Download - G500 R&D spending 2014
WORKING SESSION:RECRUITMENT BEST PRACTICES
MAY 2014
Global 500 R&D Spending - 2014Summary Report
July 2015
Agenda
01
02
03
Global 500 R&D Spender Landscape
Vertical R&D Trends
Regional R&D Trends
Agenda
01
02
03
Global 500 R&D Spender Landscape
Vertical R&D Trends
Regional R&D Trends
2012 2013 2014
599 602 614
R&D investment for G500 companies was 614 Billion for FY2014
4.03% 4.13% 4.31%
Total Global 500 R&D Spend X% R&D Spend as a % of revenue
G500 R&D Spend(In USD billion)
CAGR:0.5% CAGR:1.95%
152Billion Dollar Spenders in
2014
21New Entrants
42High Growth* R&D
Spenders
4.3%Average R&D Spend as %
of Revenue
• The R&D spending by the Billion Dollar spenders totalled up to USD 472 Billion
• Four new companies have entered the billion dollar R&D spender club this year
• Majority of the new entrants were from Industrial and Semiconductor verticals
• 5 companies within G500 got acquired, 12 companies reduced their R&D spend and 2 companies went Private and left the list
• More than 40% of the high growth R&D spenders were from Consumer/Web 2.0 & E-Commerce and Semiconductor verticals
• Companies from verticals like Consumer/Web 2.0 & E-Commerce, Semiconductor and Enterprise Software & Enterprise 2.0 have R&D intensities greater than 10% while Industrial, Energy & Utility firms have R&D intensities less than 2%
Note: *High Growth R&D Spenders are companies that increased their R&D spend by 30% or more over previous year
R&D investment for G500 companies was 604 Billion for FY2014
R&D Spend by the Major Verticals
USD 109 Bn USD 71 Bn USD 51 Bn USD 46 Bn USD 41 Bn
Automotive Software/Internet Semiconductor Consumer Electronics Telecommunication
Top 5 Spenders
R&D Spend(USD Bn)
Volkswagen 14
Toyota Motor 9
General Motors 7
Ford Motor 7
Robert Bosch 6
Top 5 Spenders
R&D Spend(USD Bn)
Microsoft 11
Google 10
Amazon.com 9
IBM 5
Oracle 5
Top 5 Spenders
R&D Spend(USD Bn)
Intel 12
Qualcomm 5
Broadcom 2
Taiwan Semiconductor 2
Foxconn Technology Group 2
Top 5 Spenders
R&D Spend(USD Bn)
Samsung Electronics 14
LG 5
Panasonic 5
Sony 5
Toshiba 3
Top 5 Spenders
R&D Spend(USD Bn)
Huawei Technologies 7
Cisco Systems 6
Ericsson 5
Alcatel-Lucent 3
NTT 2
Total Global 500 R&D SpendUSD 614 Bn
1 12 23 34 45 56 67 78 89 100 111 122 133 144 155 166 177 188 199 210 221 232 243 254 265 276 287 298 309 320 331 342 353 364 375 386 397 408 419 430 441 452 463 474 485 4960.00
2.00
4.00
6.00
8.00
10.00
12.00
14.00
16.00
66%
R&
D S
pend
in B
illio
n
2014 R&D Spend Ranking
Over 65% of the overall R&D spend was contributed by the top 100 R&D spenders
614 Billion
17%
8%5% 4%
Contribution of Global 500 R&D Spenders
43%
26%
14%9% 7%
X% Y%% of total G500 R&D Spend % of total G500 Revenue
2012 2013 2014
40% 42% 43%
33%35% 32%
20% 14% 15%
7% 9% 10%
North America Europe Japan APAC
Top 100 R&D Spenders - Regional R&D Spend TrendsSplit of R&D Spending of Top 100 R&D Spenders across regions
6% 4%
8% 7%
29% 6%
35% 16%
Top 100 R&D Spenders - Regional R&D Spend TrendsSplit of R&D Spending of Top 100 R&D Spenders across regions
Medical Devices
Energy & Utility
Industrial
Aerospace and Defence
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Semiconductor
Enterprise Software & Enterprise 2.0
Telecommunication
Consumer Electronics
Automotive
1
2
3
14
17
24
24
25
