Houston leads the charge for patents in the South. Photo via Getty Images

A study analyzing top U.S. locales for the tech industry ranked Houston the No. 9 best tech hub in the South.

The report by commercial real estate platform CommercialCafe examined the top 20 Southern metros across nine metrics, such as the growth rates of tech establishments and employment, median tech earnings, a quality of life index, and more.

Like other Texas metros, the study attributes Houston's tech powerhouse status to its growing presence of major tech companies. However, Houston leads the nation with the highest number of patents granted between 2020 and 2024.

"The second-largest metro by population in the South, Houston led the region with an impressive 8,691 tech patent grants in the last five years," the report said. "Once synonymous with oil, Houston is increasingly making its mark as a cleantech hub — and patents reflect this shift."

Houston also experienced an impressive 14 percent growth in tech establishments, with nearly 500 new tech companies moving to the metro. An impressive 32 percent job growth rate also accompanied this change, with over 30,500 tech jobs added between 2019 and 2023.

Here's how Houston stacked up across the remaining five rankings:
  • No. 11 – Tech establishment density
  • No. 15 – Median tech earnings
  • No. 19 – Median tech earnings growth
  • No. 20 – Tech job density
  • No. 20 – Quality of life index

In a separate 2024 report, Houston was the No. 22 best tech city nationwide, showing that the city is certainly making efforts to improve its friendliness toward the tech industry in 2025.

Other top Texas tech hubs in the South
The only other Texas metros to earn spots in the report were Austin (No. 1) and Dallas-Fort Worth (No. 4). Most notably, CommercialCafe says Austin saw a 25 percent increase in tech company density from 2019 to 2023, which is the third-highest growth rate out of all 20 metros.

"Moreover, the metro’s tech scene thrives on a diverse range of segments, including AI and green energy (bolstered by the University of Texas), as well as globally recognized events like [South by Southwest]," the report says. "Thus, with tech companies accounting for more than half of all office leasing activity in 2024, Austin remains a magnet for innovation, talent and investment."

Dallas, on the other hand, has a far greater diversity when it comes to its tech sector and its thriving economic opportunities.

"Not to be outdone, Dallas-Fort Worth moved up from sixth to fourth in this year’s rankings, driven by a 25.9 percent growth in tech company presence — the second-highest increase among the top 20 metros," the report said. "For instance, companies like iRely (which relocated to Irving, Texas) and Diversified (now in Plano, Texas) have joined homegrown successes, such as StackPath and Bestow."

The top 10 best tech metros in the South are:

  • No. 1 – Washington, D.C.
  • No. 2 – Austin, Texas
  • No. 3 – Raleigh, North Carolina
  • No. 4 – Dallas-Fort Worth, Texas
  • No. 5 – Huntsville, Alabama
  • No. 6 – Baltimore, Maryland
  • No. 7 – Durham, North Carolina
  • No. 8 – Atlanta, Georgia
  • No. 9 – Houston, Texas
  • No. 10 – Charlotte, North Carolina
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This story originally appeared on our sister site, CultureMap.com.

Both Rice University and the University of Houston were recognized recently on national rankings. Photo via Getty Images

2 Houston universities score big for patents, MBA programs

academic standouts

Two new rankings have put the University of Houston and Rice University in the academic limelight.

UH ranks 60th on the National Academy of Inventors’ list of the top 100 universities for utility patents granted last year in the U.S. Meanwhile, Rice has moved up dramatically on Bloomberg Businessweek’s annual list of the top full-time MBA programs.

In 2022, UH received 32 utility patents. The university explains that utility patents are among the world’s most valuable assets because they give inventors exclusive commercial rights for producing and using their technology.

UH joins the University of Texas (No. 3), Texas A&M University (No. 37), Texas Tech University (tie for No. 75), and Baylor University (tie for No. 75) as the only Texas schools on the patent list.

“This recognition further underscores our commitment to innovation and the impactful research taking place at UH,” says Ramanan Krishnamoorti, the university’s vice president of energy and innovation. “It is a testament to the dedication and ingenuity of our faculty, researchers, and students who continue to push the boundaries of knowledge and drive positive change in our world through their hard work and inventive contributions.”

