𝗥𝗲𝘁𝗵𝗶𝗻𝗸𝗶𝗻𝗴 𝘁𝗵𝗲 𝗥𝗼𝗹𝗲 𝗼𝗳 𝗣𝗮𝘁𝗲𝗻𝘁 𝗖𝗼𝘂𝗻𝘁𝘀 𝗶𝗻 𝗩𝗮𝗹𝘂𝗮𝘁𝗶𝗼𝗻

Arizona State University’s top-10 global ranking for U.S. patents granted in 2024 has drawn attention to the institution’s commitment to innovation. But what does this ranking really mean? A closer look reveals that simply counting the number of patents may not reflect their true value or impact—raising an important point for universities and businesses alike.

The reality is that a patent’s number alone is not a measure of its worth. Each new patent represents a cost: research and development expenditures, legal fees, maintenance charges, and administrative overhead. These are necessary investments, but without clear avenues to commercialization or market relevance, they remain just that—costs. Without meaningful downstream value generation, such as licensing revenue, product innovation, or industry partnerships, patent counts can become a misleading metric.

This is not to say that patent activity is unimportant. Rather, the focus should shift from the volume of patents to their strategic quality. Institutions need to ask, “What value does each patent bring?” rather than “How many patents do we have?” A smaller portfolio of highly valuable patents—those that address pressing market needs, attract licensing deals, or form the foundation of groundbreaking products—can ultimately generate more economic impact than a large collection of unexploited intellectual property.

Analyzing the top ten institutions on the National Academy of Inventors’ annual Top 100 Worldwide Universities list reveals a notable discrepancy in patent value among U.S. universities. For instance, while King Faisal University ranks first, it exhibits a relatively low total value of U.S. patents and the lowest average patent value. In contrast, MIT’s patents significantly outpace the others in value, and the University of Texas holds the most valuable assets in its portfolio. This suggests that the emphasis should move away from purely quantitative metrics and focus more on the actual value these patents generate. Ultimately, when it comes to patents, it’s the value that truly matters—not just the cost of filing them.