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The main focus in this chapter is on knowledge spillovers between high-technology firms in Europe, as captured by patent citations. High-technology is defined to include the ISIC sectors aerospace (ISIC 3845), electronics-telecommunication (ISIC 3832), computers and office equipment (ISIC 3825), and pharmaceuticals (ISIC 3522). The European coverage is given by patent applications at the European Patent Office that are assigned to hightechnology firms located in the EU-25 member states (except Cyprus and Malta), the two accession countries Bulgaria and Romania, and Norway and Switzerland. By following the paper trail left by citations between these high-technology patents, the contribution provides strong evidence for the localisation of knowledge spillovers at two different levels (country, region) in Europe even after controlling for the tendency of inventive activities in the high-technology sector to be geographically clustered. The findings not only indicate that knowledge localisation exists in the aggregate, but also that there are variations of localisation by region.