE OF PATENTS IN FORCE Number of patents in force by year of filing, 2006 Note: The above graph does not include data for the Japan Patent Office and the State Intellectual Property Office of China. Source: WIPO Statistics Database > Patent rights are conferred to the applicant (inventor) for a limited period, generally 20 years.<br><br> The patent holder has to pay maintenance / renewal fees at specific intervals to the patent office to keep the patent in force. For example, maintenance fees for patents granted by the United States Patent and Trademark Office are due at 3.5 years, 7.5 years and 11.5 years. The time interval for paying maintenance fees varies between patent offices.<br><br> > More than half of the patents in force in 2006 were filed during the period between 1997 and 2003. A minority of patents ar e maintained for the full term of 20 years from filing. 0 150,000 300,000 450,000 19841985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Year of Filing Patents in Froce 25 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 A.5.1.UTILITY MODEL FILINGS Utility model filings by patent office: selected offices, 2006 Distribution of utility model filings by resident and non-resident and by patent office, 2006 Source: WIPO Statistics Database > Utility models are a special form of IP rights for inventions granted by a State to an inventor or his assignee for a fixed period of time.<br><br> The terms and conditions of granting a utility model are different from that for normal patents (e.g. shorter term and less stringent examination requirements). Utility mod- els are an important alternative to patents in the countries where they are available.<br><br> > In 2006, the Chinese patent office received 161,366 utility model filings. The patent offices of the Republic of Korea and Germany also r eceived large numbers of filings. Between 2000 and 2006, there was a sub- stantial increase in filings at the patent offices of China, the Russian Federation, Ukraine and Turkey.<br><br> > In 2006, the share of non-resident filings varied from 0.8% in China to 20.9% in Austria. Non-resident filings accounted for a small fraction of total filings at the patent offices of Brazil, Ukraine, the Republic of Kor ea and the Russian Federation (less than 5%). The share of non-resident utility model filings is below that of non-resident patent filings (see A.1.2).<br><br> This indicates that utility models are mostly used for protecting inventions in the domestic market. 992 652 1,288 471 3,212 3,153 376 4,631 9,587 22,310 37,163 1,019 1,076 1,082 2,456 2,824 2,984 8,171 9,699 10,965 19,766 32,908 68,815 161,366 Austria Australia Czech Republic Turkey Spain Brazil Ukraine Russian Federation Japan Germany Republic of Korea China Patent Offices Number of Utility Model Filings 2000 2006 0% 25% 50% 75% 100% China Brazil Ukraine Republic of Korea Russian Federation Finland Spain Czech Republic Poland Hungary Australia Denmark Germany Japan Slovakia Mexico Austria Patent Offices Resident and Non-Resident Share Resident Non-resident 26 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 A.5.2.UTILITY MODEL GRANTS Utility model grants by patent office, 2006 Distribution of utility model grants by resident and non-resident and by patent office, 2006 Source: WIPO Statistics Database > In 2006, the number of utility model grants at the Chinese patent office was 107,655. The patent offices of the Republic of Korea (29,736), Germany (16,638), Japan (10,593) and Russian Federation (9,568) also issued large numbers of utility models.<br><br> Between 2000 and 2006, there was a substantial increase in the number of grants at the Chinese and Russian patent offices. In contrast, there was a decrease in the number of grants at the patent offices of Germany, Japan and the Republic of Korea. > The share of non-resident grants varied from 1.2% in China to 22.9% in Mexico.<br><br> The share of non-res- ident grants is high at the patent of fices of Mexico, Slovakia, Japan and Austria, while it is very low at the patent offices of China, Ukraine, the Republic of Korea, Mongolia and the Russian Federation. 