Importance of IP

04 Apr Importance of IP

Innovation—the process, through which new inventions are generated and successfully introduced in the marketplace—is a primary driver of U.S. economic growth and national competitiveness. Intellectual property is used everywhere in the economy, and IP rights support innovation and creativity in virtually every U.S. industry. A recent Department of Commerce report titled “Intellectual Property and the U.S. Economy: Industries in Focus” http://www.esa.doc.gov/Reports/intellectual-property-and-us-economy-industries-focus found that IP-intensive industries support at least 40 million jobs and contribute more than $5 trillion dollars to, or 35 percent of, U.S. gross domestic product (GDP). As stated by the Commerce Department’s Acting Secretary Blank, “Strong intellectual property protections encourage our businesses to pursue the next great idea, which is vital to maintaining America’s competitive edge and driving our overall prosperity.”

Without IP protection, the inventor who had invested time and money in developing the new product or service (sunk costs) would always be at a disadvantage to the new firm that could just copy and market the product without having to recoup any sunk costs or pay the higher salaries required by those with the creative talents and skills. As a result, the benefits associated with American ingenuity would tend to more easily flow outside of the United States.

Cardinal is the leading intellectual property services provider in the United States providing strategic IP support and protecting the interests of the American entrepreneur. Over the past decade, Cardinal has provided IP services to literally thousands of clients across the country. For many, we have become an indispensable partner, providing IP services of unmatched quality.