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Wednesday, December 29, 2010

Global R&D Forecast 2011

Global research and development (R&D) spending is expected to increase by 3.6 percent in 2011 to $1.2 trillion, according to the closely watched Battelle-R&D Magazine 2011 Global R&D Forecast.
R&D Megatrends
• Globalization increasingly is narrowing the R&D gap between countries.
• The U.S. still leads all countries by funding one-third of global R&D.
• China has overtaken Japan as the second highest funder of global R&D.
ICT R&D Trends
Current hardware technology development is responding to growth in a number of areas including cloud computing, Internet servers, mobile computing, wireless, integrated power supplies, satellite-based communications, flexible circuits and displays, multiple-core processors, carbon nanotube circuits, printed circuits and more.
The software industry’s spending on R&D slowed during the recent recession but is projected to see increases in 2010 and 2011. The increase is driven, in part, by the increased adoption of embedded control and interface software in a wide range of applications. Sectors increasingly relying on more software to simulate, design, operate and control products, systems and manufacturing procedures include the telecom, automotive, energy, pharmaceutical, banking and finance, and aerospace and defense industries.
Defense & Security Trends
No segment has a stronger connection to public R&D investment than aerospace, defense and national security. In the past, defense budgets have been minimally affected during periods of budgetary constraints, but this is about to change. Many factors are aligning to change the level and focus of defense spending in the future, including significant budget deficits, the growing federal debt crisis and related scrutiny of discretionary spending like R&D, the sluggish economy, the changing status of the Iraq and Afghanistan wars, and the evolving nature of U.S. defense activities in general. More info.

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