10.Santa Cruz, California

Santa Cruz, California

flickr/mark.hogan

Patents per million residents: 1,204
Average patents per year: 310
Top industry: Computer hardware and peripherals
UC Santa Cruz is the major employer, and the corridor of tech startups and companies continues south from San Francisco and Silicon Valley. 

Source: Brookings

Read more: http://www.businessinsider.com/the-20-most-innovative-cities-in-the-us-2013-2?op=1#ixzz2RyUkpZ7K