European Patent Trends: Has the UPC System Been a Success? 

• Geographical origin, size, and type 

The data published by the European Patent Office (EPO) reveals Europe (EU, CH, UK, and other EPO states) to be the main source (64.3%) of unitary patent filings in the first 12 months, followed by the US (16.1%), China (6%), Japan (3.9%), and Korea (3.3%).  

In terms of the size and type of organizations using this filing route, it’s predominantly large enterprises (56.9%), followed by small to medium-sized enterprises (SMEs), start-ups, and individual inventors (35.5%), and universities and public research organizations (7.6%). 

Moving to the opt-out trends observed in the 12 months since the system launched in June 2024, we can see that most assignees have trusted the new jurisdiction to oversee their European patent rights. 

Almost 600,000 published European patents and patent applications were opted out in the first year, which is equivalent to around 35% of live EPs—a similar percentage to that observed at the end of the sunrise period—with 65% of live EP rights technically part of the UPC’s jurisdiction at this time. 

If we look more closely at the opted-out patents, we can observe that assignees tend to opt patents out when they have been granted (and they know the final scope) and when patents have been or are challenged, i.e., they carry a higher risk of litigation. 

Of the live EPs opted out:

• 45% were opted out when granted (versus 17% when pending);
• 54% of those opted out have an opposition history.

This data was gathered using queries that we developed for our Orbit Intelligence patent data search and analysis platform, which also revealed some other interesting trends:

• Age range

The opted-out patents are neither very old nor very young, with most granted patents between 5 and 15 years old.

• Industry field

Most (60%) opted-out patents are in the chemistry, pharma, and biotech field.

• Geographical location 

Telecommunications and digital communications are two of the industries with the least involvement currently in the UPC system (by number of unitary patent and opt-out filings), which is also reflected in the analysis when we look at the location of the assignees. As can be seen from the graphic below, Asian countries appear in the same space, with Japanese, Korean, and Chinese players particularly active in these industries. 

Examining the data from the first 12 months of the UPC system, we can also observe some interesting trends in litigation before the Unified Patent Courts.  

• A concentration of infringement cases  

The first obvious trend is the concentration of infringement cases, as well as the speed with which these were brought. There were around 100 cases brought before the UPC in its first year of operation and more than 60% were infringement actions:

The dynamics of the different actions are equally interesting, with the first cases brought effectively on the first day of the new UPC system, meaning that patentees were not only ready and willing to use the new tool but also actively preparing to do so. 

The data is not shown in the above chart, but it’s worth noting that the first decisions were also issued in the very first months, meaning that this new jurisdiction is working at a fast pace. As more decisions are issued, more trends will emerge.

• A battleground for European companies—and international conflicts

If we examine the geographical location of the parties bringing cases before the UPC, we can see that this route is used mainly by European companies against other European companies. 

However, the tool is also being used by European companies against non-EU competitors and as a battlefield for conflicts over patents that are already the subject of litigation elsewhere. 

• MedTech, pharma, and telecoms are leading the pack  

The fields of MedTech, biotech/pharma, telecommunications, and electronics are particularly well represented in litigation before the UPC.  

Digging further into the data, we can see that most plaintiffs are from industry (corporations of varying sizes), with non-practicing entities (NPEs) now starting to enter the frame. 

But, what about the patents themselves—can we see any trends in the EPs at the heart of the disputes?  

• Average age of disputed patents

If we look at the age of disputed patents, we can see that the average is 6+ years old, which corresponds roughly to the average examination period in Europe. 

The patents used for infringement actions are of all ages, while those under revocation/invalidity actions are a little younger. In technology fields used to litigation, we can observe that the litigated families are not chosen at random, but rather from solid families built for litigation. In other words, players use their stronger patents when litigating before the UPC. 

While there has been significant adoption of the new UPC system, there is not yet a convergence in strategy in terms of technological field or approach, with more trends likely to emerge in the coming years. What we can say with certainty, however, is that the UPC and unitary patent system provide European patent holders with access to a new and robust tool. Its ability to handle the volume of opt-outs and litigation cases efficiently has added to trust in the system. 

We will continue monitoring filing and litigation data over the next six to 12 months to see how the trends we have observed continue to evolve. 

To find out more about the filing, opt-out, and litigation trends observed in the first 12 months of the UPC and unitary patent system, watch our webinar ‘Happy 1st Birthday Unitary Patent and Unified Patent Court’ or contact our European patent subject matter experts for dedicated support.