298 344 751 138 714 1,156 3,283 4,098 12,613 18,914 41,745 277 307 787 830 914 1,021 2,586 9,568 10,593 16,638 29,736 56,077 107,655 Slovakia Denmark Austria Belarus Poland Czech Republic Spain Russian Federation Japan Germany Republic of Korea China Patent Offices Utility Model Grants 2000 2006 0% 25% 50% 75% 100% China Ukraine Republic of Korea Mongolia Russian Federation Finland Poland Brazil Spain Czech Republic Australia Hungary Denmark Germany Austria Japan Slovakia Mexico Patent Offices Resident and Non-Resident Share Resident Non-resident 27 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 B.1.1. RESIDENT PATENT FILINGS Trends in total resident patent filings, 1985-2006 Trends in resident patent filings by patent office: top 10 offices, 1963-2006 Note: Patent filings at the European Patent Office are considered to be non-resident filings and they are often preceded by a f iling at a national patent office (see C.1.1).<br><br> Source: WIPO Statistics Database > In 2006, the total number of resident patent filings is estimated to be around 994,525, representing a 3.1% increase from the previous year. > Since the mid-1990s, resident patent filings have followed an upward trend, with a high growth rate between 1997-2000 and 2003-2006. A notable decrease in filings occurred in 1990-1991.<br><br> > In 2006, the top ten patent offices received approximately 94% of the total resident patent filings. Over the past 10 years, resident filings in France, Germany, Japan and the United Kingdom have remained relatively stable. In contrast, filings in China, the Republic of Korea, and the United States of America increased significantly.<br><br> 3.3 5.7 0.1 -1.3 -2.2 -13.1 5.7 2.5 -1.6 -0.5 3.5 2.1 4.5 10.3 2.0 -0.9 3.7 4.2 3.1 7.5 8.2 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Number of Resident Filings Growth Rate (%) Resident Filings 0 200,000 400,000 600,000 800,000 1,000,000 1963196519671969197119731975197719791981198319851987198919911993199519971999200120032005 Number of Resident Filings Japan United States of America Republic of Korea China Russian Federation Germany United Kingdom France Canada Brazil 28 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 B.1.2. RESIDENT PATENT FILINGS BY COUNTRY OF ORIGIN Resident patent filings: top 20 origins, 2006 Share of countries in total resident filings 20002006 Source: WIPO Statistics Database > In 2006, Japan had the largest number of resident patent filings (347,060), followed by the United States of America (221,784), the Republic of Korea (125,476) and China (122,318). For the majority of the reported countries, the number of filings in 2006 is higher than the 2005 level.<br><br> The most notable increase in filings occurred in China and the Russian Federation, whereas Japan experienced the decrease. > Although Japan had the largest share of resident filings in 2006, its share decreased by 11.8 percentage points during the 2000-2006 period. China, on the other hand, had increased its shar e by 9.2 percent- age points.<br><br> > European countries 9 share is, to a certain extent, underestimated because residents of European coun- tries may also file applications directly at the European Patent Office which are considered as non-resi- dent filings in this report. -0.8% 13.7% 6.4% -2.2% 0.0% -3.0% 11.0% 2.3% -1.8% -2.4% 6.5% 1.4% -2.0% 17.9% -0.7% 30.8% 2.7% -5.7% 6.7% 0100,000200,000300,000400,000500,000 Finland New Zealand Poland Netherlands Austria Sweden Australia Spain Ukraine Brazil India Canada France United Kingdom Russian Federation Germany China Republic of Korea United States of America Japan Countries of Origin Number of Resident Filings 2005 2006 2005-2006 Growth Rate Japan 46.7% China 3.1% Republic of Korea 8.9% Others 7.8% France 1.7% Germany 6.3% Russian Federation 2.8% United States of America 20.0% United Kingdom 2.7% Japan 34.9% China 12.3% Republic of Korea 12.6% United Kingdom 1.8% United States of America 22.3% Russian Federation 2.8% Germany 4.8% France 1.5% Others 7.0% 02,0004,0006,000 Finland New Zealand Poland Netherlands Austria Sweden Australia Spain Ukraine Brazil India Canada B.2.1. RESIDENT PATENT GRANTS Trends in total resident patent grants, 1985-2006 Trends in resident patent grants by patent office: top 10 offices, 1963-2006 Source: WIPO Statistics Database > The total number of resident patent grants was stable during the 1985-1990 period (on average 232,000 grants a year), followed by a steady increase during the 1991-1996 period and a stable growth rate between 1998 and 2004.