Trade Resources Economy Intel's R&D Spending Rose 20%, While Samsung's Stood at 8% During 2012

Intel's R&D Spending Rose 20%, While Samsung's Stood at 8% During 2012

Intel's R&D spending rose 20%, while Samsung's stood at 8% during 2012

Semiconductor R&D spending has increased 7% to $53bn in 2012, despite weak a semiconductor market. The semiconductor market fell 1% to $317.6bn last year.

According to a new report by IC inslights, the rise in R&D spending by chip manufacturing firms made up 16.7% of all semiconductor sales during the year.

This has been the highest level since its growth of 17.5% in 2009 and 2010.

The report also reveals that the rise in R&D spending as a percentage of total semiconductor sales was mainly due to an increase in costs related to the development of complex IC designs and next-generation process technologies for manufacturing circuits.

Chip R&D Spending Reaches $53bn in 2012: Report

During the period, Samsung's R&D-to-sales ratio declined from 25% in 2001 to 8% in 2010 and has been falling since. However, Intel's investment in R&D rose to 20% of sales, representing seven times more than Qualcomm.

Samsung has been focusing its investments on adding new fab capacity for large-diameter wafers, which currently manufactures 300mm.

The study also revealed that Intel has invested about one-third of the combined $28.7bn spent by the top-10 R&D investors in 2012.

Source: http://microelectronics.cbronline.com/news/despite-weak-market-semiconductor-rd-spending-reaches-53bn-in-2012-report-060213
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Chip R&D Spending Reaches $53bn in 2012: Report