Since taking office, the director has taken a series of actions that together mark a turning point in the treatment of subject matter eligibility.
The USPTO’s new director, John A. Squires, has moved quickly to set a tone on subject matter eligibility. Within days of confirmation, he signed patents in distributed ledger technology and medical diagnostics (September 23, 2025). Shortly thereafter, he designated an Appeals Review Panel decision addressing AI as precedential (November 4, 2025). Most recently, he reminded examiners of the evidentiary role of declarations using examples in AI (December 4, 2025).
Squires has singled out AI, distributed ledger technologies and diagnostics as prime areas of innovation that merit patent protection. Companies, investors and other stakeholders are closely watching how the USPTO’s active guidance may better align patent practice with the ingenuity and societal benefits these technologies represent.
Examining the Latest Step in Context
The December 4 memorandum highlights that applicants may submit declarations under Rule 132 to provide factual evidence of eligibility. Although this option has always existed, the memo raises examiner awareness and emphasizes that such evidence must be weighed under the preponderance of the evidence standard. Attorney remarks in an office action response, even when they include factual data, are generally treated as advocacy that an examiner may dismiss. By contrast, a declaration anchors eligibility claims in objective proof that must be given weight and addressed directly.
For innovators in AI, crypto technology and diagnostics, declarations can demonstrate how a claimed innovation is eligible by showing, for example, that a machine learning architecture improves performance, that a distributed process cannot be performed in the human mind, or that a diagnostic method integrates data analysis into a practical medical application. While these fields do not receive automatic eligibility, they provide generous opportunities to present credible evidence for crossing the threshold.
Declarations are not always available and are not a cure‑all. The stronger signal is that the USPTO is (once again) explicitly recognizing technological improvements in computational architecture, speed and storage, and in human health as reasons for patent protection. The memo is a tool, but the real shift is cultural and strategically significant.
The Larger Pattern of Recognition
Since taking office, the director has taken a series of actions that together mark a turning point in the treatment of subject matter eligibility. For the PTAB and the examining corps, there is now a binding precedent, an updated Manual of Patent Examining Procedure and explicit guidance memos that make the shift real and actionable. For clients in AI, crypto technology and diagnostics, these developments are more than procedural reminders. They confirm that the USPTO is committed to recognizing innovative advances in emerging technologies as patent‑eligible. This shift should encourage innovations that lead to more capable artificial intelligence, more efficient crypto operations supporting transactional transparency and immutability, and more effective approaches to lowering disease risks.
About Duane Morris
Duane Morris Intellectual Property attorneys also work within our Financial Technology Industry Group and Life Sciences and Medical Technologies Industry Group. Our team has deep experience across the three fields of AI, distributed ledger technology and medical diagnostics, working with clients to translate complex technical advances into enforceable rights.
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