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American Companies Capture Less than Majority of 2009 U.S. Patent Pool

Second Year Running, Foreign Firms Take Slight Collective Lead Despite

Substantial Individual Gains by U.S. Firms

WILMINGTON, Del., (Jan. 12, 2010) — For the second straight year, foreign companies collectively captured a slight majority of new U.S. patents awarded to corporations by the U.S. Patent and Trademark Office (USPTO). According to an annual corporate ranking released today by IFI Patent Intelligence (www.ificlaims.com), part of Wolters Kluwer, U.S. corporations garnered 49 percent of all U.S. utility patents issued in 2009 with the remainder going to foreign firms. This is only the second time that foreign companies collectively received more U.S. patents than U.S.-based firms.

“It’s foolhardy to use this statistic to infer that American firms are losing ground to foreign competitors because with patents, it’s important to consider quality, as well as quantity,” said Darlene Slaughter, general manager of IFI Patent Intelligence. “What we’re seeing this year is that innovation in American firms is far from declining, in fact, many had impressive gains and several posted record numbers of total new patents.”

As a whole, U.S. companies received approximately 7 percent more utility patents in 2009 than in 2008, compared to 6.5 percent by foreign companies. The U.S. also received more than twice as many corporate patents than Japan (23%), the country with the second most U.S. patents issued in 2009. South Korea (5.6%) moved into third place displacing Germany (5.2%) for the first time.

#1 IBM Approaches 5,000-Patent Mark, Sets All-Time High

Collectively, U.S. firms may be slightly behind foreign firms as a group, but individually, they showed significant improvement over 2008. For example, IBM achieved an all-time high for any company of 4,914, up 17 percent. Microsoft took over the #3 slot boosting its total patents by 43 percent. IFI observed several additional impressive year-over-year gains by U.S. firms in the top 50:

· Boeing, up 26%

· Broadcom, up 11%

· Cisco, up 30%

· General Electric, up 7%

· GM Global, up 68%

· Honeywell, up nearly 6%

· Sun, up 10%

· Xerox, up 18%

Although the margin of patent dominance between U.S. and non-U.S. firms is slight and has been for several years, there is no uncertainty that foreign firms are adding patents at a frenetic pace. “Interest in protecting corporate intellectual property has become intense both in the U.S. and abroad, and as a result we’re seeing an increased level of patent activity,” continued Slaughter. “The silver lining may be that the high priority foreign firms place on U.S. patents is a confirmation of the value and importance that the U.S. market represents.”

IFI Posts 2009’s Top-50 Patent Recipients

Employing proprietary authority lists and algorithms to enhance the speed and accuracy of the culling process, IFI analyzed 2009 calendar year USPTO data and prepared what has become the official ranking of U.S. patent assignees. The company posted the 2009 top-50 today on its website at www.ificlaims.com:

Rank	Company Name	2009 Patents
1	INTERNATIONAL BUSINESS MACHINES CORP	4914
2	SAMSUNG ELECTRONICS CO LTD KR	3611
3	MICROSOFT CORP	2906
4	CANON K K JP	2206
5	PANASONIC CORP JP (1)	1829
6	TOSHIBA CORP JP	1696
7	SONY CORP JP	1680
8	INTEL CORP	1537
9	SEIKO EPSON CORP JP	1330
10	HEWLETT-PACKARD DEVELOPMENT CO L P (2)	1273
11	FUJITSU LTD JP	1220
12	LG ELECTRONICS INC KR	1065
13	HITACHI LTD JP	1058
14	HON HAI PRECISION INDUSTRY CO LTD TW	995
15	RICOH CO LTD JP	988
16	GENERAL ELECTRIC CO	979
17	MICRON TECHNOLOGY INC	966
18	CISCO TECHNOLOGY INC	913
19	FUJIFILM CORP JP	880
20	HONDA MOTOR CO LTD JP	774
21	HDENSO CORP JP	745
22	SIEMENS AG DE	716
23	BROADCOM CORP	714
24	SHARP K K JP	657
25	HONEYWELL INTERNATIONAL INC	655
26	TEXAS INSTRUMENTS INC	652
27	NOKIA AB OY FI	648
28	XEROX CORP	624
29	INFINEON TECHNOLOGIES AG DE	605
30	LG DISPLAY CO LTD KR (3)	597
31	HYNIX SEMICONDUCTOR INC KR	587
32	SUN MICROSYSTEMS INC	561
33	SEMICONDUCTOR ENERGY LABORATORY CO LTD JP	545
34	BOEING CO THE	534
35	BROTHER KOGYO K K JP	532
35	MITSUBISHI DENKI K K JP	532
35	TOYOTA JIDOSHA K K JP	532
38	GM GLOBAL TECHNOLOGY OPERATIONS INC	531
39	NEC CORP JP	526
40	KONINKLIJKE PHILIPS ELECTRONICS N V NL	515
41	SILVERBROOK RESEARCH PTY LTD AU	474
42	BOSCH, ROBERT GMBH DE	467
43	AT&T INTELLECTUAL PROPERTY I L P	444
44	SANYO ELECTRIC CO LTD JP	443
45	FUJI XEROX CO LTD JP	425
46	SAMSUNG SDI CO LTD KR	423
47	ALCATEL-LUCENT USA INC	413
48	INDUSTRIAL TECHNOLOGY RESEARCH INSTITUTE TW	397
49	NEC ELECTRONICS CORP JP	391
50	HITACHI GLOBAL STORAGE TECHNOLOGIES NETHERLANDS B V	385

