IDEAS home Printed from https://ideas.repec.org/a/spr/epolin/v47y2020i4d10.1007_s40812-020-00159-6.html
   My bibliography  Save this article

The rush for patents in the Fourth Industrial Revolution

Author

Listed:
  • Mario Benassi

    (University of Milan)

  • Elena Grinza

    (Politecnico di Torino)

  • Francesco Rentocchini

    (University of Milan)

Abstract

Our paper provides a novel and in-depth analysis of the technological trends, geographic distribution, and business-level dynamics of the Fourth Industrial Revolution (4IR) in the European Union from patent- and firm-level perspectives. We do so via the analysis of patents filed at the European Patent Office between 1985 and 2014. We employ a new matched patent-firm data set provided by the Bureau Van Dijk: ORBIS-IP. We find evidence of a surge in the patenting activity related to the 4IR in the past three decades, particularly in networked devices. Our results also suggest that firms filing 4IR patents have become progressively younger on average. At the same time, we find a steady growth in the average number of 4IR patent applications filed yearly by each company. Further variance decompositions show that the surge in 4IR patent applications is mainly explained by incumbent firms filing more 4IR patent applications over time, rather than new entrants progressively populating the 4IR world. Finally, we uncover a general trend emerging at the firm level, whereby firms tend to specialise in a few technological areas and avoid differentiation.