28
35
85
2014 2013 2012
The shares of North American and APAC based firms in the Top 100 are on a consistent rise
% Increase % Decrease
The number of Billion dollar club members in the Global 500 R&D spenders has increased though the share of R&D spending has not seen any significant change
2013 2014
76% 77%
24% 23%
$459 Bn
148 Companies
$472 Bn
152 Companies
$144 Bn
352 Companies
$142 Bn
348 Companies
Billion Dollar Club R&D SpendingSplit of G500 R&D Spenders with more than USD 1 Bn R&D Expenditure
Medical Devices
Industrial
Energy & Utility
Aerospace and Defence
Computer Peripherals and Storage
Enterprise Software & Enterprise 2.0
Consumer / Web 2.0 and E-Commerce
Telecommunication
Semiconductor
Consumer Electronics
Automotive
R&D Spend 2013 R&D Spend 2014
2%
16%
3%
X% % change in R&D Spend in 2014 over 2013
0%
2%
49%
6%
3%
14%
0%
12%
The Billion Dollar club is gaining more companies from APAC
Billion Dollar Club - Regional R&D Spend TrendsSplit of Billion Dollar R&D Spending (USD) across regions
42%
32%
15%
11%
41%
35%
15%
9%
40%
33%
20%
7%2013
2014
2012
RoW
APAC
Japan
Europe
North America
3
11
29
45
54
2
13
27
50
56
2
17
27
50
56
2014 2013 2012
Billion Dollar Club - Regional R&D Spend TrendsSplit of number of Billion Dollar R&D Spenders Across Regions
NA
EU
Japan
APAC
RoW
Around 38% of the G500 R&D spenders increased their R&D expenditure
Percentage of companies whose R&D grewSplit of Companies based on R&D spend change
59%
39%
3%
59%
38%
3%
Companies that grew
Companies that de-grew
Companies with no growth or de-growth
2013
2014 Company Name Country Vertical % Change
Tesla Motors USA Automotive 100%
Facebook USA Consumer / Web 2.0 and E-Commerce 88%
Ctrip.com China Consumer / Web 2.0 and E-Commerce 82%
Thermo-Fisher Scientific USA Medical Devices 75%
Avago Technologies Singapore Semiconductor 75%
Company Name Country Vertical % Change
Gazprom Russia Energy & Utility 34%
SAAB Sweden Aerospace & Defence 30%
Areva France Energy & Utility 26%
Indira Sistemas Spain Enterprise Software & Enterprise 2.0 24%
Vestas Wind Systems Denmark Energy & Utility 24%
Top 5 R&D growth companies
Top 5 R&D decline companies
Agenda
01
02
03
Global 500 R&D Spender Landscape
Vertical R&D Trends
Regional R&D Trends
North America and Europe combined together contribute more than 70% of G500 R&D
Regional R&D Spend Trends
North AmericaSemiconductor 13% 13%
Enterprise Software & Enterprise 2.0 12% 12%
Consumer / Web 2.0 & E-Commerce 12% 9%
Automotive 7% 7%
Computer Peripherals & Storage 6% 6%
USD
255Bn
EuropeAutomotive 28% 28%
Telecommunication 8% 8%
Aerospace & Defence 7% 7%
Industrial 5% 5%
Energy & Utility 4% 4%
USD
189Bn
APACConsumer Electronics 31% 35%
Telecommunication 13% 12%
Semiconductor 12% 11%
Automotive 10% 10%
Energy & Utility 6% 8%
USD
66Bn
JapanAutomotive 30% 29%
Consumer Electronics 22% 23%
Computer Peripherals & Storage 6% 6%
Industrial 4% 5%
Telecommunication 3% 4%
USD
99Bn
5%
X% Indicates % contribution of a region to overall G500 R&D spend X% Indicates % Increase/Decrease in R&D Spend over previous year2013 R&D
Spend2014 R&D
Spend
6%
2014 2013
2014 2013
6%23%
2014 2013
12%
2014 2013
6%
21%6%
North America and Europe combined together contribute more than 70% of G500 R&D
Regional R&D Spend Trends
North AmericaTop Spenders
FY2014 FY2013
1 Intel Intel
