Alphabet, the parent company of Google, has spent the most money – 23 billion euros – on research and development, according to the 2020 EU dashboard on investments in industrial R&D.
The 2020 EU Industrial R&D Investment Scoreboard, a publication of the European Commission, analyzed the 2,500 companies investing the most in research and development in the world in 2019. It found that R&D in the ICT, healthcare and automotive sectors increased for the 10th consecutive year.
Europe-based companies increased research and development by 5.6 percent, US-based companies 10 percent, and Chinese companies 21 percent.
Alphabet, which is headquartered in Mountain View, Calif., Has been the biggest spendthrift in R&D since 2017, according to the European Commission.
In October of last year, Alphabet reported third-quarter net profit of US $ 11.25 billion, compared with US $ 7.07 billion a year earlier. Revenues rose 14 percent to US $ 46.17 billion, from US $ 40.50 billion the previous year.
Alphabet CEO Sundar Pichai, commenting on the bottom line, said it was “a testament to the deep investments we have made in artificial intelligence and other technologies, to deliver services that people turn for help, in times big and small.
The company reported YouTube revenue of $ 5.04 billion, Google Cloud revenue of $ 3.44 billion, and other revenue of $ 5.48 billion, which among others includes the Google Play Store and YouTube sales without ads.
Microsoft has spent the second most money on R&D and is also reaping dividends, with its stock doubling in price since late 2018.
The company co-founded by Bill Gates, which today announced it will release second-quarter results on Jan. 26, reported first-quarter revenue of US $ 37.2 billion. Net profit of US $ 13.9 billion has grown by 30% every year.
Huawei, headquartered in Shenzhen, China, dropped from two places to third on the “EU Industrial R&D Investment Scoreboard”.
“The EU confirms that Huawei is now among the top three innovative global companies. To preserve the European way of life for its future generations, Europe will have to use the best technologies and innovations. Huawei is ready to team up with Europe for a common future, ”said Abraham Liu, Huawei’s senior representative to EU institutions, in a statement.
Huawei opened its first research center in Sweden in 2000. Through a series of partnerships with more than 150 European universities, Huawei is deeply rooted in the ecosystem of ICT research in Europe. Through this collaborative research activity, Huawei is making Europe fit for the digital age, the company added.
According to the EU’s Joint Research Center, the top 15 companies, with categories and funds spent on R&D, are:
• Alphabet, software and IT services, 23.2 billion euros
• Microsoft, software and IT services, € 17.1 billion
• Huawei, technological equipment and equipment, 16.7 billion euros
• Samsung, electronic and electrical equipment, 15.5 billion euros
• Apple, hardware and technological equipment, 14.4 billion euros
• Volkswagen, automobiles and spare parts, 14.3 billion euros
• Facebook, software and IT services, 12.1 billion euros
• Intel, technological hardware and equipment, 11.9 billion euros
• Roche, pharmaceuticals and biotechnology, 10.7 billion euros
• Johnson & Johnson, pharmaceuticals and biotechnology, 10.1 billion euros
• Daimler, automobiles and spare parts, € 9.6 billion
• Toyota, automobiles and parts, 9 billion euros
• Merck, pharmaceutical and biotechnology, € 8.2 billion
• Novartis, pharmaceutical and biotechnology, 7.7 billion euros
• Gilead Sciences, pharmaceuticals and biotechnology, 7.3 billion euros