Written by: Ephraim Zachary Heiliczer, Ph.D.
Patent data often reveal more than just numbers—they tell a story about where innovation thrives and where it is protected. In 2024, the Israel Patent Office (ILPO) reported a 20% decline in total patent applications compared with 2022. At first glance, this might suggest a slowdown. In reality, it highlights a strategic opportunity: a gap between Israel’s extraordinary inventive output and the level of formal protection those inventions receive at home.
Israel remains one of the world’s most research-intensive economies, hosting hundreds of multinational R&D centers and maintaining one of the highest ratios of patents per capita globally. As the start-up nation, bypassing Israel in a global innovation strategy can be a strategic error.
A Closer Look at the Numbers
The 20% decline to a total of 8,262 patent applications was driven mainly by a decrease in foreign filings. Israeli filings actually rose by 6.5%, showing that local innovation is thriving even as international filings have declined—possibly due to less emphasis on Israel during the recent conflict. The increase in local filings can be attributed primarily to defense technology–related applications, which must be filed first in Israel, a trend that is also a byproduct of the war.
By contrast, filings at the European Patent Office (EPO) rose from 193,460 in 2022 to 199,275 in 2023, an increase of about three per cent, before stabilising at roughly 199,000 applications in 2024, a marginal change of –0.1%. The United States displayed a similar pattern of stability: according to WIPO, patent applications filed at the USPTO increased slightly from 594,340 in 2022 to 598,085 in 2023. This illustrates that Israel’s strong inventive capacity is not translating into patent filings within its own jurisdiction.
For example, a major global innovation company that filed over 1,000 patents in Europe in 2024 filed only four applications in Israel.
Why the Gap Exists
For many global companies, Israel serves primarily as an R&D powerhouse rather than a core commercial market. As a result, filings often concentrate in larger jurisdictions like the U.S., EU, or China, with Israel overlooked as a secondary jurisdiction. However, this approach misses the strategic advantages of securing protection in Israel itself.
Beyond Market Size: The Strategic Value of Israeli Protection
In today’s technology-driven economy, the value of a patent is no longer tied solely to the size of the local market or manufacturing capability. In fields such as artificial intelligence, semiconductors, defense systems, and biotechnology, the location of invention is strategically critical. Israel’s contributions to these sectors are globally recognized, and securing patents locally strengthens the ability to block competitors and protect innovation at its source.
For multinational corporations and innovative start-ups alike, filing in Israel is a strategic investment. The Israeli Patent Office allows for streamlined patent grants based on foreign patent approvals—saving both time and cost. Moreover, at a relatively low cost, an application can remain pending in Israel for up to 5–6 years post-priority, giving applicants flexibility to assess the commercial value of protection in Israel before proceeding.
Pearl Cohen combines deep expertise in Israeli IP law with established operations in Europe and the United States, providing seamless, end-to-end management of international patent portfolios.
In a world where innovation knows no borders, ensuring that your intellectual property is protected where it is created is not just prudent—it’s essential.