2 Microsoft Microsoft
3 Google Dell
4 Amazon.com Johnson & Johnson
5 Johnson & Johnson General Motors
EuropeTop Spenders
FY2014 FY2013
1 Volkswagen Volkswagen
2 Robert Bosch BMW
3 BMW Robert Bosch
4 Daimler Daimler
5 Siemens Siemens
APACTop Spenders
FY2014 FY2013
1 Samsung Electronics
Samsung Electronics
2 Huawei Technologies
Huawei Technologies
3 LG LG
4 Petrochina Petrochina
5 Hyundai Motor Hyundai Motor
1 Tesla Motors 100%
2 Facebook 88%
3 Thermo Fisher Scientific 75%
4 Micron Technology 47%
5 Salesforce.com 45%
Top Growth Firms and Growth % from 2013 to 2014
JapanTop Spenders
FY2014 FY2013
1 Toyota Motor Toyota Motor
2 Honda Motor Honda Motor
3 Nissan Motor Panasonic
4 Panasonic Sony
5 Sony Nissan Motor
1 Imagination Technologies 49%
2 Mahle 44%
3 Skoda 32%
4 Trumpf 24%
5 BAE Systems 22%
1 Ctrip.com International 82%
2 Avage Technologies 75%
3 Baidu 66%
4 Qihoo 360 Technology 59%
5 Mediatek 55%
1 Nintendo 37%
2 Koito Manufacturing 26%
3 Toyota Industries 25%
4 Hoya 24%
5 Daikin Industries 22%
Top Growth Firms and Growth % from 2013 to 2014
Top Growth Firms and Growth % from 2013 to 2014
Top Growth Firms and Growth % from 2013 to 2014
North America and Europe combined together contribute more than 70% of G500 R&D
Regional R&D Spend Trends
0%-4%
Central USA
UK
France
Scandinavia
India
Japan
13%-6%
18% -8%20%
24%
2%
Size of the Bubble indicates 2014 R&D Spend; Value X% indicates the growth rate in R&D Spend from 2012 to 2014Dotted Bubble indicates 2020 Estimated R&D Spend
X%
West Coast
5%
East Coast
South Korea
China-2%Germany
R&D Spending in Consumer/Web 2.0 and E Commerce vertical is witnessing the maximum growth in the USA
2012 2013 2014 2020E
227 241 253
3485.38% 5.61% 5.79%
Total Global 500 R&D Spend X% R&D Spend as a % of revenue
G500 R&D Spend in USA(In USD billion)
CAGR:5.5%
Computer Peripherals and Storage
Automotive
Consumer / Web 2.0 and E-Commerce
Enterprise Software & Enterprise 2.0
Semiconductor
31
26
115
44
49
16
19
30
31
34
1 Intel USD 11.5 Bn
2 Microsoft USD 11.4 Bn
3 Google USD 9.8 Bn
4 Amazon.com USD 9.3 Bn
5 Johnson & Johnson USD 8.5 Bn
1 Tesla Motors 100%
2 Facebook 88%
3 Thermo Fisher Scientific 75%
4 Micron Technology 62%
5 Salesforce.com 48%
Highest R&D Spenders Highest Growth in R&D Spend New Entrants
1. Teradata
2. Verifone Systems
3. Qorvo
4. Synaptics
5. Tyco International
6. Federal-Mogul
7. Microsemi
8. Exelixis
9. Molex
Vertical Split of G500 R&D Spenders in USA(In USD billion)
R&D Spend 2014 R&D Spend 2020E
6%
6%
25%
6%
12%
CAGR
The West Coast is driving the R&D spending in the USA
West Coast46%
Central Region24%
East Coast29%
West Coast: 115 Bn1. Consumer/Web 2.0 and E-Commerce2. Semiconductor3. Enterprise Software and Enterprise 2.0
Central Region: 61 Bn1. Automotive2. Aerospace and Defence3. Medical Devices
East Coast: 74 Bn1. Enterprise Software & Enterprise 2.02. Computer Peripherals and Storage3. Medical Devices
2014 2020E
115
245
Mountain Region: 3 Bn1. Semiconductor2. Automotive3. Consumer Electronics
Mountain Region1%
2014 2020E3 6
R&D Spend Growth(In USD billion)
R&D Spend Growth(In USD billion)
2014 2020E
61
43
R&D Spend Growth(In USD billion)
CAGR:13%
CAGR:14%
CAGR:-6%
2014 2020E
74
98
R&D Spend Growth(In USD billion)
CAGR:5%
USA - Regional Trends in R&D
California
Washington
Illinois
Michigan New York
