Derwent worlD Patents InDex

2010 state oF InnovatIon

TWELVE KEy TEchnoLogy arEas and ThEir sTaTEs of innoVaTion

IP SOLUTIONS

PaGe 2: 2010 state oF InnovatIon rePort FeaturInG DwPI

12 KEy TECHNOLOGy AREAS AND THEIR STATES OF INNOVATION

2010 STATE OF InnOvATIOn

The 2010 State of Innovation Report is the second annual analysis of 12 key technology areas and their global innovation by the IP Solutions business of Thomson Reuters. The technology areas analyzed within this report are often those with significant volumes of patent activity, according to data in the Derwent World Patents Index (DWPISM) database from Thomson Reuters. For benchmarking purposes, the technology areas remain the same year over year.

Patent activity is used as a barometer for innovation in this report. To measure patent activity, our expert analysts studied the first instance or invention for published patent applications and granted patents in 2010, counting each invention only once, in the country where protection was first sought. This gives the truest picture of patent and innovation activity. Each of the technology areas has a series of subsectors that comprise it. Patent activity data for the 12 areas, as well as their subsectors, is presented in this report. In addition, our analysts further looked at the subsectors with the highest volume of activity*, providing a snapshot of the top 10 assignees/companies in each. Noteworthy findings include: Aerospace patent activity increased by 25% overall from 2009 to 2010, driven by a 108% increase in Space Vehicle and Satellite Technologies, a sector within the Aerospace industry. The top three companies leading in this subsector were Japanese manufacturer Sharp, followed by Korean manufacturers LG and Samsung. Semiconductor patent activity decreased by 9% from 2009 to 2010 overall, driven by double-digit decreases in three Semiconductor subsectors: Integrated Circuits; Discrete Devices; and Memories, Film and Hybrid Circuits. Computers & Peripherals retained the leading position as the most innovative technology area in 2010 with the highest volume of patent activity: 212,622 unique inventions, despite a 6% decline in total volume from 2009. Automotive moved up to the second position in 2010 from fourth in 2009 based on overall volume of patent activity, surpassing the Telecommunications and Semiconductors industries. Read on to learn more about 2010 innovation and to discover which areas were expanding versus contracting.

*Within the Computer & Peripherals technology area, an alternative subsector, Smart media, was selected

PaGe 3: 2010 state oF InnovatIon rePort FeaturInG DwPI

2010 Patent aCtIvIty

SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

TECHNOLOGY AREA
TECHNOLOGY AREA

overvIew oF 12 Key teCHnoloGy areas

click on a technology area below to jump directly to its snapshot.
a B C D e F G H I J K l 28% 12% 11% 11% 8% 7% 5% 5% 5% 4% 3% 1% Computers & Peripherals automotive telecommunications semiconductors Pharmaceuticals Medical Devices Petroleum & Chemical engineering Domestic appliances Food tobacco & Fermentation aerospace agrochemicals & agriculture Cosmetics

2010 Volume
A B C D E F G H I J K L Computers & Peripherals Automotive Telecommunications Semiconductors Pharmaceuticals Medical Devices Petroleum & Chemical Engineering Domestic Appliances Food Tobacco & Fermentation Aerospace Agrochemicals & Agriculture Cosmetics

2010 Ranking 1 2 3 4 5 6 7 8 9 10 11 12

% of Total 28% 12% 11% 11% 8% 7% 5% 5% 5% 4% 3% 1%

2009 Volume 226,293 89,106 90,867 95,106 59,638 49,035 38,729 34,591 35,375 26,167 20,503 6,612

% Change in Volume (2010 v 2009) -6% 0% -3% -9% 0% 6% 9% 6% 2% 25% 11% -3%

212,622 88,867 87,920 86,479 59,350 52,117 42,304 36,816 36,048 32,622 22,726 6,438

