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Monday24 January 2022

Apple increasing their investments in research and development

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Apple has increased its investment this year in research and development by 40%, but still lags behind competing technology companies. According to information published in Apple's annual report, the company has spent in its fiscal 2012 $3.4 billion on research and development of which is $952 million or 39% more than last year. In 2011, Apple spent $2.4 billion on research and development making it 36% higher than a year earlier.

Although research and development spending at Apple has increase, the share of the company's revenue that is represents still remained very low at about 2%. Apple spending associated with research and development teams attract analysis concern because they invest in these fields much less than major competitors. For example, Microsoft in its fiscal 2012 spent $9.8 billion the Research and Development while Google spent 5.2 billion dollars.
In its report, Apple said that the company believes that focused investments in research and development are necessary for future growth and to keep a competitive position in the market. These investments are directly associated with the development of new and improved products within the stipulated time.

[Ed – As we have said before Apple’s image as an innovator and a company that spares no expense to provide their customers the best product is crumbling. Despite making mountains of cash they have put very little into developing new products for their customers. It is a fact that is becoming clearer with each new launch. We stated at the beginning of the year that Apple would have a rough time in 2012-2013 simply because so much was coming out about the company that once kept everything so secret…]

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Last modified on Friday, 02 November 2012 22:04

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