(1) includes 58 patents issued to former company name

Matsushita Electric Industrial Co JP

(2) includes 4 patents issued to Hewlett-Packard Co

(3) includes 1 patent issued to former company name

LG Philips LCD Co KR

Great Recession Yet to Stem Flow

According to IFI’s analysis, the USPTO issued a total of 167,350 utility patents in calendar year 2009, up 6.1% over 2008, and approaching the all-time high of 173,772 set in 2006. It would appear that the economic downturn of the past two years has yet to slow the flow of U.S. patent activity. However, the USPTO posted a 1.8 percent decrease in patent applications for its fiscal year 2009 for a total of 457,966, the first annual decrease in applications since fiscal year 1996. As a result, this decrease could translate into fewer patent issues in the coming two or three years.

Market sectors with the heaviest new patent activity include Multiplex Communications (US class 370) and Semiconductors (US classes 438 and 257), representing almost 15,000 patents total for 2009. The bio sectors of Drug Compositions (US class 514) had 3,474 patents and Biotechnology (US class 435) had over 2,700 patents issued, up 17 percent and 1 percent respectively over the previous year.

IFI compiles its list using the powerful indexing and standardization algorithms of CLAIMS^®, the most reliable, text-searchable database of U.S. patents in the world. The collection of CLAIMS^® databases makes searching for patent data accurate and efficient. CLAIMS^® is available via Dialog, STN International and Questel.

For more than 50 years, IFI has been the preeminent producer of patent databases. Complete information on more than 1,800 companies worldwide that received 10 or more U.S. patents in 2009 will be published in IFI’s Patent Intelligence and Technology Report, available in May. For more information, visit www.ificlaims.com.

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EDITORS: For analysis, factoids, market breakdowns or to set an interview, please contact Tom Kivett at 212-727-2935 or via email at tkivett@kivettandco.com.

About IFI Patent Intelligence

For more than 50 years, IFI Patent Intelligence (Wilmington, DE), part of Wolters Kluwer, has been the preeminent producer of enhanced U.S patent databases. From the most rigorous U.S. assignee name standardization process in the industry, to continual class code updates, and comprehensive indexing for chemical patents — IFI has built a solid reputation in patent databases. For more information, visit www.IFIclaims.com or call 800-331-4955 or 302-633-7200, or contact info@ificlaims.com.

About Wolters Kluwer

Wolters Kluwer is a leading global information services and publishing company. The company provides products and services for professionals in the health, tax, accounting, corporate, financial services, legal, and regulatory sectors. Wolters Kluwer had 2008 annual revenues of €3.4 billion ($4.9 billion), employs approximately 20,000 people worldwide, and maintains operations in over 35 countries across Europe, North America, Asia Pacific, and Latin America. Wolters Kluwer is headquartered in Amsterdam, the Netherlands. Its shares are quoted on Euronext Amsterdam (WKL) and are included in the AEX and Euronext 100 indices. Visit www.wolterskluwer.com for information about our market positions, customers, brands, and organization.