The China National Intellectual Property Administration (CNIPA) has released its latest report on patent trends within the core industries of the global digital economy. The comprehensive report highlights the evolution of invention patent grants, their validity, and international comparisons across major economies in 2023, with a special focus on China’s expanding role in the global digital economy.
Core Industries of the Digital Economy
The digital economy is comprised of four major sectors:
- Digital Product Manufacturing – The production of hardware and technology products essential for digital services and operations.
- Digital Product Services – Includes platforms, software, and services that support digital infrastructure.
- Digital Technology Applications – The integration and use of digital technologies across various industries.
- Digital Element-Driven Industries – Innovations such as AI, big data, and other digital elements that power technological advancements.
Global Patent Growth in the Digital Economy
In 2023, the global number of invention patents granted in the core industries of the digital economy surged to 888,000, reflecting an impressive 11.7% year-on-year growth. These industries now account for 44.4% of the total global invention patents, a notable increase from 38.6% in 2016. By the end of 2023, there were 6.524 million valid invention patents globally in the digital economy.
China’s Patent Landscape in the Digital Economy
China continues to solidify its position as a global leader in digital economy innovation. In 2023, China granted 406,000 invention patents in its digital economy core industries—a 21.2% increase from 2022. This growth significantly outpaces the global average and reflects China’s expanding capacity for innovation, with the digital economy’s share of total invention patents growing from 30.6% in 2016 to 44.1% in 2023.
The report also reveals that China had 1.953 million valid invention patents in its digital economy by the end of 2023, representing 39.1% of all valid invention patents in the country. Of these, 1.602 million were held by domestic entities, underscoring the strong role of Chinese enterprises in driving digital innovation.
Foreign Patent Holders in China’s Digital Economy
China’s digital economy continues to attract global interest, with foreign companies actively filing patents within the country. By the end of 2023, 93 countries and regions held 351,000 valid invention patents in China’s digital economy, accounting for 39.1% of all valid foreign patents in the country. Leading the pack were Japan (115,000 patents), the United States (101,000 patents), and South Korea (43,000 patents), followed by Germany and other European nations.
Key Insights from the CNIPA Report
Global Leadership in Digital Patent Growth
The CNIPA report shows that China leads global patent activity in the digital economy, with 406,000 invention patents granted in 2023. This figure exceeds the 181,000 patents granted by the United States Patent and Trademark Office (USPTO) and the 91,000 granted by the Japan Patent Office (JPO). Together, the world’s five major IP offices (CNIPA, USPTO, JPO, Korean Intellectual Property Office, and European Patent Office) accounted for 88.4% of the world’s digital economy patents in 2023.
Focus on Digital Product Manufacturing
Digital product manufacturing is the most active sector in the digital economy’s patent landscape. It accounted for 454,000 invention patents granted globally in 2023, representing 51.2% of total patents in the sector. Digital element-driven industries, such as AI and big data, are gaining traction and account for 29.1% of granted patents, making them a global innovation hotspot.
China’s Rise in Overseas Patent Activity
China’s overseas patent filings in the digital economy core industries have grown rapidly. In 2023, Chinese entities were granted 48,000 overseas patents, up from 21,000 in 2016. China now ranks third globally in the number of three-party patents—those granted by the United States, Europe, and Japan—having risen from 6th place in 2016.
Foreign Companies Expanding Patent Portfolios in China
Foreign companies are increasingly focusing on digital technology patent deployment in China. In 2023, 22 foreign companies were among the top 100 patent holders in the country’s digital economy, demonstrating the importance of the Chinese market for global innovators.
The CNIPA’s 2023 report underscores the rapid growth and dynamic nature of the digital economy, with China at the forefront of patent activity in key industries. As digital product manufacturing and element-driven sectors continue to expand, innovation in digital technologies is driving significant patent activity both domestically and internationally. China’s strong patent performance, along with its increasing overseas patent presence, highlights its growing influence in the global digital economy. The trends outlined in the report are a testament to the importance of intellectual property in powering the future of global digital innovation.
