Patent Challenges Hit Historic Low: What the Decline in IPR Petitions Means for Your Business

New data from the first quarter of 2026 reveals a striking shift in the patent landscape: inter partes review (IPR) petitions filed before the Patent Trial and Appeal Board (PTAB) have dropped more than 60 percent year over year, hitting a historic low of just 131 petitions. For business owners who hold patents or are investing in patent protection, this is one of the most significant developments in years. The decline signals a fundamental change in how aggressively competitors can challenge issued patents, and it has real implications for anyone relying on patents to protect their products, processes, or market position.

What Is Inter Partes Review and Why Does It Matter?

Inter partes review is a process created by the America Invents Act of 2011 that allows anyone to petition the PTAB to reconsider the validity of an issued patent based on prior art. Since its inception, IPR has been a powerful tool for companies accused of patent infringement to challenge the patents asserted against them. At its peak, the PTAB was receiving hundreds of petitions per quarter, and many patent owners found their hard-won patents invalidated through this administrative process. Critics argued that the system had made it too easy to destabilize patent rights, particularly for smaller companies and individual inventors who lacked the resources to defend repeated challenges.

Why the Numbers Are Falling

The decline is driven largely by policy changes at the USPTO under Director John Squires. Over the past year, the agency has expanded the grounds on which the PTAB can exercise discretionary denial, meaning it can refuse to institute a review even if the petition meets the technical requirements. A March 2026 memo introduced a new factor that considers whether the accused products are manufactured in the United States and whether the patent owner's own products are domestically made. The agency has also proposed a sweeping "one and done" rule that would prevent a patent from being subjected to a second IPR if it has already survived a validity challenge in any prior proceeding, whether at the PTAB, in district court litigation, or before the International Trade Commission. These changes have made it significantly harder for petitioners to get their challenges heard, and many are choosing not to file at all.

Key Takeaway for Business Owners

For patent holders, the practical impact of these changes is substantial. Patents that make it through prosecution and issuance are becoming more durable and harder for competitors to take down through administrative challenges. This is particularly important for small and mid-size businesses that invest significant time and money in developing and patenting their innovations. A patent that can withstand post-issuance scrutiny is a more valuable asset in licensing negotiations, in enforcement actions against infringers, and as part of a company's overall valuation. If you have been on the fence about pursuing patent protection for an invention or product improvement, the current environment makes that investment more attractive than it has been in years.

At the same time, businesses that have relied on IPR as a defense strategy should take note. If your company is accused of patent infringement, the option to challenge the patent at the PTAB is narrowing. This makes early-stage design clearance and freedom-to-operate analyses more important than ever. Understanding the patent landscape before you bring a product to market can help you avoid costly infringement disputes down the road, especially in an environment where the patents you encounter are less likely to be knocked out through administrative proceedings.

Want to learn more about strengthening your patent portfolio or evaluating your freedom to operate? Schedule a free consultation with Diorio IP Law Group to discuss your options.