A First Look at the Proposed ‘Leadership in Critical and Emerging Technologies Act’
A new USPTO pilot program for AI, Semiconductors, and Quantum Computing is proposed
A new legislative effort, titled the "Leadership in Critical and Emerging Technologies Act" or the "Leadership in CET Act," has been introduced in the 119th Congress. The bill, if passed by Congress would require the United States Patent and Trademark Office to establish and carry out a pilot program to expedite the examination of applications for certain patent technologies—chiefly, Artificial Intelligence, semiconductors, and quantum computing.
This bipartisan, bicameral bill was introduced by U.S. Senators Marsha Blackburn (R-Tenn.) and Peter Welch (D-Vt.) in the Senate, and U.S. Representatives Lance Gooden (R-Texas) and Deborah Ross (D-N.C.) in the House of Representatives. The stated purpose of the proposed pilot program in this Act is "to encourage innovation by, and the leadership of, the United States with respect to critical or emerging technologies by ensuring that covered applications receive prompt consideration."
For patent holders and IP professionals, understanding the evolving landscape of patent examination is paramount. While the USPTO endeavors to provide timely examination, factors such as increasing application rates—especially in “hot” technology areas—can contribute to substantial backlogs, impacting pendency times.
Average total pendency, traditionally measured from filing to final disposition, can extend over many months, even years, and can be further impacted by requests for continued examination (RCEs). As of May 2025, the USPTO backlog of unexamined patent applications stands at over 820,000. Against this backdrop, proposed legislation aims to create a specialized fast lane for innovations deemed critical to U.S. leadership.
Why the Need for Speed? Addressing Global Competition
The impetus behind this legislation is deeply rooted in concerns about global competition, particularly the rapid advancements made by countries like China in critical and emerging technologies. According to Senator Blackburn, the United States cannot afford to "fall behind to the Chinese Communist Party in the research and development of critical and emerging technology."
China has reportedly made significant strides, leading the world in a substantial number of critical technologies, a considerable increase from previous years. For instance, Senator Blackburn points out that Chinese institutions filed nearly 80% more AI-related patents than U.S. filings in 2022. This context underscores the perceived urgency to accelerate U.S. innovation and maintain a competitive edge on the global stage. As Senator Blackburn reiterates, the bill aims to "secure American global dominance in transformative technologies like AI and semiconductors."
Specific Technologies Targeted for Expedited Examination
The proposed pilot program under the Leadership in CET Act is specifically designed to expedite the examination of patent applications directed to eligible critical or emerging technologies. Both the Senate bill and the House bill (H.R. 3539) from the 119th Congress define "eligible critical or emerging technology" to include specific capabilities within artificial intelligence (AI), semiconductor design, and quantum information science.
Within the realm of Artificial Intelligence, eligible capabilities encompass machine learning, deep learning, reinforcement learning, sensory perception or recognition, AI assurance or assessment techniques, foundation models, generative AI systems (including multimodal or large language models), synthetic data approaches for training/tuning/testing, planning/reasoning/decision making, and the improvement of AI safety, trust, security, or responsible use.
For semiconductor design, it includes electronic design automation tools. In Quantum Information Science, the focus is on quantum computing, materials/isotopes/fabrication techniques for quantum devices, quantum sensing, and quantum communications or networking.
It is worth noting a distinction here when comparing to a previous version of the bill. The S. 5537 bill introduced in the 118th Congress (December 2024), which has since lapsed, defined "eligible critical or emerging technology" more broadly by referencing existing statutory definitions for artificial intelligence, microelectronics, and quantum information science. The current bills provide a more granular list of specific capabilities within AI, explicitly mention semiconductor design and electronic design automation tools, and list specific areas within quantum information science.
How the Act Would Expedite the Patent Process
The fundamental mechanism by which the Leadership in CET Act proposes to expedite examination is through the use of a "petition to make special." The term "expedite" is explicitly defined as advancing a covered application "out of turn" using this process. This suggests applications accepted into the pilot program would move ahead of other applications in the examination queue that are not part of a prioritized program.
