14 DAY TRIAL // A strong and committed strategy of investments is paying off for Microsoft which is outpacing rivals in the race to build innovation by a landslide. The Redmond company’s patent portfolio topped, for the third year in a row, a ranking put together by the Institute of Electrical and Electronics Engineers (IEEE). And software giant is showing no signs of stopping. As a matter of fact, for 2010, Microsoft pledged no less than $9.5 billion to fuel its research and development efforts. It looks like the company is getting rather cozy at the top of IEEE’s, having settled in, and is not keen on leaving the position anytime soon.
“These consistently high marks from experts in the industry signify that Microsoft’s focus on high-quality patent protection is working. Microsoft invests more than $9 billion annually in research and development, and the innovations that result from that R&D commitment are directly related to the quality of our patents. We’ve expanded our patent filings in recent years to match the accelerating pace of breakthrough technology developed at Microsoft, and these filings are closely aligned with our strategic business goals,” revealed Bart Eppenauer, chief patent counsel.
Even as the world struggled through the recent economic downturn, Microsoft spent 9 billion on R&D in 2009, and according to IEEE it was granted 2,918 patents in the US alone, which are equivalent to an adjusted pipeline power score of 7,422. The runner up on IEEE’s list, Oracle was granted approximately 10 times less patents, with just 338 examples of intellectual property. Companies such as Google and Apple are not even in the first 20 positions in the IEEE ranking.
“In another independent survey released this week, Microsoft ranked #1 in the Patent Board Scorecard, far surpassing all other information technology companies in the strength of our science and technology. Also this week, Forbes named Microsoft on its list of America’s Most Inventive Companies, based on the strength of our patent portfolio and return on R&D investments,” Eppenauer added.
In February 2010, Microsoft passed an important milestone in terms of the strength of its patent dowry. U.S. Patent No. 7,479,950 was the 10,000th U.S. patent awarded to the software giant by the U.S. Patent and Trademark Office. But if the company holds steady the rate of 3,000 new patents per year, it is bound to break the 20,000 mark in the next 4 years.
“Our high-quality patent portfolio provides customers and partners with assurance that Microsoft is committed to protecting intellectual property. Through our IP licensing programs, Microsoft provides access to these technologies and patents for our partners to spur innovation and economic opportunity across the industry,” Eppenauer explained.
UPDATE: correction - "the 2,000 mark in the next 4 years" changed to "the 20,000 mark in the next 4 years."