<br><br> In 2006, around 407,864 resident patents were granted around the world, rep- resenting a 22.5% increase from the previous year. > The trend in patent grants is much more volatile than the trends in patent filings because the processing of patent applications depends on the resour ces available to patent offices (e.g. number of examiners, IT infrastructure, etc.).<br><br> > The number of patents granted by the top ten patent offices was stable from 1963 to 1990, after which there has been a steady increase in the number of patent grants. > In 2006, the top five patent offices (patent offices of Japan, the United States of America, the Republic of Korea, China and the Russian Federation) accounted for 85.8% of total resident patent grants. Between 2000 and 2006, the share of patents granted by those five offices increased by 3.9 percentage points.<br><br> 29 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 3.8 6.1 -5.3 8.8 -4.8 2.9 9.4 12.4 40.8 -10.5 8.2 3.5 -0.2 1.7 7.0 1.3 3.0 42.2 22.5 -44.5 -11.4 0 100,000 200,000 300,000 400,000 500,000 1985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Number of Resident Grants Growth Rate (%) Resident Grants 0 100,000 200,000 300,000 400,000 500,000 1963196519671969197119731975197719791981198319851987198919911993199519971999200120032005 Number of Resident Grants Japan United States of America Republic of Korea China Russian Federation Germany France United Kingdom Ukraine Spain 30 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 B.2.2. RESIDENT PATENT GRANTS BY COUNTRY OF ORIGIN Resident patent grants: top 20 origins, 2006 Share of countries in total resident patent grants 20002006 Source: WIPO Statistics Database > In 2006, Japanese residents (126,804) received the largest number of patents. The number of patents granted to residents of the United States of America was similar to that of the Republic of Korea (around 90,000).<br><br> Between 2005 and 2006 there was a significant increase in the number of resident grants for Austria and the Republic of Korea, whereas Finland, the United Kingdom, Australia and Sweden experi- enced a considerable decrease. > Between 2000 and 2006, the share of resident patent grants of Japan and the United States of America decr eased by 7.1 and 6.9 percentage points, respectively, while that of the Republic of Korea increased by 14.1 percentage points. > To a certain extent, the share for the European countries is underestimated, because patents granted by the European Patent Office are considered as non-resident grants.<br><br> 1.0% -36.5% -20.6% 25.2% 6.5% -20.0% 72.1% 5.1% 0.1% -18.3% 1.7% -25.5% 26.1% 18.1% -1.6% 21.1% 67.2% 14.1% 20.3% 020,00040,00060,00080,000100,000120,000140,000160,000180,000 Romania Finland Australia Belarus Poland Sweden Austria India Canada Netherlands Spain Ukraine United Kingdom France Germany Russian Federation China Republic of Korea United States of America Japan Countries of Origin Number of Resident Grants 2005 2006 2005-06 Growth Rate Japan 38.2% China 2.1% Republic of Korea 7.8% United Kingdom 1.0% France 3.0% United States of America 28.9% Ukraine 1.7% Others 8.4% Germany 4.0% Russian Federation 4.9% Japan 31.1% United Kingdom 0.7% Republic of Korea 21.9% United States of America 22.0% China 6.1% Ukraine 0.6% France 2.6% Germany 3.8% Russian Federation 4.7% Others 6.4% 02,0004,000 Romania Finland Australia Belarus Poland Sweden Austria India Canada Netherlands Spain Ukraine 31 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 C.1.1. NON-RESIDENT PATENT FILINGS Trends in total non-resident patent filings, 1985-2006 Trends in non-resident patent filings by patent office, 1963-2006 Non-resident patent filings by patent office: top 20 offices, 2006 Source: WIPO Statistics Database > The total number of non-resident filings increased at a steady pace during the period of 1985-1994, after which there has been a faster increase in filings. Between 1994 and 2006, non-resident filings grew by 7.3% a year (average annual growth rate).<br><br> > In 2006, the total number of non-resident filings is estimated to be around 770,109, representing a 7.4% increase from the previous year. For the most recent years, the growth rate of non-resident filings has been higher than the growth rate of resident patent filings (see B1.1). > In 2006, the patent office of the United States of America received in excess of 200,000 non-resident fil- ings, which is significantly higher than other offices.