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Booz & Company Study Finds Top Corporate Spenders on R&D Boosted Investments to Nearly Half a Trillion Dollars in 2007
Date:10/21/2008

total R&D spending took place in those three home countries. Diversification of R&D in this industry is motivated by the desire to increasingly locate design efforts in fast growing, emerging auto markets like China and Eastern Europe. Additional study findings include:

The top 10 global R&D spenders in 2007 were, in descending order: Toyota, General Motors, Pfizer, Nokia, Johnson & Johnson, Ford, Microsoft, Roche Holding AG, Samsung Electronics and GlaxoSmithKline R&D spending among the Global Innovation 1000 ranged from the $8.4 billion spent by #1 Toyota to the $53.4 million spent by #1000 Dongbu Hiteck Co Ltd. (of Korea), a wide range that explains why the top 100 companies account for fully 63% of the total R&D spend of the Innovation 1000. Sales of the Global Innovation 1000 grew almost 12% to $13.2 trillion in 2006, two percentage points faster than R&D spending in 2006, representing a decline in R&D spending as a percentage of sales to 3.7%, from 3.8% in 2006, continuing a ten-year downward trend. North American-headquartered companies spent 4.8% of sales on R&D, flat compared with 2006, while Japanese-headquartered companies spent 3.6% of sales, down .1% from last year and European-headquartered companies spent 3.6%, up .2%. Booz & Company estimates that the Global Innovation 1000 accounts for 80% of 2007 total global corporate R&D spending of $613 billion. R&D spending growth accelerated in 8 of 10 industries examined, with health and consumer showing slower growth rates this year. The software and Internet industry had the highest level of R&D spending as a percentage of sales (13.6%), followed by healthcare (13.4%), and computers and electronics (7.0%). The chemicals and energy sector had the lowest R&D spending level, at just one percent. Booz & Company Global Innovation 1000: Study Methodology

Booz & Company identified the 1,000 public companies around the world that
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 Booz & Company Study Finds Top Corporate Spenders on R&D Boosted Investments to Nearly Half a Trillion Dollars in 2007 
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