Suggested Citation

  • Mario Benassi & Elena Grinza & Francesco Rentocchini, 2020. "The rush for patents in the Fourth Industrial Revolution," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 47(4), pages 559-588, December.
    • Handle: RePEc:spr:epolin:v:47:y:2020:i:4:d:10.1007_s40812-020-00159-6
    DOI: 10.1007/s40812-020-00159-6
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s40812-020-00159-6
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s40812-020-00159-6?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Ajay Agrawal & Joshua Gans & Avi Goldfarb, 2019. "The Economics of Artificial Intelligence: An Agenda," NBER Books, National Bureau of Economic Research, Inc, number agra-1.
    2. Manav Raj & Robert Seamans, 2018. "Artificial Intelligence, Labor, Productivity, and the Need for Firm-Level Data," NBER Chapters, in: The Economics of Artificial Intelligence: An Agenda, pages 553-565, National Bureau of Economic Research, Inc.
    3. Carsten Fink & Mosahid Khan & Hao Zhou, 2016. "Exploring the worldwide patent surge," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 25(2), pages 114-142, March.
    4. Yongxin Liao & Fernando Deschamps & Eduardo de Freitas Rocha Loures & Luiz Felipe Pierin Ramos, 2017. "Past, present and future of Industry 4.0 - a systematic literature review and research agenda proposal," International Journal of Production Research, Taylor & Francis Journals, vol. 55(12), pages 3609-3629, June.
    5. David M. Byrne & John G. Fernald & Marshall B. Reinsdorf, 2016. "Does the United States Have a Productivity Slowdown or a Measurement Problem?," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 47(1 (Spring), pages 109-182.
    6. Erik Brynjolfsson & Tom Mitchell & Daniel Rock, 2018. "What Can Machines Learn, and What Does It Mean for Occupations and the Economy?," AEA Papers and Proceedings, American Economic Association, vol. 108, pages 43-47, May.
    7. Alessandro Muscio & Andrea Ciffolilli, 2020. "What drives the capacity to integrate Industry 4.0 technologies? Evidence from European R&D projects," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 29(2), pages 169-183, February.
    8. Philippe Aghion & Benjamin F. Jones & Charles I. Jones, 2018. "Artificial Intelligence and Economic Growth," NBER Chapters, in: The Economics of Artificial Intelligence: An Agenda, pages 237-282, National Bureau of Economic Research, Inc.
    9. Jinyoung Kim & Gerald Marschke, 2004. "Accounting for the recent surge in U.S. patenting: changes in R&D expenditures, patent yields, and the high tech sector," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 13(6), pages 543-558.
    10. Jason Furman & Robert Seamans, 2019. "AI and the Economy," Innovation Policy and the Economy, University of Chicago Press, vol. 19(1), pages 161-191.
    11. Edward W. Felten & Manav Raj & Robert Seamans, 2018. "A Method to Link Advances in Artificial Intelligence to Occupational Abilities," AEA Papers and Proceedings, American Economic Association, vol. 108, pages 54-57, May.
    12. Joshua Lerner, 1994. "The Importance of Patent Scope: An Empirical Analysis," RAND Journal of Economics, The RAND Corporation, vol. 25(2), pages 319-333, Summer.
    13. Agrawal, Ajay & Gans, Joshua & Goldfarb, Avi (ed.), 2019. "The Economics of Artificial Intelligence," National Bureau of Economic Research Books, University of Chicago Press, number 9780226613338, August.
    14. Iain M. Cockburn & Rebecca Henderson & Scott Stern, 2018. "The Impact of Artificial Intelligence on Innovation," NBER Working Papers 24449, National Bureau of Economic Research, Inc.
    15. Robert Seamans & Manav Raj, 2018. "AI, Labor, Productivity and the Need for Firm-Level Data," NBER Working Papers 24239, National Bureau of Economic Research, Inc.
    16. Jia Zheng & Zhiyun Zhao & Xu Zhang & Mu-hsuan Huang & Dar-zen Chen, 2014. "Influences of counting methods on country rankings: a perspective from patent analysis," Scientometrics, Springer;Akadémiai Kiadó, vol. 98(3), pages 2087-2102, March.
    17. Iain M. Cockburn & Rebecca Henderson & Scott Stern, 2018. "The Impact of Artificial Intelligence on Innovation: An Exploratory Analysis," NBER Chapters, in: The Economics of Artificial Intelligence: An Agenda, pages 115-146, National Bureau of Economic Research, Inc.
    18. Michael Webb & Nick Short & Nicholas Bloom & Josh Lerner, 2018. "Some Facts of High-Tech Patenting," NBER Working Papers 24793, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mario Benassi & Elena Grinza & Francesco Rentocchini & Laura Rondi, 2022. "Patenting in 4IR technologies and firm performance [Robots and jobs: evidence from US labor markets]," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 31(1), pages 112-136.
    2. Armin Mertens & Marc Scheufen, 2024. "Intellectual property and fourth industrial revolution technologies: how the patent system is shaping the future in the data-driven economy," European Journal of Law and Economics, Springer, vol. 57(1), pages 275-310, April.
    3. Mario Benassi & Elena Grinza & Francesco Rentocchini & Laura Rondi, 2020. "Going Revolutionary: The Impact of 4IR Technology Development on Firm Performance," SPRU Working Paper Series 2020-08, SPRU - Science Policy Research Unit, University of Sussex Business School.
    4. Igna, Ioana & Venturini, Francesco, 2023. "The determinants of AI innovation across European firms," Research Policy, Elsevier, vol. 52(2).
    5. Corvello, Vincenzo & Belas, Jaroslav & Giglio, Carlo & Iazzolino, Gianpaolo & Troise, Ciro, 2023. "The impact of business owners’ individual characteristics on patenting in the context of digital innovation," Journal of Business Research, Elsevier, vol. 155(PA).