<br><br> > For all the reported patent offices, except Thailand and the United Kingdom, the number of non-resident filings in 2006 is higher than the 2005 level. The most notable increase in non-resident filings occurred in Israel, Brazil and Hong Kong (SAR), China. 0.8 2.7 5.6 4.1 1.5 8.2 11.1 5.1 12.1 1.8 7.4 -0.3 -4.5 -6.4 9.4 13.9 6.1 7.1 6.4 7.2 6.6 0 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 1985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Number of Non-Resident Filings Growth Rate (%) Non-Resident Filings 0 100,000 200,000 300,000 400,000 500,000 600,000 700,000 1963196519671969197119731975197719791981198319851987198919911993199519971999200120032005 Number of Non-Resident Filings United States of America Germany United Kingdom Japan European Patent Office China Republic of Korea Brazil Canada Australia 11.7 5.1 10.4 4.2 5.1 5.2 8.8 25.9 0 65,000 130,000 195,000 260,000 United States of America European Patent Office China Japan Republic of Korea Canada Australia Brazil India Patent Offices Number of Non-Resident Filings Average annual growth rate (%): 2005-2006 2005 2006 7.8 17.3 6.1 13.9 6.2 -18.7 50.6 4.1 -2.1 2.0 1.7 0 5,000 10,000 15,000 20,000 25,000 Mexico Hong Kong (SAR), China Germany Russian Federation Singapore United Kingdom Israel South Africa Thailand New Zealand Norway Patent Offices Number of Non-Resident Filings Average annual growth rate (%): 2005-2006 2005 2006 32 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 C.1.2.<br><br> NON-RESIDENT PATENT FILINGS BY COUNTRY OF ORIGIN Non-resident patent filings by country of origin: top 20 origins, 2006 Share of countries in total non-resident filings 20002006 Source: WIPO Statistics Database > In 2006, the largest number of non-resident patent filings originated from the United States of America (169,031) and Japan (166,987). Applicants from Norway, India, Spain and Austria, on the other hand, filed fewer than 5,000 applications each. > China accounted for a low number of non-resident filings in 2006.<br><br> However, the number of filings orig- inating from China has increased at a rapid pace. The average annual growth rate was in excess of 30% during the period of 2000-2006. > Between 2000 and 2006, the Republic of Korea and Japan had the largest increase in the country share of non-resident filings.<br><br> The combined share of the top eight countries increased from 66.4% in 2000 to 73.8% in 2006, reflecting an increasing level of concentration. 0 50,000 100,000 150,000 200,000 United States of America Japan Germany Republic of Korea France Netherlands United Kingdom Switzerland Countries of Origin Number of Non-Resident Filings 2000 2006 0 5,000 10,000 15,000 20,000 25,000 Canada Sweden Australia Finland Israel Belgium China Denmark Austria Spain Norway Ireland Countries of Origin Number of Non-Resident Filings 2000 2006 Netherlands 2.4% Germany 11.5% France 4.5% Japan 19.4% Republic of Korea 2.4% Others 33.6% United Kingdom 3.5% United States of America 20.2% Switzerland 2.5% Netherlands 3.3% Switzerland 3.0% United States of America 21.9% United Kingdom 3.1% Others 26.2% Republic of Korea 6.1% Japan 21.7% France 3.9% Germany 10.8% C.1.3. EUROPEAN REGIONAL FILINGS BY OFFICE European extra-regional filings by patent office, 2006 Source: WIPO Statistics Database > There are two options for applicants seeking patent protection in the European region, direct filing with an European national office, or filing at the European Patent Office.<br><br> > The intra-regional indicator shows the patent filing activity of residents of EPC (European Patent Convention) countries by patent office. The European Patent Office (EPO) accounted for the bulk of EPC countries 9 intra-regional patent filings (87.6%). When seeking patent protection in other EPC countries, applicants prefer to file at the EPO rather than at the national patent offices.<br><br> > The extra-regional indicator shows the patent filing activity of non-EPC applicants by patent office. The tr end for the extra-regional filings is similar to that of the intra-regional filings. The EPO accounted for the majority of filings (78.6%) originating from non-EPC residents who intend to protect their inventions in the EPC region.