$1 Trillion For Global R&D In 06
The annual study completed by Battelle and R&D Magazine states estimates to exceed $1 trillion next year in global research and development. The statistics show the U.S. as the largest single player but Asia as a whole moving up past the U.S. and the Americas.
The study had the U.S. estimated at $320.70 billion, China at $139.63 billion and Japan at $126.40 billion in the coming year for R&D spending. When listed continentally, however, Asia topped out at $404.34 billion overall and the Americas hit $379.96 billion.
China had the largest increase for the last two years. In 2004 to 2005, they climbed $16.56 billion to 125.49 and this year they climbed $14.14 billion to the 139.63 mark. The R&D total represents 1.50% of their GDP.
In contrast, the U.S. spends a lot more across the board but had smaller increases. The U.S. increased spending from ’04 to ’05 to $312.29 billion, up $10.7 billion. From ’05 to ’06, there was only an $8.50 billion increase and this represents 2.70% of the GDP.
The study examined the globe for R&D trends and one they picked up on is the amount of R&D done offshore by the U.S., the UK and Europe and much of that R&D budget is heading to China, India, Japan and the rest of Asia. The problem some might see is these countries are also investing heavily in their own R&D so they could end up with a decided edge in the future.
As more and more industry becomes concentrated in both China and India, it stands to reason that much more development would go their way. The problem some would argue though is that internally, in the U.S., there seems not only to be a loss R&D but a shortage of minds to fuel it.
John Stith is a staff writer for WebProNews covering technology and business.