How to Use Patent Data to Identify Emerging Competitors

3. Key Indicators to Watch

Here are the most critical indicators to identify emerging competitors through patent landscape analysis: 

1. Sudden Spikes in Patent Filings

A sudden increase in patent filings by a company or in a specific technology area can signal a new player entering the market or an existing player pivoting to a new domain. 

• Example: In 2016, Chinese company DJI, a leader in drone technology, filed a surge of patents related to camera stabilization and flight control systems. This signaled their move into the consumer electronics market, where they later dominated. 

2. New Geographic Markets

Companies often file patents in countries where they plan to expand. Monitoring patent filings in new jurisdictions can reveal competitors entering your market. 

• Example: Tesla’s patent filings in China increased significantly in 2019, foreshadowing their Gigafactory in Shanghai and their aggressive expansion into the Chinese EV market. 

3. Focus on Emerging Technologies

Patent filings in cutting-edge technologies (e.g., AI, quantum computing, or green energy) can indicate where the next wave of competition will come from. 

• Example: In 2020, Hyundai filed a wave of patents related to hydrogen fuel cell technology, signaling their shift from traditional automotive manufacturing to clean energy solutions. 

4. Collaboration Patterns

Joint patent filings or collaborations between companies can reveal new alliances or partnerships that may disrupt your industry. 

• Example: In 2021, Microsoft and OpenAI filed several joint patents related to AI language models, hinting at their collaboration on ChatGPT and other AI-driven products. 

5. Patent Citations

High citation counts for a company’s patents indicate influential technology that could disrupt the market. 

• Example: Google’s early patents in search algorithms were highly cited, foreshadowing their dominance in the search engine market.