The United States Patent and Trademark Office (USPTO) today released the latest edition of its report highlighting the economic contributions of industries that make greater use of intellectual property (IP) protection, including patents, trademarks, and copyrights, titled “Intellectual property and the U.S. economy: Third edition.”
“Intellectual property protection is vital for American innovation and entrepreneurship,” said United States Secretary of Commerce Gina Raimondo. “This report underscores the key benefits associated with a strong intellectual property system and reinforces the Biden administration’s commitment to expanding our innovation economy by ensuring that more Americans have equitable access to the goods, services, and quality jobs that stem from American innovation. Employees working in IP-intensive industries are more likely to earn higher wages compared to non-IP-intensive industries. IP protection isn’t just good for American businesses, it’s good for American workers.”
The latest report found that in 2019, 127 IP-intensive industries in sectors such as manufacturing; wholesale and retail trade; and professional, technical, management, and administrative services accounted for $7.8 trillion in U.S. gross domestic product (GDP), or 41% of total GDP. Direct employment in these industries accounted for 47.2 million jobs in 2019, or 33% of total U.S. employment. Indirect employment—jobs created in other industries that depend at least partially on final sales in IP-intensive industries—accounted for an additional 11% of U.S. employment. In total, IP-intensive industries contributed 44% of U.S. employment.
Additionally, for the first time, the report provides data that offers greater insight into the demographics of workers in IP-intensive industries.
In terms of overall workforce composition, the report found that women and minorities, except for those of Asian descent, were underrepresented in IP-intensive industries. Women comprised 43.7% of the workforce in IP-intensive industries, versus 54% in non-IP-intensive industries. The report further shows that Blacks and Hispanics respectively comprised 8.9% and 13% of the workforce in IP-intensive industries, versus 13.9% and 19.5% in non-IP-intensive industries.