Rice also is sharing in recent academic accolades.

Rice’s Jones Graduate School of Business climbed 10 spots — to No. 19 — in Bloomberg Businessweek’s 2023-24 ranking of full-time MBA programs. Rice holds the No. 1 spot among Texas programs.

The Jones School gained ground in the ranking’s learning, networking, diversity, and entrepreneurship categories.

“Rising in the rankings for networking and diversity shows how Rice’s faculty and staff are dedicated to creating an entire environment and ecosystem that benefits our students, not just what happens inside the classroom,” says Peter Rodriguez, the business dean at Rice. “I am especially proud of these metrics that highlight Rice’s ability to bring people together.”

A patent is an asset — says this Texas-based intellectual property expert. Photo via Getty Images

How patents can provide additional revenue streams for Houston innovators

GUEST COLUMN

Seeking patent protection can offer a substantial competitive advantage to startups looking to raise capital, especially during a venture capital downturn. Besides the protection patents can provide against intellectual property theft, they are also assets that can translate into expansion opportunities and additional revenue streams. These factors are important to institutions and individuals that invest in startups, as they may reduce downside risks to their investments and help outline a growth trajectory.

As Kathi Vidal, under secretary of commerce for intellectual property and director of the U.S. Patent and Trademark Office, said during a speech last year, “having a [patent] pending application helps secure funding, and it keeps potential competitors out of your space.”

The experience of Austin-based VoChill, a startup that created a new line of personal wine chillers, offers a case study of how filing for patent protection as early as possible can set up any startup for success, not only when seeking to raise capital, but also when working to expand its commercial relationships and distribution channels.

Filing for patents quickly gave VoChill’s founders a competitive advantage when approaching potential investors, as it demonstrated the management team’s high level of preparedness and business acumen. For investors who eventually committed capital to the startup, the filings signaled a safer bet on investing in VoChill.

There is plenty of evidence indicating that patents help attract capital and generate growth opportunities. A study conducted by professors from Harvard Business School and New York University’s Stern School of Business found that patent protection increased startups’ odds of receiving venture capital funding by 59 percent.

PitchBook data shows that startups seeking patents raise more capital than their non-patent-seeking peers. About 58 percent of venture capital went to startups with patents or with patent applications from 2011 to 2020, the research firm notes.

Patents can also help drive a startup’s expansion and grow sales. According to the National Bureau of Economic Research, or NBER, the approval of a startup’s first patent application increases its employee growth by 36 percent over the following five years. After five years, a new company with a patent increases its sales by a cumulative 80 percent more than companies that do not have a patent.

Patents can also increase a startup’s chances of obtaining distribution deals or, in the case of consumer products, partnerships with retailers. In VoChill’s experience, patent protection is a recurring theme in conversations not only with investors but also distributors and retailers.

Patents offer startups the possibility to pursue a licensing model as well. Licensing or selling the rights to a patent so that others may produce products or processes based on that patent can bring in ongoing revenue streams.

Down the line, having patent protection can lead to better exit opportunities, be it by going public or via a private divestiture.

According to the NBER, having patents more than doubles the probability that a startup is eventually listed on a stock exchange.

PitchBook data, meanwhile, shows that patent-seeking companies go public at a rate more than five times higher than non-patent-seeking companies (23.2 percent versus 4 percent).

In the case of exits via a sale of the startup, the median exit value for patent-holding companies is 154.9 percent higher than it is for companies without patents per year on average, according to PitchBook.

While the business case for seeking patent protection is clear, startups should keep a few considerations in mind when seeking to do so. Understanding time bars is crucial; for example, the United States generally allows only one year to file a patent application after an invention is publicly written about, shown, used, or otherwise disclosed, and overseas often no one-year “grace period exists.”

Still, other important predicates are finding out whether the innovation is truly new, identifying the most crucial components of a product or system, and thinking about what aspects competitors are likely to discover and copy.

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Chris Palermo is partner at Baker Botts where he specializes in intellectual property development. Lisa Pawlik is CEO of VoChill, a company that creates individual wine glass chillers.

A new ranking looks at the Houston companies with the most patents granted in 2022. Photo via Getty Images

These are the Houston companies with the most patents granted last year

by the numbers

Two major players in Houston’s energy industry are also major players in the patent arena.

