US Tech Industry Urges More Patent Applications

Washington, DC–United States technology industry leaders today decried the rapid growth in research and development in major industrialized and developing nations, including the rapid rise in patent applications in Asia, and urged fast action by the US government.

In calling for larger domestic R&D budgets, John Engler, president of the US National Association of Manufacturers, said it is necessary for the United States to stay ahead of developing nations.

“We’re talking about something that’s absolutely imperative for America’s economic survival in an increasingly competitive world,” Engler said at a press conference. “We will never be able to match the low costs of developing countries, so we must maintain our innovative advantage in order to grow our economy and raise living standards.”

“The US cannot assume it is safely ahead of the world,” Engler added. “Other countries are all trying to race up the technology ladder and stay on top of low-cost producers like China. But even China is rapidly increasing its R&D investments.”

Engler made the comments at a press conference of the so-called Task Force on the Future of American Innovation. The coalition presented a report entitled, The Knowledge Economy: Is the United States Losing Its Competitive Edge?, that includes 30 national benchmarks in five areas: education, the workforce, knowledge creation and new ideas, R&D investments, and the high-tech economy.

According to the report, US patent applications from China, India, Singapore, South Korea and Taiwan rose 759 percent from 1981 to 2001, while the patent applications from the United States – which still leads the world in this category – grew 116 percent during the same period.

In addition to Engler, the task force was represented by Intel CEO Craig Barrett, Association of American Universities President Nils Hasselmo, Council on Competitiveness President Deborah Wince-Smith, American Physical Society President Dr. Marvin Cohen and Georgia Institute of Technology’s School of Public Policy Chair Diana Hicks. Others in the group include Hewlett Packard, IBM and Microsoft.