Abstract Intellectual property (IP) is a key reflection of a firm’s innovation ability, and also an important mechanism in profiting from innovation. With the data of civil IP infringing litigations judged by the courts in Shenzhen during 2014-2016, this study explores the relationship among ownership, IP litigation, and firm innovation, using the methods of Logit and Tobit regressions. The results show that state-owned enterprises (SOEs) do not perform good, indicating their weakness in innovation ability. To the opposite, the foreign capital, Hong Kong, Macau and Taiwan enterprises (FHMTs) behave good, showing their higher innovation ability. As a result, it is suggested that SOEs should improve their internal incentive system and IP utilization ability, and pay more attention to the use and protection of innovations.