A new ranking from the analytics arm of patent law firm Harrity & Harrity puts Saudi Aramco, whose North American headquarters is in Houston, and Halliburton, whose global headquarters is in Houston, puts them in a tie for the number of U.S. patents with 963 patents received in 2022. Saudi Aramco and Halliburton now share the title of Houston’s patent king.

Saudi Aramco saw a 12 percent rise in patents granted in 2022 compared with 2021, according to Harrity & Harrity’s Patent 300 report, while Halliburton experienced a 5 percent jump. Each company tied for 44th place among the top 300 U.S. patient recipients in 2022.

According to the report, Samsung Electronics (8,513 patents) knocked IBM off its longtime pedestal as the No. 1 recipient of U.S. patents. IBM (4,743 patents) now holds the No. 2 position.

Many of Aramco’s U.S. patents come from its R&D centers in Houston, Boston, and Detroit. The Houston R&D hub opened in 2014 and underwent an expansion three years later.

Aramco, a Saudi Arabia-based supplier of oil and natural gas, also generates patents through academic partnerships, such as the one it established last year with Rice University’s Carbon Hub. Aramco has committed $10 million over five years to the carbon initiative.

“While patents are a leading indicator of innovation, the ultimate goal is to create value through the development of solutions that help to address a particular need,” Aramco says. “Such results are often only possible with significant upfront investments, and patents make it possible to recoup these costs and potentially generate additional revenue through commercialization.”

Last year, Aramco boasted that it ranked first in the oil and gas industry for U.S. patents (864) granted in 2021. Until 2011, Aramco had received only 100 U.S. patents over a 78-year span.

“Many of the patents are for innovations Aramco uses itself for competitive advantage, although they can also be licensed to others, creating extra value for the company,” Jamil Bagawi, then the company’s chief engineer, wrote in 2021.

Halliburton also has ramped up its patenting efforts in recent years.

According to Houston law firm Yetter Coleman, those efforts kicked into high gear after Halliburton lost a fracking patent lawsuit to Tomball-based BJ Services, which is now out of business. In 2003, a Houston jury awarded $98 million in damages to BJ in the case, and Halliburton had to stop selling the system that allegedly infringed on BJ’s patent.

In the five years before the verdict, Halliburton averaged 142 patent awards a year, according to Yetter Coleman. The law firm reported in 2013 that Halliburton subsequently averaged 234 patents a year.

Today, of course, Halliburton has far exceeded those numbers. And it vigorously defends its growing patent portfolio. In September 2022, for instance, three subsidiaries of the oilfield services giant filed two lawsuits against Houston-based rival U.S. Well Services alleging infringement of 14 Halliburton patents.

IAM, a website that reports about the intellectual property industry, noted that when Halliburton sued U.S. Well Services, “IP professionals in the oil and gas industry may well have reached for the popcorn. Battles of this magnitude rarely break out in their slice of the patent world.”

Halliburton and Aramco may be the goliaths in Houston’s patent world, but they’re not the only local organizations to appear on the Patent 300 list for 2022. Other Houston-area companies that made the cut are:

  • Spring-based Hewlett Packard Enterprise, No. 84. The tech company received 511 U.S. patents in 2022, down 4 percent from the previous year.
  • Houston-based SLB (Schlumberger), No. 117. The oilfield services company received 372 U.S. patents in 2022, down 14 percent from the previous year.
  • Houston-based Baker Hughes, No. 123. The oilfield services company received 350 U.S. patents in 2022, down 11 percent from the previous year.
  • ExxonMobil, No. 156. The oil and gas company received 281 U.S. patents in 2022, down 8 percent from the previous year. It is in the process of moving its headquarters from Irving to Spring.
  • United Imaging Healthcare, No. 253. The Chinese healthcare equipment company, whose North American headquarters is in Houston, received 175 U.S. patents in 2022, up 31 percent from the previous year.
UH has ranked among the world's top 100 patent-receiving universities for the past six years. Photo courtesy of University of Houston

Houston university claims spot on top 100 institutions for patents

UH ranked

The University of Houston ranks among the world's top invention factories.