PaGe 4: 2010 state oF InnovatIon rePort FeaturInG DwPI

2010 PATENT ACTIVITy

aerosPaCe

SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

GY AREA - Aerospace

SubSeCToRS 29% 27% 16% 10% 10% 8% Space Vehicles and Satellite Technologies Production Techniques Advanced Materials Structures & Systems Propulsion Plants Instrumentation

2010 Volume 10,429 9,726 5,937 3,612 3,566 2,786

2009 Volume 5,019 9,070 5,836 3,414 3,359 2,570

% Change 108% 7% 2% 6% 6% 8%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

sPaCe veHICles anD satellIte teCHnoloGIes

assIGnee 1 2 3 4 5 6 7 8 9 10 Sharp LG Samsung Mitsubishi Electric Sanyo Kyocera Applied Materials Dupont Toyota Fujifilm Country JP Kr Kr JP JP JP us us JP JP 2010 volume 166 156 119 101 89 85 83 81 73 60

PaGe 5: 2010 state oF InnovatIon rePort FeaturInG DwPI

2010 PATENT ACTIVITy

aGroCHeMICals & aGrICulture

SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

GY AREA - Agrochemicals and Agriculture

SubSeCToRS 67% 20% 13% Agriculture Agrochemicals Biotechnology in Agriculture

2010 Volume 21,843 6,577 4,161

2009 Volume 19,645 5,756 3,880

% Change 11% 14% 7%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

aGroCHeMICals
assIGnee 1 2 3 4 5 6 7 8 9 10 Bayer Cropscience BASF Sumitomo Chemical Syngenta Dow Agrosciences Univ. of S. China Agriculture Dupont Nippon Soda Univ. Nanjing Clariant Country De De JP CH us Cn us JP Cn CH 2010 volume 149 143 109 68 51 51 24 24 33 22

PaGe 6: 2010 state oF InnovatIon rePort FeaturInG DwPI

2010 PATENT ACTIVITy

autoMotIve

SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

2010 Volume 15,913 12,060 11,577 10,263 8,376 7,769 6,327 5,924 5,752 5,336 3,908 3,052 2009 Volume 13,118 12,414 11,520 10,589 8,567 7,657 6,610 5,975 5,817 5,552 4,067 3,230

OGY AREA - Automotive

SubSeCToRS 16% 13% 12% 11% 9% 8% 7% 6% 6% 5% 4% 3% Alternative Powered Vehicles Navigation Systems Transmission Safety Pollution Control Seats, Seatbelts and Airbags Steering Systems Suspension Systems Security Systems Engine Design and Systems Braking Systems Entertainment Systems

% Change 21% -3% 0% -3% -2% 3% -4% -1% -1% -4% -4% -6%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

alternatIve PowereD veHICles

assIGnee 1 2 3 4 5 6 7 8 9 10 Toyota Nissan Honda NipponDenso Matsushita Hyundai GM Robert Bosch Daimler Aisin Country JP JP JP JP JP Kr us De De JP 2010 volume 2179 639 467 340 287 284 243 217 209 166

PaGe 7: 2010 state oF InnovatIon rePort FeaturInG DwPI

2010 PATENT ACTIVITy

CoMPuters & PerIPHerals

SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

GY AREA - Computers & Peripherals

SubSeCToRS 71% 10% 10% 4% 3% 2% Computers Other Peripherals Printers Smart media Screens Scanners

2010 Volume 178,509 26,317 25,079 9,757 6,471 6,372

2009 Volume 193,445 29,800 25,108 11,602 6,684 4,947

% Change -8% -12% 0% -16% -3% 29%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

sMart MeDIa
assIGnee 1 2 3 4 5 6 7 8 9 10 Samsung Matsushita Toshiba NEC Brother Toppan Forms Sony Mitsui Chemical Electronics & Telecom Res. Inst. Dainippon Printing Country Kr JP JP JP JP JP JP JP Kr JP 2010 volume 274 156 139 127 111 109 91 85 82 76