New Jersey
Major Hotspots in USA
Automotive vertical is witnessing the maximum growth in Europe while Telecommunication is on a decline
2012 2013 2014 2020E
191 202 189 184
3.49% 3.90% 4.10%
Total Global 500 R&D Spend X% R&D Spend as a % of revenue
G500 R&D Spend in Europe(In USD billion)
CAGR:5.5%
Energy & Utility
Industrial
Aerospace and Defence
Telecommunication
Automotive
6
5
14
7
67
7
9
14
14
53
1 Volkswagen USD 14 Bn
2 Robert Bosch USD 6 Bn
3 BMW USD 5.5 Bn
4 Daimler USD 5.4 Bn
5 Siemens USD 5.1 Bn
1 Imagination Technologies 49%
2 Mahle 44%
3 Skoda 32%
4 Trumpf 24%
5 BAE Systems 22%
Highest R&D Spenders Highest Growth in R&D Spend New Entrants
1. Anheuser Busch Inbev SA
2. KWS SAAT
3. Merz Pharma
4. Vilmorin
5. Imagination Technologies
Vertical Split of G500 R&D Spenders in Europe(In USD billion)
R&D Spend 2014 R&D Spend 2020E
4%
-10%
0%
-9%
-3%
CAGR
West European countries like Germany, UK and France contribute to more than 85% of the R&D spend in Europe
Western Europe86%
Eastern Europe0.2%
Scandinavia8%
Western Europe: 163 Bn1. Automotive2. Telecommunication3. Aerospace & Defence
Eastern Europe: 0.4 Bn1. Automotive
Scandinavia: 16 Bn1. Telecommunication2. Automotive3. Industrial
2014 2020E
163 165
Southern Europe: 10 Bn1. Automotive2. Telecommunication3. Aerospace & Defence
Southern Europe5%
2014 2020E10 7
R&D Spend Growth(In USD billion)
R&D Spend Growth(In USD billion)
CAGR:0.2%
CAGR:-5%
2014 2020E
16
12
R&D Spend Growth(In USD billion)
CAGR:-4%
Europe - Regional Trends in R&D
Telecommunication companies lead R&D spending in China; however, Consumer/Web 2.0 and E-commerce vertical is on a rise
2012 2013 2014 2020E
18 21 26
80
1.45% 1.54% 1.86%
Total Global 500 R&D Spend X% R&D Spend as a % of revenue
G500 R&D Spend in China(In USD billion)
CAGR:20.3%
Industrial
Automotive
Energy & Utility
Consumer / Web 2.0 and E-Commerce
Telecommunication
1
11
3
41
14
1
1
3
1
6
1 Huawei Technologies USD 6.6 Bn
2 Petrochina USD 2.1 Bn
3 ZTE USD 1.5 Bn
4 Tencent USD 1.2 Bn
5 Baidu USD 1.1 Bn
1 Ctrip.com International 82%
2 Baidu 66%
3 Qihoo 360 Technology 59%
4 Great Wall Motor 48%
5 Sohu.com 48%
Highest R&D Spenders Highest Growth in R&D Spend New Entrants1. Semiconductor Manufacturing International
Vertical Split of G500 R&D Spenders in China(In USD billion)
R&D Spend 2014 R&D Spend 2020E
13%
84%
-4%
42%
9%
CAGR
Companies based out of Beijing, Shanghai and Shenzhen contribute to more than 95% of the total R&D spending in China
EastChina
1%
West China: .5 Bn1. Automotive2. Energy & Utility
South Central Region: 12 Bn1. Telecommunication2. Automotive3. Consumer/Web 2.0 & E-Commerce
2014 2020E1 1
North China: 13 Bn1. Transportation2. Energy & Utility3. Consumer/Web 2.0 & E-Commerce
North China50%
2014 2020E13
43
R&D Spend Growth(In USD billion)
R&D Spend Growth(In USD billion)
CAGR:5%
CAGR:22%
2014 2020E
1234
R&D Spend Growth(In USD billion)
CAGR:18%
West China2%
South Central China47%
East China: .25 Bn1. Automotive
China - Regional Trends in R&DMajor Hotspots in China
Beijing
ShanghaiShenzhen
Japan’s R&D spending is on a rise this year with companies increasing R&D spending across verticals
2012 2013 2014 2020E
118
93 99
604.66% 4.67%4.37%
Total Global 500 R&D Spend X% R&D Spend as a % of revenue
G500 R&D Spend in Japan(In USD billion)
CAGR:-8%