The USPTO Director would be required to establish the pilot program not later than one year after the Act's enactment. In implementing the program, the Director may "prescribe the conditions under which a covered application shall be accepted and examined." This pilot program would likely be different from Track One Prioritized Examination but could be like, e.g., Accelerated Examination where the basis for making special is one of the fee-exempt categories mentioned in MPEP 708: environmental quality, energy conservation/development, or countering terrorism.
Scope and Eligibility: Who Can Participate?
The proposed pilot program would accept a specific number of covered applications for expedited examination. The current bills specify that the Director shall accept up to 15,000 covered applications for participation. This differs from the previous 118th Congress version (S. 5537), which proposed expediting 10,000 applications.
Eligibility requirements for applicants are also detailed, with notable differences between the current and previous proposals. Under the current bills (S.11 and H.R. 3539), an applicant must satisfy two key requirements to qualify. First, the applicant must "not be a foreign entity of concern" as defined by existing U.S. law. Second, the applicant must certify that the inventor or any joint inventor named on the application has not been named as an inventor or joint inventor on "more than 4 other covered applications submitted under the pilot program".
In contrast, the S. 5537 bill from the 118th Congress had different eligibility criteria, requiring the applicant to be "an entity that is incorporated in the United States; or an inventor who resides in the United States". It also mentioned that the Director may establish "reasonable limitations on the number of covered applications that an applicant may submit," but did not set a specific limit per inventor in the statutory text itself as the current bills do. The current approach of explicitly excluding "foreign entities of concern" and setting an inventor-specific limit appears designed to focus the program on domestic innovation while preventing potential abuse or dominance by a small number of prolific filers.
Furthermore, under the current bills, a qualifying application must be a "noncontinuing, nonprovisional application for an original utility patent filed under section 111(a) of title 35, United States Code," that does not claim domestic benefit from related prior applications (e.g., continuations, divisionals). This focuses the program on newly filed original utility applications. The 118th Congress bill similarly required a "noncontinuing, original, and nonprovisional patent application," but the reference to specific statutory sections regarding domestic benefit is more explicit in the current version.
Duration and Potential Renewal
The pilot program is set to terminate on the earlier of two conditions: either 5 years after the date the Director first accepts a covered application for participation, or the date on which the Director has accepted 15,000 covered applications. This differs slightly from the 118th Congress bill, where the first termination condition was 5 years after the Director first issues a patent for an invention expedited under the program.
If the program terminates because the 15,000 application limit is reached before the 5-year mark, the Director has the option to renew it. The renewal would be for the shorter of an additional 5-year period or until an additional 15,000 applications have been accepted.
Again, this contrasts with the 2024 bill, which allowed renewal for an additional 10,000 applications. The Director is required to notify specific Congressional committees in the Senate and House of Representatives (the Committees on the Judiciary) about the intent to renew the program within specified timeframes relative to the potential termination date or application acceptance count. The 2024 bill simply stated the Director shall "notify Congress."
Transparency and Reporting Requirements
The Act includes provisions for transparency regarding the pilot program's implementation. The Director is required to make information about the program publicly available in an "easily accessible location on the website of the Office." This information must include the number of covered applications submitted, the number accepted into the program, and the number of patents that have issued from applications expedited under the program.
Furthermore, the Act mandates a report to Congress after the pilot program terminates, including any renewals. This report, due not later than 180 days after termination, is to assess the "impact and effectiveness of the pilot program based on all available data". The collection of data for this report is explicitly exempt from the Paperwork Reduction Act. The 118th Congress bill similarly required a report to Congress assessing impact and effectiveness based on available data, but the current bills specify that the report goes to the Committee on the Judiciary of the Senate and the Committee on the Judiciary of the House of Representatives.
