Connect with us

Technology

Mapped: The Most Innovative Countries in the World in 2022

Published

on

Most Innovative Countries 2022

Can I share this graphic?
Yes. Visualizations are free to share and post in their original form across the web—even for publishers. Please link back to this page and attribute Visual Capitalist.
When do I need a license?
Licenses are required for some commercial uses, translations, or layout modifications. You can even whitelabel our visualizations. Explore your options.
Interested in this piece?
Click here to license this visualization.

The Most Innovative Countries in the World 2022

Since 2000, global investment in research and development (R&D) has tripled to $2.4 trillion.

R&D spend is also casting a wider global net. In 1960, the U.S. made up nearly 70% of global R&D spending, and by 2020 this had fallen to 30%. From job creation and public health to national security and industrial competitiveness, R&D plays a vital role in a country’s economic growth and innovation, impacting nearly every corner of society—either directly or indirectly.

Along with R&D spend, other key ingredients play an important role in driving progress and innovation. These include technological adoption, scientific research, and venture capital activity, among others.

The above infographic ranks the world’s most innovative economies using data from the UN’s WIPO Global Innovation Index.

What Defines an Innovative Economy?

Innovation is inherently challenging to quantify, but the Global Innovation Index is a longstanding attempt to do just that.

The framework used for the index was designed to create a more complete analysis, comprising of 81 indicators across seven categories to calculate a country’s score:

7 CategoriesExample Indicators
🧳 Business SophisticationBusiness R&D spend, net inflows of foreign direct investment
📈 Market SophisticationSize of economy’s GDP, intensity of local market competition
🛣️ InfrastructureRoad, hospital, school construction, energy efficiency
👩‍🏫 Human Capital & ResearchGovernment funding per pupil, quality of scientific and research institutions
🏛️ InstitutionsPolitical stability and safety, ease of starting a business
💡 Creative OutputsMost valuable brands, industrial design applications, trademark applications
👨‍💻 Knowledge and Technology OutputsPatent applications, increase in labor productivity, spending on software

As the above table shows, the framework aims to identify indicators that foster an innovative environment and breakthrough technologies.

It’s worth noting that each country’s overall innovation score is a mix of these categories, and countries with similar scores can be strong in different areas.

The 50 Most Innovative Countries in 2022

Switzerland ranks at the top⁠ for the 12th year in a row—above the U.S., South Korea, and Israel.

For many, this may come as a surprise. However, the country’s intellectual property rules are considered world-class, and they are complemented by strong collaboration between universities and industry. In addition, the country attracts top talent thanks to its high quality of living.

At second is the United States, which is a top spender on R&D at over $700 billion per year. Globally, four of the five top R&D spending companies are in America: Amazon ($42.7 billion), Alphabet ($27.6 billion), Microsoft ($19.3 billion), and Apple ($18.8 billion).

RankCountry / RegionScore
1🇨🇭 Switzerland64.6
2🇺🇲 U.S. 61.8
3🇸🇪 Sweden61.6
4🇬🇧 United Kingdom59.7
5🇳🇱 Netherlands58.0
6🇰🇷 South Korea57.8
7🇸🇬 Singapore57.3
8🇩🇪 Germany57.2
9🇫🇮 Finland56.9
10🇩🇰 Denmark55.9
11🇨🇳 China55.3
12🇫🇷 France55.0
13🇯🇵 Japan53.6
14🇭🇰 Hong Kong51.8
15🇨🇦 Canada50.8
16🇮🇱 Israel50.2
17🇦🇹 Austria50.2
18🇪🇪 Estonia50.2
19🇱🇺 Luxembourg49.8
20🇮🇸 Iceland49.5
21🇲🇹 Malta49.1
22🇳🇴 Norway48.8
23🇮🇪 Ireland48.5
24🇳🇿 New Zealand47.2
25🇦🇺 Australia47.1
26🇧🇪 Belgium46.9
27🇨🇾 Cyprus46.2
28🇮🇹 Italy46.1
29🇪🇸 Spain44.6
30🇨🇿 Czech Republic42.8
31🇦🇪 United Arab Emirates42.1
32🇵🇹 Portugal42.1
33🇸🇮 Slovenia40.6
34🇭🇺 Hungary39.8
35🇧🇬 Bulgaria39.5
36🇲🇾 Malaysia38.7
37🇹🇷 Turkey38.1
38🇵🇱 Poland37.5
39🇱🇹 Lithuania37.4
40🇮🇳 India36.6
41🇱🇻 Latvia36.5
42🇭🇷 Croatia35.6
43🇹🇭 Thailand34.9
44🇬🇷 Greece34.5
45🇲🇺 Mauritius34.4
46🇸🇰 Slovakia34.3
47🇷🇺 Russia34.3
48🇻🇳 Vietnam34.3
49🇷🇴 Romania34.1
50🇨🇱 Chile34.0