PaGe 8: 2010 state oF InnovatIon rePort FeaturInG DwPI

2010 PATENT ACTIVITy

CosMetICs

SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

GY AREA - Cosmetics

SubSeCToRS 43% 32% 21% 2% 2% Make-Up Skin Hair Perfume Antiperspirant

2010 Volume 3,833 2,859 1,879 216 174

2009 Volume 3,645 2,915 2,159 185 199

% Change 5% -2% -13% 17% -12%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

MaKe-uP
assIGnee 1 2 3 4 5 6 7 8 9 10 LOreal KAO Amorepacific Shiseido Kose Henkel Pola Chem Ind BASF Procter & Gamble Co. Unilever Country Fr JP Kr JP JP De JP De us nl/uK 2010 volume 323 147 120 115 62 59 56 53 33 32

PaGe 9: 2010 state oF InnovatIon rePort FeaturInG DwPI

DoMestIC aPPlIanCes
SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

2010 PATENT ACTIVITy

GY AREA - Domestic Appliances

SubSeCToRS 44% 30% 9% 9% 8% Kitchen Heating & Air Conditioning Laundry Household Cleaning Human Hygiene

2010 Volume 17,235 11,680 3,543 3,414 3,193

2009 Volume 15,851 11,223 3,602 3,081 3,228

% Change 9% 4% -2% 11% -1%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

KItCHen
assIGnee 1 2 3 4 5 6 7 8 9 10 LG Matsushita Bosch & Siemens Mitsubishi Electric Daikin Kogyo Sanyo Hitachi Sharp Toshiba Samsung Country Kr JP De JP JP JP JP JP JP Kr 2010 volume 728 685 418 370 217 173 140 136 129 125

PaGe 10: 2010 state oF InnovatIon rePort FeaturInG DwPI

2010 PATENT ACTIVITy

FooD, toBaCCo & FerMentatIon

SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

GY AREA - Food, Tobacco and Brewing

SubSeCToRS 82% 7% 6% 4% 1% Fermentation Bakery Meat Tobacco Sugar & Starch

2010 Volume 30,086 2,628 2,090 1,512 338

2009 Volume 27,433 2,675 4,323 1,529 307

% Change 10% -2% -52% -1% 10%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

FerMentatIon
assIGnee 1 2 3 4 5 6 7 8 9 10 Dupont Monsanto Technology Univ Zhejiang Univ California Hoffmann La Roche Olympus Optical Novozymes Univ Seoul Nat. Ind. Foundation Univ Nanjing US Dept. Health & Human Services Country us us Cn us CH JP Dn Kr Cn us 2010 volume 238 219 186 179 133 128 116 111 111 109

PaGe 11: 2010 state oF InnovatIon rePort FeaturInG DwPI

MeDICal DevICes
SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

2010 PATENT ACTIVITy

GY AREA - Medical Devices

SubSeCToRS 35% 30% 18% 17% Diagnosis, Surgery Sterilizing, Syringes, Electrotherapy Dentistry, Bandages, Prosthesis Medical Aids, Oral Administration

2010 Volume 20,076 17,788 10,746 9,714

2009 volume 19,249 16,315 11,044 8,788

% Change 4% 9% -3% 11%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

DIaGnosIs, surGery
assIGnee 1 2 3 4 5 6 7 8 9 10 Fujifilm Olympus Optical Toshiba Toshiba Medical Siemens Konica Minolta Philips Tyco Healthcare Group GE Medical Systems Global Tech. Hitachi Medical Country JP JP JP JP De JP nl us us JP 2010 volume 529 456 453 396 361 269 258 243 197 175

PaGe 12: 2010 state oF InnovatIon rePort FeaturInG DwPI

2010 PATENT ACTIVITy

PetroleuM & CHeMICal enGIneerInG

SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

GY AREA - Petroleum & Chemical Engineering

SubSeCToRS 70% 16% 12% 1% 1% Chemical Engineering Petroleum & Gas Exploration, Drilling, Production and Processing Petroleum & Gas Fuels and Other Products Petroleum & Gas Transportation and Storage Petroleum Refining

