3 of the 10 Corporations with the Most Patent Applications are from Germany – German Citizens Rich in Terms of Innovation, but Only Enjoy Average Material Wealth
Q2 2021 hedge fund letters, conferences and more
- 3 of the 10 companies with the most applications for industrial property rights (2020) at the European Patent Office are from Germany
- In the ranking of patent applications by country of origin, Germany comes in second place, behind the USA
- Most patents filed in the fields of digital communication and medical technology
- Germany only ranks 8th in Europe in terms of purchasing power per inhabitant
- Singles without children in Germany: share of tax and social security contributions in total labour costs for average earner 49%, OECD average 24.4%
The Companies With The Most Patent Applications
3 of the 10 corporations with the most applications for industrial property rights at the European Patent Office are from Germany (2020). While German industry shines for its innovative strength, its citizens benefit only from this prosperity, as shown in a new infographic by Block-Builders.net.
Samsung Electronics Co Ltd (KRX:005930) filed the most patent applications last year. Huawei is in second place, followed by LG. Meanwhile, three German companies are also in the top 10 - Siemens, Robert Bosch and BASF. In a ranking of patent applications by country of origin, Germany ranks second at the European Patent Office, behind the United States of America.
However, if we go beyond the number of patent applications and instead look at German citizens' assessments, then it is other companies that are at the forefront of innovation. Germans consider Too Good To Go to be particularly innovative, followed by Tesla Inc (NASDAQ:TSLA), Veganz, Beyond Meat Inc (NASDAQ:BYND) and Paypal Holdings Inc (NASDAQ:PYPL).
Meanwhile, Germany ranks much lower in terms of purchasing power per inhabitant. The Federal Republic only comes in 8th place in Europe, with great disparities within the country. Purchasing power is highest in Bavaria at €25,770 per inhabitant, whereas Mecklenburg-Western Pomerania is at the other end of the scale at €20,387.
Despite being home to a large number of innovative global corporations and a high density of medium-sized companies, the Germans are not among the frontrunners when it comes to wealth. One reason for this could be a relatively high tax burden. Single people without children in particular are asked to pay a disproportionately high amount of taxes in Germany: the share of tax and social security contributions in the total labour costs for average earners is 49%, while the OECD average is only 24.4%.
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