Countries across Europe also feature prominently in the top 10, including Sweden (#3), the United Kingdom (#4) and the Netherlands (#5).

South Korea (#6), is known for its high R&D intensity. This is driven by its industrial conglomerates, known as chaebols, that are generally family-owned. Samsung and LG are among its largest companies, known for their high degree of corporate-academic collaboration.

Below, we will take a closer look at the most innovative countries by region.

North America

In North America, the U.S. ranks highest. The country has long been known as a global leader in innovation, with a strong track record of introducing new ideas and technologies that have transformed the way we live and work. The U.S. ranks #1 in a number of indicators, including university-industry R&D collaboration and intangible asset intensity.

Ranking second in the region is Canada (Global rank: #15). Across all countries, it ranks first on measures of joint venture and strategic alliances per billion dollars of GDP (PPP) and number of venture capital (VC) recipients per billion dollars of GDP (PPP). In 2021, VC investment topped $14.7 billion across 752 deals.

Most Innovative Countries in North America

Another interesting example is Honduras (#113). Driving innovation in the country is a new economic zoning experiment called Zones for Economic Development and Employment (ZEDEs).

To date, these zones have attracted about a quarter of a billion dollars in private investment funding and have created thousands of new jobs.

South America

Chile (#50) ranks first across the region, thanks to its promising tech sector. To date, it is home to an estimated 8,000 tech companies. The country also has the highest scale of mobile connectivity in the region. In late 2021, it launched the first 5G network in South America.

Most Innovative Countries South America

Following Chile is Brazil (#54), which saw a record number of IPOs in 2021 that were valued at nearly $7 billion.

Middle East and Central Asia

As the highest ranked in the region, Israel (#16) is the sole country globally that spends over 5% of GDP on R&D. Overall, it is a global leader in patent applications and information and communication technology (ICT) services exports.

For context, the country’s density of start-ups per capita is 16 times that of Europe.

Most Innovative Countries in Middle East and Central Asia

The small island nation of Cyprus (#27) follows in second, supported by government funding focused on start-ups. Meanwhile, Turkey (#37) in fourth, is home to six unicorns*, fostered by its development of a megatech corridor through Istanbul to Izmir.

*A unicorn is a privately-held startup that has a valuation of over $1 billion.

Europe

With 15 of the top 25 economies in the world, Europe is a powerhouse for fostering innovative ecosystems.

The continent is also a leader in social progress, equality, and life satisfaction. The region scores 30 on inequality according to the Gini Index compared to 41 for America.

Most Innovative Countries in Europe
For many, technological output isn’t the first thing that comes to mind when they think of Europe, but VC deals surged over 53% in 2021. London, Berlin, and Paris were leading cities for VC activity.

East Asia and Oceania

South Korea (#6) ranks highest across East Asia and Oceania, and has established itself as a leader in technology and innovation on the global stage. Through its New Deal initiative, the government is spearheading projects on smart healthcare, AI, and smart industrial complexes. At the same time, it is accelerating the construction of eco-friendly infrastructure and renewable energy.

South Korea’s Hyundai and its subsidiary Kia have made considerable ground in electric vehicle (EV) production, comprising 9% of the U.S. EV market, the second-highest share after Tesla.

Most Innovative Countries in East Asia

China sits just outside the global top 10, and now ranks #1 in multiple indicators, including labor productivity growth and trademarks by origin. China’s economic output per employed worker increased an impressive 4.2% annually from 2011 to 2019, on average.

Africa

The highest ranked in Africa is the island nation of Mauritius (#45).