2010 Volume 32,655 7,554 5,787 311 194

2009 Volume 28,642 7,724 6,086 334 188

% Change 14% -2% -5% -7% 3%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

CHeMICal enGIneerInG
assIGnee 1 2 3 4 5 6 7 8 9 10 Toyota China Petro-Chem Corp Univ Zhejiang Matsushita Univ Nanjing BASF NGK Insulators Nippondenso Dokuritsu Gyosei Hojin Sangyo Gijutsu Robert Bosch Country JP Cn Cn JP Cn De JP JP JP De 2010 volume 515 267 240 198 163 152 133 132 128 127

PaGe 13: 2010 state oF InnovatIon rePort FeaturInG DwPI

PHarMaCeutICals
SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

2010 PATENT ACTIVITy

GY AREA - Pharmaceuticals

SubSeCToRS 61% 22% 14% 2% 1% Organics General Heterocyclics Inorganics Steroids

2010 Volume 42,845 15,404 10,013 986 654

2009 Volume 43,169 15,585 10,213 668 741

% Change -1% -1% -2% 48% -12%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

orGanICs
assIGnee 1 2 3 4 5 6 7 8 9 10 Seiko Epson Hoffman La Roche Univ California Dokuritsu Gyosei Hojin Sangyo Gijutsu Olympus Optical Abbott Labs Nikon Univ Seoul Nat Ind Found CNRS Univ Tokyo Country JP CH us JP JP us JP Kr Fr JP 2010 volume 385 233 189 183 178 165 142 139 136 127

PaGe 14: 2010 state oF InnovatIon rePort FeaturInG DwPI

2010 PATENT ACTIVITy

seMIConDuCtors
SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

OGY AREA - Semiconductors

SubSeCToRS 48% 29% 18% 5% Semiconductor Materials and Processes Memories, Film and Hybrid Circuits Discrete Devices Integrated Circuits

2010 Volume 50,812 30,995 18,709 5,127

2009 Volume 49,255 35,287 32,068 9,148

% Change 3% -12% -42% -44%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

seMIConDuCtor MaterIals anD ProCesses

assIGnee 1 2 3 4 5 6 7 8 9 10 Samsung Hynix Semiconductor Toshiba Matsushita NEC Canon Seiko Epson Sony Sharp IBM Country Kr Kr JP JP JP JP JP JP JP us 2010 volume 1566 1435 1429 977 925 822 717 673 663 591

PaGe 15: 2010 state oF InnovatIon rePort FeaturInG DwPI

teleCoMMunICatIons
SOURCE: THOMSON REUTERS DERWENT WORLD PATENTS INDEx (DWPI)

2010 PATENT ACTIVITy

GY AREA - Telecommunications

SubSeCToRS 26% 24% 21% 8% 8% 5% 4% 4% Mobile Telephony Data Transmission Networks Telephone Subscriber Equipment Multiplex & Multiple Access Information Transmission Systems Digital Information Transmission Systems Telemetry & Telecontrol Telephone Communications Systems & Installations Telephone Exchange Systems

2010 Volume 42,836 39,367 34,834 14,031 12,504 7,638 6,511 6,251

2009 Volume 44,714 32,922 34,665 15,191 13,886 8,037 8,549 9,277

% Change -4% 20% 0% -8% -10% -5% -24% -33%

suBseCtor snaPsHot:

2010 TOP TEN ASSIGNEES/COMPANIES

MoBIle telePHony
assIGnee 1 2 3 4 5 6 7 8 9 10 Samsung LG NEC Seiko Epson Matsushita Sony Sharp Kyocera Qualcomm Inc ZTE Corp Country Kr Kr JP JP JP JP JP JP us Cn 2010 volume 1627 1251 1146 1051 1035 930 857 851 824 776

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