Medical Devices
Industrial
Computer Peripherals and Storage
Consumer Electronics
Automotive
3
2
3
10
24
2
4
6
21
30
1 Toyota Motor USD 8.8 Bn
2 Honda Motor USD 5.8 Bn
3 Nissan Motor USD 4.9 Bn
4 Panasonic USD 4.6 Bn
5 Sony USD 4.5 Bn
1 Nintendo 37%
2 Koito Manufacturing 26%
3 Toyota Industries 25%
4 Hoya 24%
5 Daikin Industries 22%
Highest R&D Spenders Highest Growth in R&D Spend New Entrants
1. Hoya
2. Santen Pharmaceutical
3. Tokai Rika
4. JSR Corporation
Vertical Split of G500 R&D Spenders in Japan(In USD billion)
R&D Spend 2014 R&D Spend 2020E
-3%
-11%
-10%
-12%
7%
CAGR
Agenda
01
02
03
Global 500 R&D Spender Landscape
Vertical R&D Trends
Regional R&D Trends
Companies from the Consumer / Web 2.0 & E-Commerce vertical have significantly increased their R&D spending
1 Volkswagen 0%
2 Toyota Motor 15%
3 General Motors 3%
4 Ford Motor 8%
5 Robert Bosch -4%
1 Samsung Electronics -3%
2 LG 5%
3 Panasonic -3%
4 Sony 1%
5 Toshiba 10%
1 Microsoft 9%
2 IBM -5%
3 Oracle 6%
4 SAP -10%
5 VMware 15%
1 Intel 9%
2 Qualcomm 10%
3 Broadcom -5%
4 Taiwan Semiconductor 12%
5 Foxconn Technology -1%
1 Huawei Technologies 26%
2 Cisco Systems 6%
3 Ericsson -7%
4 Alcatel-Lucent -14%
5 NTT -5%
1 Google 38%
2 Amazon.com 41%
3 Facebook 88%
4 eBay 13%
5 Tencent 45%
1 3M 3%
2 ABB 2%
3 Vale -8%
4 Schneider -3%
5 TE Connectivity 0%
1 Airbus Group -4%
2 Boeing -1%
3 Safran -3%
4 BAE Systems 22%
5 Finmeccanica -11%
1 Petrochina -10%
2 Total 7%
3 Royal Dutch Shell -7%
4 Schlumberger 4%
5 Petroleo Brasiliero -3%
1 Medtronic -5%
2 Baxter International 22%
3 Boston Scientific -5%
4 St Jude Medical 0%
5 Thermo Fisher Scientific 75%
AutomotiveConsumer Electronics
Enterprise Software & Enterprise 2.0Semiconductor Telecommunication
Consumer / Web 2.0 & E-Commerce Industrial
Aerospace & Defence Energy & Utility Medical Devices
USD 109 Bn USD 46 Bn USD 37 BnUSD 51 Bn USD 42 Bn
USD 34 Bn USD 20 BnUSD 21 Bn USD 18 Bn USD 11 Bn
1 Apple 35%
2 Hewlett-Packard 10%
3 EMC 8%
4 Canon -11%
5 Western Digital 6%
Computer Peripherals and Storage
USD 27 Bn
2% 7% 1% 5%
35%2% 6% 1%
0%
0%0%
USD XX Bn X%Y% Z%Total Vertical R&D spend 2014
% Increase in R&D spend over 2013
% decrease in R&D spend over 2013
No change in R&D spend from 2013
Companies from Hi-Tech verticals like Software, Internet and Semiconductor have an average R&D intensity of more than 10%
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ommun
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Aerosp
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Automoti
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Compu
ter P
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and S
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Indus
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Energy
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tility
0%
2%
4%
6%
8%
10%
12%
14%
16%
14%
12%
10%
7%
6%6%
5% 5%4% 4%
2%
0%
2012 2013 2014
R&D Intensity Analysis
Automotive
Telecommunication
Consumer Electronics
Enterprise Software & Enterprise 2.0
Consumer / Web 2.0 and E-Commerce
Aerospace and Defence
Medical Devices
Industrial
Computer Peripherals and Storage
Semiconductor
Energy and Utility
2012 2013 2014
103
106
109
Total Global 500 R&D Spend X% R&D Intensity*
4.26%
4.30%4.29%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