    6. Silvia Massini & Mabel Sanchez Barrioluengo & Xiaoxiao Yu & Reza Salehnejad, 2024. "Digital transformation in firms: determinants of technology adoption and implications for performance," MIOIR Working Paper Series 2024-01, The Manchester Institute of Innovation Research (MIoIR), The University of Manchester.
    7. Christoph March & Ina Schieferdecker, 2021. "Technological Sovereignty as Ability, Not Autarky," CESifo Working Paper Series 9139, CESifo.
    8. Stan Metcalfe, 2024. "Joseph Schumpeter, Alfred Marshall and the nature of restless capitalism," MIOIR Working Paper Series 2024-02, The Manchester Institute of Innovation Research (MIoIR), The University of Manchester.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Manav Raj & Robert Seamans, 2019. "Primer on artificial intelligence and robotics," Journal of Organization Design, Springer;Organizational Design Community, vol. 8(1), pages 1-14, December.
    2. Mario Benassi & Elena Grinza & Francesco Rentocchini & Laura Rondi, 2020. "Going Revolutionary: The Impact of 4IR Technology Development on Firm Performance," SEEDS Working Papers 0720, SEEDS, Sustainability Environmental Economics and Dynamics Studies, revised Jul 2020.
    3. Alexander V. Giczy & Nicholas A. Pairolero & Andrew A. Toole, 2022. "Identifying artificial intelligence (AI) invention: a novel AI patent dataset," The Journal of Technology Transfer, Springer, vol. 47(2), pages 476-505, April.
    4. Moshe A. Barach & Aseem Kaul & Ming D. Leung & Sibo Lu, 2019. "Strategic Redundancy in the Use of Big Data: Evidence from a Two-Sided Labor Market," Strategy Science, INFORMS, vol. 4(4), pages 298-322, December.
    5. Venturini, Francesco, 2022. "Intelligent technologies and productivity spillovers: Evidence from the Fourth Industrial Revolution," Journal of Economic Behavior & Organization, Elsevier, vol. 194(C), pages 220-243.
    6. Mario Benassi & Elena Grinza & Francesco Rentocchini & Laura Rondi, 2022. "Patenting in 4IR technologies and firm performance [Robots and jobs: evidence from US labor markets]," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 31(1), pages 112-136.
    7. Ed Felten & Manav Raj & Robert Seamans, 2023. "How will Language Modelers like ChatGPT Affect Occupations and Industries?," Papers 2303.01157, arXiv.org, revised Mar 2023.
    8. Kopka, Alexander & Grashof, Nils, 2022. "Artificial intelligence: Catalyst or barrier on the path to sustainability?," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    9. Ajay Agrawal & Joshua Gans & Avi Goldfarb, 2019. "Economic Policy for Artificial Intelligence," Innovation Policy and the Economy, University of Chicago Press, vol. 19(1), pages 139-159.
    10. Fossen, Frank M. & Sorgner, Alina, 2021. "Digitalization of work and entry into entrepreneurship," Journal of Business Research, Elsevier, vol. 125(C), pages 548-563.
    11. Bernardo S Buarque & Ronald B Davies & Ryan M Hynes & Dieter F Kogler, 2020. "OK Computer: the creation and integration of AI in Europe," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 13(1), pages 175-192.
    12. Fossen, Frank M. & Sorgner, Alina, 2019. "New Digital Technologies and Heterogeneous Employment and Wage Dynamics in the United States: Evidence from Individual-Level Data," IZA Discussion Papers 12242, Institute of Labor Economics (IZA).
    13. Dominic Chalmers & Niall G. MacKenzie & Sara Carter, 2021. "Artificial Intelligence and Entrepreneurship: Implications for Venture Creation in the Fourth Industrial Revolution," Entrepreneurship Theory and Practice, , vol. 45(5), pages 1028-1053, September.
    14. Fossen, Frank M. & Sorgner, Alina, 2022. "New digital technologies and heterogeneous wage and employment dynamics in the United States: Evidence from individual-level data," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    15. Genz, Sabrina & Schnabel, Claus, 2021. "Digging into the Digital Divide: Workers' Exposure to Digitalization and Its Consequences for Individual Employment," IZA Discussion Papers 14649, Institute of Labor Economics (IZA).
    16. Cathles, Alison & Nayyar, Gaurav & Rückert, Désirée, 2020. "Digital technologies and firm performance: Evidence from Europe," EIB Working Papers 2020/06, European Investment Bank (EIB).
    17. Teruel Carrizosa, Mercedes & Coad, Alexander & Domnick, Clemens & Flachenecker, Florian & Harasztosi, Péter & Janiri, Mario Lorenzo & Pál, Rozália, 2021. "The birth of new high growth enterprises: Internationalisation through new digital technologies," EIB Working Papers 2021/02, European Investment Bank (EIB).
    18. Babina, Tania & Fedyk, Anastassia & He, Alex & Hodson, James, 2024. "Artificial intelligence, firm growth, and product innovation," Journal of Financial Economics, Elsevier, vol. 151(C).
    19. Andrea Borsato & André Lorentz, 2023. "Data production and the coevolving AI trajectories: an attempted evolutionary model," Journal of Evolutionary Economics, Springer, vol. 33(5), pages 1427-1472, November.
    20. Alexander Kopka & Dirk Fornahl, 2024. "Artificial intelligence and firm growth — catch-up processes of SMEs through integrating AI into their knowledge bases," Small Business Economics, Springer, vol. 62(1), pages 63-85, January.

    More about this item

    Keywords

    Fourth Industrial Revolution; Industry 4.0; Matched patent-firm data; Patent applications; EPO;
    All these keywords.

    JEL classification:

    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:epolin:v:47:y:2020:i:4:d:10.1007_s40812-020-00159-6. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.