Microsoft Ranks No.1 in Patents

While drinking my first cup of coffee this morning and clearing my inbox, I came across John Cook’s TechFlash blog discussing the value of Microsoft’s patent library and its expanding business growth strategies.

According to the Institute of Electrical and Electronics Engineers, Microsoft’s patent portfolio ranked the strongest in the software industry for the third straight year. According to the report, Microsoft was way out in front of its competition, with 2,918 patents granted last year. The next closest competitor in the software group was Oracle, which showed just 338 patents.

According to Microsoft’s Bart Eppenauer, “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.”

In the Patent Scorecard, Microsoft was well out in front of Apple (ranked 12th) and Google (ranked 13th). It also edged out IBM, which ranked second, and Oracle, which ranked third.

As an expansion stage venture capital fund, we believe an investment in R&D and protecting intellectual property will create a competitive advantage and enhance company exit strategy.