19
53
07
30
Regional R&D Spending(In USD billion)
1 Volkswagen USD 14 Bn
2 Toyota Motor USD 8.8 Bn
3 General Motors USD 7.4 Bn
4 Ford Motor USD 6.4 Bn
5 Robert Bosch USD 6.3 Bn
1 Tesla Motors 100%
2 Great Wall Motor 48%
3 Mahle 44%
4 Byd Co Ltd-H 42%
5 Dongfeng Motor 40%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
23/60
1. Tokai Rika
2. Federal-Mogul
Top Countries
1. Germany
2. Japan
3. USA
Automotive Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
46
48
51
Total Global 500 R&D Spend X% R&D Intensity*
11.64%
11.82%
11.70%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
34
52
83
Regional R&D Spending(In USD billion)
1 Intel USD 11.5 Bn
2 Qualcomm USD 5.5 Bn
3 Broadcom USD 2.4 Bn
4 Taiwan Semiconductor USD 1.8 Bn
5 Foxconn Technology Group USD 1.5 Bn
1 Avago Technologies 75%
2 Mediatek 55%
3 Imagination Technologies 49%
4 Micron Technology 47%
5 SK Hynix 40%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
16/47
1. Qorvo
2. Imagination Technologies
3. Semiconductor Manufacturing Int'l (ADR)
Top Countries
1. USA
2. Taiwan
3. Netherlands
Semiconductor Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
41.341.2
41.5
Total Global 500 R&D Spend X% R&D Intensity*
4.38%
5.01%5.12%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
15 15
0
9
3
Regional R&D Spending(In USD billion)
1 Huawei Technologies USD 6.6 Bn
2 Cisco Systems USD 6.3 Bn
3 Ericsson USD 4.7 Bn
4 Alcatel-Lucent USD 2.7 Bn
5 NTT USD 2.4 Bn
1 Arris 31%
2 F5 Networks 26%
3 Huawei Technologies 26%
4 ZTE 19%
5 AT&T 16%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
13/31
Top Countries
1. USA
2. China
3. Sweden
None
Telecommunication Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
44.8
45.6 45.6
Total Global 500 R&D Spend X% R&D Intensity*
5.67%
6.29% 6.23%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
2 1 0
20 21
Regional R&D Spending(In USD billion)
1 Samsung Electronics USD 14 Bn
2 LG USD 8.8 Bn
3 Panasonic USD 7.4 Bn
4 Sony USD 6.4 Bn
5 Toshiba USD 6.3 Bn
1 Nintendo 37%
2 Alps Electric 18%
3 Sega Sammy 10%
4 Toshiba 10%
5 Garmin 8%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
10/27
Top Countries
1. Japan
2. South Korea
3. USA
None
Consumer Electronics Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
33
35
37
Total Global 500 R&D Spend X% R&D Intensity*
9.99%
10.10%10.21%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
31
60 0 0
Regional R&D Spending(In USD billion)
1 Microsoft USD 11.3 Bn
2 IBM USD 5.4 Bn
3 Oracle USD 5.1 Bn
4 SAP USD 2.8 Bn
5 VMware USD 1.2 Bn
1 Salesforce.com 45%
2 NCR 30%
3 Red Hat 21%
4 Verifone Systems 18%
5 CA 17%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
6/29
1. Teradata
2. Verifone Systems
Top Countries
1. USA
2. Germany
3. Spain
Enterprise Software & Enterprise 2.0 Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
2125
34
Total Global 500 R&D Spend X% R&D Intensity*
12.00%12.55%
14.06%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
30
1 04
0
Regional R&D Spending(In USD billion)
1 Google USD 9.8 Bn
2 Amazon.com USD 9.2 Bn
3 Facebook USD 2.6 Bn
4 eBay USD 2 Bn
5 Tencent USD 1.2 Bn
1 Facebook 88%
2 Ctrip.com International 82%
3 Baidu 66%
4 Qihoo 360 Technology 59%
5 Sohu.com 48%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
8/19
Top Countries
1. USA
2. China
3. France
None