<br><br> However, the EPO has a lower share of extra-regional filings than intra-regional filings. The patent offices of Germany and the United Kingdom have a higher share of extra-regional filings than intra-regional filings. 33 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 European intra-regional filings by patent office, 2006 6 7 9 18 20 20 24 26 32 53 70 91 101 119 119 124 139 165 166 240 259 272 357 1,319 2,106 3,405 66,625 Estonia Monaco Slovenia Lithuania Luxembourg Latvia Romania Bulgaria Portugal Ireland Slovakia Hungary Finland Belgium Czech Republic Denmark Spain Netherlands Iceland Sweden Austria Switzerland Poland France United Kingdom Germany European Patent Office Patent Offices Number of Filings 3 3 4 6 16 16 17 20 22 34 38 42 44 64 76 90 101 115 119 160 160 173 177 298 383 1,401 6,155 9,168 69,606 Estonia Slovakia Portugal Luxembourg Greece Lithuania Latvia Slovakia Bulgaria Cyprus Romania Belgium Ireland Denmark Czech Republic Switzerland Finland Hungary Austria Iceland Turkey Sweden Spain Poland Netherlands France United Kingdom Germany European Patent Office Patent Offices Number of Filings 34 WORLD PATENT REPORT 3 A STATISTICAL REVIEW, 2008 C.2.1.<br><br> NON-RESIDENT PATENT GRANTS Trends in total non-resident patent grants, 1985-2006 Trends in non-resident patent grants by patent office, 1980-2006 Non-resident patent grants by patent office: top 20 offices, 2006 Source: WIPO Statistics Database > The number of non-resident patent grants has increased from around 177,617 in 1985 to around 319,429 in 2006. The trend of non-resident grants is similar to that of non-resident filings (see C.1.1). Average annu- al growth rate for the period of 1995-2006 is higher than the growth rate for the period of 1985-1994.<br><br> > In 2006, the patent office of the United States of America (83,947) issued the largest number of non- resident patents. The number of patents granted to non-residents by the patent offices of China and the Republic of Korea are of a similar magnitude (approximately 32,000). > Between 2005 and 2006, there was a significant increase in the number of patents granted to non-res- idents by the patent offices of Germany, Japan, the Republic of Korea and the United States of America.<br><br> > The number of non-resident patents issued by the patent office of China increased substantially until 2004, after which there has been a slowdown in the grant rate. -3.9 -3.4 -1.9 5.3 -2.3 10.7 0.0 -1.3 3.2 2.8 8.9 5.8 -6.3 6.6 14.6 3.0 13.1 6.8 4.1 0.2 -2.9 0 85,000 170,000 255,000 340,000 1985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Number of Non-Resident Grants Growth Rate (%) Non-Resident Grants 0 100,000 200,000 300,000 198019811982198319841985198619871988198919901991199219931994199519961997199819992000200120022003200420052006 Number of Non-Resident Grants United States of America Germany United Kingdom Japan European Patent Office China Republic of Korea Canada Mexico Australia 21.4 17.9 0.3 56.7 23.1 -4.4 19.2 -13.4 0 25,000 50,000 75,000 100,000 United States of America European Patent Office China Republic of Korea Japan Canada Mexico Australia Patent Offices Number of Grants Growth rate (%): 2005-06 2005 2006 -0.3 40.2 -20.8 -34.0 5.5 3.3 -21.1 1.9 6.5 -4.4 -11.8 0 5,000 10,000 15,000 Singapore Germany Hong Kong (SAR), China United Kingdom Russian Federation France India New Zealand Brazil Poland Ukraine Czech Republic Patent Offices Number of Grants Growth rate (%): 2005-06 2005 2006 C.2.2. NON-RESIDENT PATENT GRANTS BY COUNTRY OF ORIGIN Non-resident patent grants by country of origin: top 20 origins, 2006 Share of countries in total non-resident grants: selected countries 20002006 Source: WIPO Statistics Database > Emerging countries such as Brazil, China, India and Mexico have a low ranking for non-resident grants by country of origin compared to their ranking by patent office (see C.1.1).<br><br> This indicates that these countries have a low patenting activity abroad and a high presence of foreign applicants in their respec- tive domestic markets (see A.1.2 and A.3.2). > In 2006, applicants from

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