A new list from the Intellectual Property Owners Association and the National Academy of Inventors puts UH in a tie for 79th place among the 100 universities around the world that received the most U.S. utility patents in 2020. UH inventors earned 37 utility patents last year.

The only other Texas schools on the list are the University of Texas at Austin (ranked fourth with 207 patents) and Texas A&M University in College Station (tied for 70th place with 41 patents). The University of California leads the list (597 patents).

UH has ranked among the world's top 100 patent-receiving universities for the past six years. Utility patents cover new or improved processes, products, or machines. During the federal government's 2020 budget year, the U.S. Patent and Trademark Office granted 360,784 utility patents. They're the most common kinds of patents in the U.S.

"The University of Houston is making critical contributions to science and engineering and hence to society, driven by our overarching goal to improve the quality of life. This ranking reflects our dedication to addressing the most pressing problems faced by society, including energy technology and medical care," Amr Elnashai, vice president and vice chancellor for research and technology transfer at UH, says in a news release.

Another testament to UH's patent prowess: Three researchers from the Cullen College of Engineering researchers are senior members of the National Academy of Investors for 2021. They are professors Hien Nguyen, Jeffrey Rimer, and Gangbing Song.

"Being affiliated with this prestigious organization will afford new opportunities for innovation and expanded research activities by engaging with a global network of highly accomplished inventors," Rimer says.

UH says a key to its success in moving technology from the lab to the marketplace is the UH Technology Bridge. With 30,000 square feet of incubator space and over 700,000 square feet of space for laboratories, pilot-scale facilities, and light manufacturing, the Technology Bridge houses 28 startups.

Plans for the Technology Bridge include expanding the 75-acre park into core districts, along with adding build-to-suit facilities. About 35 acres of the Bridge have been developed. So far, the university has invested more than $75 million in the Bridge.

"Companies taking products from idea to commercialization need expertise ranging from research to licensing to startup formation and operation," Elnashai said of the Bridge. "They need interns in specialized fields, technical and startup consultants, and they often need laboratories with large amounts of space for experimentation, to produce a prototype or to scale their operations. We have all of this to offer."

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Houston university to launch master’s in artificial intelligence

AI experts

Houston’s Rice University will welcome students to its new Master of Artificial Intelligence (MAI) program next fall, the college announced last week.

The program, which will begin taking applications this fall, is geared toward students with a computer science background as well as working engineers, scientists and technologists as they pursue careers that create and deploy AI. It will be part of Rice’s Department of Computer Science.

The new graduate degree comes after Rice created its Bachelor of Science in AI program in 2025.

Students enrolled in the 30-credit-hour, non-thesis professional degree program will prepare for prospective jobs as AI architects, applied AI researchers and AI and machine learning engineers, according to a news release.

“AI is rapidly moving from research laboratories into the systems that shape how we work, learn and solve complex problems,” Luay Nakhleh, Dean of the George R. Brown School of Engineering and Computing, said in the release. “The MAI will give students the technical depth and practical experience to build these systems responsibly.”

The on-campus degree program will include coursework in AI foundations and traditional, hands-on learning over its three-semester duration. Students will have easy access to faculty and have the opportunity to collaborate in small cohorts. The program includes a required internship before completion.

Chris Jermaine, chair of Rice’s Department of Computer Science, says Houston is well-positioned to connect students with industries where AI is increasingly being used, including health care, energy, aerospace, finance and technology.

“The Master of Artificial Intelligence reflects the graduate education Rice is working to advance: rigorous, forward-looking and connected to the challenges graduates will encounter in their careers,” Jermaine said in the release. “Combining strong academic foundations with practical experience will prepare students to contribute thoughtfully and responsibly as AI continues to evolve.”

Other Texas universities offer similar degrees, like Texas A&M's online Master of Science in Artificial Intelligence, Baylor’s Master of Science in Artificial Intelligence (MSAI+), University of Houston Downtown’s Master of Science in Artificial Intelligence program, and University of Texas at Austin’s online master’s in AI.

MAI works as part of Rice’s Momentous strategic plan that incorporates responsible AI use, according to the university.