Consumer / Web 2.0 and E-Commerce Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
33 33
27
Total Global 500 R&D Spend X% R&D Intensity*
4.52%4.71%
3.95%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
16
10
36
Regional R&D Spending(In USD billion)
1 Apple USD 6 Bn
2 Hewlett-Packard USD 3.5 Bn
3 EMC USD 3 Bn
4 Canon USD 2.6 Bn
5 Western Digital USD 1.7 Bn
1 Apple 35%
2 Synaptics 33%
3 Lexmark 24%
4 Lenovo 17%
5 Realtek Semiconductor 11%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
7/25
1. SynapticsTop Countries
1. USA
2. Japan
3. Taiwan
Computer Peripherals & Storage Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
21.1
21.3
21.4
Total Global 500 R&D Spend X% R&D Intensity*
4.78%
4.70%
4.85%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
7
14
0 0 0
Regional R&D Spending(In USD billion)
1 Airbus Group USD 4.1 Bn
2 Boeing USD 3 Bn
3 Safran USD 2.4 Bn
4 BAE Systems USD 2.1 Bn
5 Finmeccanica USD 1.9 Bn
1 BE Aerospace 29%
2 BAE Systems 22%
3 Bombardier Inc 18%
4 General Dynamics 15%
5 Rolls-Royce 13%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
6/19
NoneTop Countries
1. USA
2. Netherlands
3. France
Aerospace & Defence Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
22.7
20.219.8
Total Global 500 R&D Spend X% R&D Intensity*
2.22%
2.15%
2.24%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
5
9
1 1
4
Regional R&D Spending(In USD billion)
1 3M USD 1.7 Bn
2 ABB USD 1.5 Bn
3 Vale USD 0.7 Bn
4 Schneider USD 0.7 Bn
5 TE Connectivity USD 0.7 Bn
1 Shanghai Electric 39%
2 Trumpf 24%
3 Daikin Industries 22%
4 Atlas Copco 14%
5 Kubota 14%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
2/50
1. Tyco International
2. Microsemi
3. Molex
4. Yue Yuen Industrial
Top Countries
1. USA
2. Japan
3. Switzerland
Industrial Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
19
20
18
Total Global 500 R&D Spend X% R&D Intensity*
0.44%0.48%
0.49%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
5
7
2
4
0
Regional R&D Spending(In USD billion)
1 Petrochina USD 2.1 Bn
2 Total USD 1.4 Bn
3 Royal Dutch Shell USD 1.2 Bn
4 Schlumberger USD 1.2 Bn
5 Petroleo Brasiliero USD 1.1 Bn
1 CNOOC Limited 39%
2 Baker Hughes 10%
3 Weatherford International 9%
4 Alstom 8%
5 Total 7%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
7/29
NoneTop Countries
1. USA
2. France
3. China
Energy & Utility Vertical: Summary
Industrial
Telecommunication
Enterprise Software & Enterprise 2.0
Semiconductor
Aerospace and Defence
Energy and Utility
Medical Devices
Automotive
Computer Peripherals and Storage
Consumer / Web 2.0 and E-Commerce
Consumer Electronics
2012 2013 2014
10.8
11.5 11.4
Total Global 500 R&D Spend X% R&D Intensity*
6.25% 6.34%
7.30%
R&D Spending Growth(In USD billion)
North Amer-ica
Europe RoW APAC Japan
8
2
0 0
2
Regional R&D Spending(In USD billion)
1 Medtronic USD 1.5 Bn
2 Baxter international USD 1.1 Bn
3 Boston Scientific USD 0.8 Bn
4 St Jude Medical USD 0.7 Bn
5 Thermo Fisher Scientific USD 0.7 Bn
1 Thermo Fisher Scientific 75%
2 Hoya 24%
3 Baxter International 22%
4 Cerner 18%
5 Stryker 15%
Highest R&D Spenders
Highest Growth in R&D Spend
New Entrants
Billion Dollar R&D Spenders/Total Companies
2/24
1. HoyaTop Countries
1. USA
2. Japan
3. Germany
Medical Devices Vertical: Summary
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