EU Industrial R&D Investment Scoreboards 2011

Pharmaceuticals & Biotechnology, Technology Hardware & Equipment andAutomobiles & Parts– account for 50.8% of the total R&D investment by theScoreboard companies; the top 6 and top 15 sectors constitute, respectively,70.0% and 91.8% of the total R&D in the Scoreboard. Some differences in theconcentration of R&D by industrial sector are observed over the years. From2004 to 2010, the share of the top 3 sectors changed from 55.3% to 50.8% andthat of the top 15 sectors from 94.0% to 91.8%Over the last year, the ranking of the top 15 sectors has changed: The IndustrialEngineering sector took over the 8 th position from the Leisure Goods sector(now 9 th ), the Health Care Equipment & Services and Bank sectors bothimproved one rank (now in position 11 th and 14 th respectively).The sector with the largest investment in R&D remains the Pharmaceuticals &Biotechnology sector which increases slightly its R&D share of the total R&Dinvestment, at 19.1%. It is followed by the Technology Hardware & Equipmentsector with a share of 16.6% (down from 17.2% last year) and the Automobile &Parts sector with 15.0%.By region, companies' share of R&D investment in the top 6 sectors evolved asfollows: EU companies increased their share in Automobiles & Parts, Software& Computer Services, Industrial Engineering and Aerospace & Defence anddecreased its share in Pharmaceuticals & Biotechnology, Technology Hardware& Equipment and Chemicals. US companies increased slightly their share inPharmaceuticals & Biotechnology and Automobiles & Parts and decreased alittle their share in Technology Hardware & Equipment and Software &Computer Services. The Japanese companies increased their share inPharmaceuticals & Biotechnology and Software & Computer Services anddecreased their share in Technology Hardware & Equipment, Automobiles &Parts and Electronic & Electrical Equipment. It is interesting to compare thechange of R&D sector shares over a longer period. For example, over the past8 years, the R&D share of the Pharmaceuticals & Biotechnology companiesincreased in the EU from 12% to 18% and in the US from 18% to 25%. Over thesame period, the R&D share of the Automobiles & Parts companies remainedconstant in the EU, around 23% whereas in the US it decreased from 16% to8%.As observed in previous Scoreboards, despite the economic crisis, hasremained rather static, reflects the different industrial structures of the regionsand is very different in the four groups of companies. The contribution to thetotal Scoreboard R&D by the EU companies is 50.5% to Aerospace & Defence,43.7% to Automobiles & Parts and 36.2% to Chemicals sectors; the UScontributes 69.1% to Software and Computer Services, 49.6% to TechnologyHardware & Equipment and 44.7% to Pharmaceuticals; Japan contributes35.2% to Chemicals and 34.5% to Automobiles & Parts; and the OC companiescontribute 38.7% to the Electronic & Electric Equipment sector.The 5 most R&D intensive sectors (Pharmaceuticals & Biotechnology,Hardware Technology & Equipment, Software & Computer Services, LeisureGoods and Health Care Equipment & Services), all with an average R&Dintensity of over 6%, contribute to 68.6% of the total R&D for the US, 45.3% forthe OC group, 39.4% for Japan and 34.3% for the EU companies.R&D growth by industrial sector30The 2011 EU Industrial R&D Investment Scoreboard