Tech giant Meta opens first Texas retail store in Houston's Galleria

Metaverse

Social media giant Meta has arrived in Houston with a new store that allows shoppers to go hands-on with all of its products. The Meta Lab, which offers an immersive retail experience, is now open daily on level two of the Galleria.

Shoppers will find all of Meta’s virtual reality products at the store, including including Meta Glasses, Ray-Ban Meta, Meta Ray-Ban Display, Oakley Meta HSTN, and Oakley Meta Vanguard. People can also try out demos of the company’s virtual reality gaming headsets, the Meta Quest 3 and Meta Quest 3S.

Visitors are encouraged to put the devices on in order to experience what it’s like to wear and use them. Those who need prescription lenses for their Meta glasses can order those at the store, too.

It is the ninth Meta Lab to open nationwide and the first in Texas.

Prices start at about $225 for Ray-Ban Meta glasses and go up to $799 for the Meta Ray-Ban Display, which has an in-lens display for updates and other information. Meta Quest runs from $349 to $599.

"Our approach to experiential retail is rooted in culture, creativity, and self-expression, and we're committed to building a space that reflects the Houston community," a spokesperson told the Houston Chronicle. "We look forward to welcoming people into a new experience to get hands-on with our AI glasses and VR products."

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This article first appeared on CultureMap.com.

5 must-know fall application deadlines for Houston innovators

apply now

Editor's note: As fall reaches full swing, Houston's innovation scene is calling on the latest batch of founders and startups looking to make a difference. A number of accelerators have opened applications. Read below to see which might be a good fit for you or your venture. And take careful note of the deadlines. Please note: this article may be updated to include additional information and programs.

Did we miss an accelerator or competition accepting applications? Email innoeditor@innovationmap.com for editorial consideration.

Texas Life Science Forum

Deadline: Oct. 2

Details: Ventures can apply to present at the 15th annual Texas Life Science Forum, hosted by BioHouston and Rice Alliance. Participants will meet during office hours with venture capitalists, tech scouts, corporate venture groups and angel investors, and present their pitches in a public forum. Pitches take place on Nov. 10 and office hours are held Nov. 11. Find more information here.

Greentown Lab's Go Make 2027: Advanced Carbon Materials with ExxonMobil

Deadline: Oct. 9

Details: Greentown Labs is seeking applications from startups developing novel carbon-based technologies for its latest Go Make cohort in conjunction with ExxonMobil. The structured accelerator is designed to facilitate validation activities and explore potential long-term collaborations with Exxon, according to Greentown. Founders will have the opportunity to engage directly with industry leaders to test, validate and scale their carbon technologies in real commercial contexts. The program tentatively starts on Jan. 20, 2027 and concludes June 16, 2027. Find more information here.

Activate's U.S. Fellowship Cohort 2027

Deadline: Oct. 30

Details: Activate supports scientists at "the outset of their entrepreneurial journey." It partners with U.S.-based funders and research institutions to support its fellows in developing high-impact technology. Its fellows receive a living stipend, research and development funding, connections from Activate's robust network of mentors and access to a curriculum specific to the program for two years. Applicants must have a bachelor’s degree and 4-plus years of post-baccalaureate scientific research, engineering or technology development experience. Their work must be based in the physical or biological sciences or related engineering disciplines. Find more information here.

Rice Innovation Fellows

Deadline: Oct. 30

Details: The Liu Idea Lab for Innovation and Entrepreneurship (Lilie)'s Rice Innovation Fellows program supports Rice Ph.D. students and postdocs in turning their research into real-world ventures. Participants receive $10,000 in translational research funding, co-working space and personalized mentorship. Candidates from all Rice engineering and science-related disciplines are encouraged to apply. Find more information here.

The TMC's Accelerator for Cancer Therapeutics

Deadline: Oct. 30

Details: Texas-based ventures and researchers developing a cancer therapeutics project can apply to this accelerator funded by the Cancer Prevention and Research Institute of Texas. The nine-month program runs February-September 2027 and focuses on market research, FDA regulations, intellectual property, licensing, finance, fundraising, legal and other critical areas for cancer-related ventures. Participants will complete the program with at least one grant submission and have the option to pitch to investors, corporate partners, media and other influential guests. Find more information here.