The paper addresses innovative performance of transnational corporations (TNCs). Its goal is to find out whether innovation is typical of transnational corporations and what are its sources in TNCs. The goal has been attained by analysing the rankings of the world’s most innovative companies. Three groups of transnational corporations featuring in these rankings have been distinguished: old giants, innovators with a past, and young players. Conclusions on the innovative performance of transnational corporations have been enriched with the analysis of sources of innovation in these companies, R&D outlays included.