Underscoring its rank is the strength of its institutions and market sophistication. Meanwhile, the government is accelerating investment in tech incubators, research-business collaboration, and tax incentives for R&D investment.

Most Innovative Countries in Africa

South Africa (#61) follows Mauritius on the list, with the city of Cape Town attracting a proposed $300 million Amazon headquarters.

Panasonic opened their headquarters in Cape Town in 2018. Oracle, IBM, Google, and Microsoft also have offices in the country’s expanding tech hub.

Click for Comments

Technology

Ranked: The Top Startup Cities Around the World

Here are the global startup ecosystem rankings, highlighting the scale and maturity of major tech hubs worldwide.

Published

on

This bar chart shows the top startup ecosystems in the world in 2024.

The Top Startup Cities Around the World

This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.

A richly connected network of founders, venture capital firms, and tech talent are some of the key ingredients driving a startup ecosystem.

As engines of growth, these tech clusters are evolving on a global scale. While the world’s leading startup cities are concentrated in America, several ecosystems, such as Beijing and Seoul, are growing in prominence as countries focus on technological advancement to spur innovation.

This graphic shows the best startup cities worldwide, based on data from Pitchbook.

The Global Startup Ecosystem Rankings

To determine the rankings, each city was analyzed based on the scale and maturity of their startup ecosystem over a six-year period ending in the second quarter of 2023.

Among the inputs analyzed and used to calculate the overall development score were fundraising activity, venture capital deals, and exit value:

RankCityDevelopment ScoreCapital RaisedDeal CountExit Value
1🇺🇸 San Francisco90$427.6B19,898$766.3B
2🇺🇸 New York76$179.9B13,594$171.7B
3🇨🇳 Beijing76$161.2B8,835$279.2B
4🇨🇳 Shanghai73$130.3B7,422$186.8B
5🇺🇸 Los Angeles71$144.6B9,781$181.4B
6🇺🇸 Boston70$117.0B6,044$172.8B
7🇬🇧 London64$99.0B11,533$71.9B
8🇨🇳 Shenzhen63$46.4B5,020$66.3B
9🇰🇷 Seoul61$31.1B6,196$71.0B
10🇯🇵 Tokyo60$26.2B5,590$28.0B
11🇨🇳 Hangzhou59$50.7B3,361$88.7B
12🇺🇸 Washington D.C.55$43.7B2,706$28.2B
13🇺🇸 Seattle54$31.7B2,693$35.6B
14🇸🇬 Singapore52$45.7B4,507$38.0B
15🇺🇸 San Diego52$33.5B2,023$44.7B
16🇺🇸 Austin52$26.4B2,636$22.9B
17🇨🇳 Guangzhou52$24.7B1,700$24.0B
18🇮🇱 Tel Aviv51$21.0B1,936$32.2B
19🇺🇸 Denver51$26.8B2,489$29.9B
20🇩🇪 Berlin50$31.2B2,469$15.9B

San Francisco dominates the pack, with $427.6 billion in capital raised over the six-year period.

Despite a challenging funding environment, nearly 20,000 deals closed, highlighting its outsized role in launching tech startups. Both OpenAI and rival Anthropic are headquartered in the city, thanks to its broad pool of tech talent and venture capital firms. Overall, 11,812 startups were based in the San Francisco Bay Area in 2023, equal to about 20% of startups in America.

Falling next in line is New York City, which raised $179.9 billion over the same time period. Crypto firm Gemini and machine learning company, Hugging Face, are two examples of startups based in the city.

As the top-ranking hub outside of America, Beijing is home to TikTok’s parent company, ByteDance, which is one of the most valuable private companies in the world.

In recent years, much of the startup funding in China is being driven by government-backed funds. In particular, these funds are focusing heavily on “hard tech” such as semiconductor-makers and electric vehicle companies that align with the government’s strategic long-term goals.

Another leading tech hub, Singapore, has the highest venture capital funding per capita worldwide. In 2023, this was equal to an impressive $1,060 in venture funding per person. By comparison, venture funding was $345 per person in the U.S., the second-highest globally.

Continue Reading
Visualizing Asia's Water Dilemma

Subscribe

Popular