The US has fallen behind in world-wide innovation by slipping out of the top 10 in the 2018 Bloomberg Innovation Index for the first time in the six years the gauge has been compiled and dropping to 12th in the US Chamber of Commerce global IP index on patent protection.
The US ranked 11th in the Bloomberg Innovation index, right behind Israel.
USA experienced this decline due to a combination of factors including a decrease in new science and engineering graduates in the work force, causing them to plummet eight positions in the postsecondary education-efficiency category, Bloomberg reported.
South Korea and Sweden were the top 2 nations in the Bloomberg index.
Bloomberg ranks innovation by various categories including: Research and Development intensity, manufacturing, productivity, high tech density, Tertiary efficiency (graduates at post-secondary level), researcher concentration and patent activity.
The U.S. fell to 11th place from ninth mainly because of an eight-spot slump in the post-secondary, or tertiary, education-efficiency category, which includes the share of new science and engineering graduates in the labor force, Bloomberg reported.
“I see no evidence to suggest that this trend will not continue,” said Robert D. Atkinson, president of the Information Technology & Innovation Foundation in Washington, D.C.
“Other nations have responded with smart, well-funded innovation policies like better R&D tax incentives, more government funding for research, more funding for technology commercialization initiatives.”, Bloomberg reported Atkinson as commenting.
Silicon Valley fell, while Singapore thrived, topping the tertiary education-efficiency list, propelling them to third position ahead of European powerhouses Germany, Switzerland and Finland overall.
“Singapore has always placed strong focus on educating her populace, especially in [Science, Technology, Engineering and Mathematics] disciplines”, Yeo Kiat , professor at Professor at the Singapore University of Technology and Design said.
South Korea’s continued success continues to be because of Samsung, who possess the second most U.S. patents of any firm. Patent protection continues to be a problem for the US. This year, the U.S. fell out of the top 10, tumbling to a tie for 12th with Italy according to the US Chamber of commerce Global IP index.
Countries ahead of the United States for patent protection are (in order from first place on the Chamber patent index): Singapore, France, Germany, Ireland, Japan, Netherlands, South Korea, Spain, Sweden, Switzerland, and the United Kingdom, IP watchdog reported.
The Chamber report notes that the U.S. score for patent protection has fallen lower in each of the successive editions of these Chamber rankings and point out that the United States joins a handful of other countries that are not thought of as being particularly intellectual property friendly.
By Murray Goldstein