What This Might Mean for the USPTO
Implementing a pilot program to expedite examination for 15,000 critical technology applications could have several implications for the USPTO. On the one hand, it aligns with the agency's goal of providing timely examination, particularly for technologies deemed vital to national interests. Prioritizing these applications could potentially lead to faster patenting for key innovations, potentially bolstering U.S. competitiveness. The flexibility to waive fees and requirements related to existing accelerated/prioritized examination programs suggests an effort to make this new pilot program distinct and potentially more accessible for eligible applicants.
However, introducing a new expedited track, even a limited one, requires careful management of examination resources. The USPTO is already working to tackle its backlog, which stands at 813,000 unexamined applications. Tackling the backlog is still a priority as patent pendency has extended beyond 20 months, up from under 17 months in 2022.
Adding a program that moves 15,000 applications "out of turn" inherently requires examiners to spend time on these prioritized cases, which could theoretically impact pendency for non-prioritized applications, although the overall effect of 15,000 applications on a backlog of 813,000 plus incoming applications might be marginal.
With about 600,000 applications filed each year, reaching 15,000 applications in AI might only be a matter of a couple months.
The agency will need to allocate sufficient examiner resources and potentially develop new internal processing procedures for these "covered applications." The reporting requirements should provide valuable data to assess the program's actual impact on both prioritized and non-prioritized queues, as well as its effectiveness in encouraging innovation.
Key Differences from the 2024 Bill and a Cautious Outlook
As noted, this is not the first attempt to introduce a "Leadership in CET Act." The S. 5537 bill introduced in the 118th Congress on December 16, 2024, with a similar name and purpose, did not go to a vote and lapsed in a previous Congress. While it's common for legislative text to be reintroduced, the fact that the 2024 version did not rouse any committees or constituents warrants a degree of tempered expectations regarding the path forward for the current bills.
Key differences between the 118th Congress bill (S. 5537) and the current 119th Congress bills (S.11 / H.R. 3539) include:
Application Limit: 10,000 in the 2024 bill versus 15,000 in the current bills.
Technology Definition: Broader statutory references in 2024 versus a more specific list of capabilities in AI, semiconductor design, and quantum information science in the current bills.
Eligibility: Incorporated in the U.S. or U.S. resident inventor in 2024 versus not a foreign entity of concern and an inventor limit of 4 other applications in the current bills.
Termination Condition: 5 years after first patent issued or application limit reached in 2024 versus 5 years after first application accepted or application limit reached in the current bills.
Renewal Limit: Additional 10,000 applications in 2024 versus additional 15,000 applications in the current bills.
Reporting Recipient: "Congress" in 2024 versus specific Judiciary Committees in the current bills.
These changes suggest an effort to refine the program's scope, focus eligibility more specifically on preventing participation by "foreign entities of concern" while also limiting concentration among domestic prolific filers, and perhaps make the program slightly larger. However, the fundamental challenge remains: gaining sufficient Congressional support to pass the legislation.
Despite the prior bill's fate, the reintroduction of the Leadership in CET Act offers a reason for optimism. The bipartisan, bicameral nature of the current proposal indicates continued interest across the political spectrum in addressing the need to support U.S. innovation in key technological areas.
If enacted, this pilot program could indeed provide an interesting mechanism for accelerating the patenting of critical inventions, potentially offering a strategic advantage to U.S. innovators in a competitive global landscape.
While the impact on overall USPTO pendency remains to be seen and managing a new prioritized queue presents administrative challenges, the potential benefits for US innovators in AI, semiconductor design, and quantum information science could be significant. IP practitioners and patent owners in these fields should certainly monitor the progress of this legislation.
Disclaimer: This is provided for informational purposes only and does not constitute legal or financial advice. To the extent there are any opinions in this article, they are the author’s alone and do not represent the beliefs of his firm or clients. The strategies expressed are purely speculation based on publicly available information. The information expressed is subject to change at any time and should be checked for completeness, accuracy and current applicability. For advice, consult a suitably licensed attorney and/or patent professional.