Report: Samsung is the second-biggest R&D spender in the world for 2014, Apple not in Top 20

Report: Samsung is the second-biggest R&D spender in the world for 2014, Apple not in Top 20
A recent research informs us that Samsung, the rather-troubled, yet still-dominant smartphone maker, smokes all of its rivals when it comes to R&D expenses - just in 2014, the South Korea-based giant has reportedly spent some $13.4 billion in 2014 for the research and development of new technologies. 

Samsung is the biggest spender among the IT-oriented companies when it comes to innovations and holds the second spot among all global companies, surpassed only by the Volkswagen corporation. This was revealed in a research conducted by the Strategy& analyst company, which sorts global companies in accordance to how much they've spent on research and development for the year. 

Interestingly enough, Sammy has kept its top-tier spot for a second consecutive year - back in 2013, it was once again the biggest spender among the IT-related manufacturers, having spent $10.4 billion. Intel, one of the larger chipset manufacturers, comes in third thanks to the $10.6 billion it has spent on R&D in 2014.The only other IT-centric companies that have made their way to Strategy&'s 2014 R&D report are Microsoft and Amazon, residing on the 4th and the 14th spots, respectively. On the other hand, Apple, Samsung's gravest enemy on the market, is nowhere to be seen in the big R&D spenders' list.

Samsung debuted some rather innovative devices in 2014 - the Galaxy Note Edge with its intriguing display immediately pops into mind. Hopefully, the giant will be able to enjoy the fruits of its R&D labor in 2015, a year that will certainly be of great importance for the troubled manufacturer's well-being on the smartphone market.


source: Strategy& via SamMobile

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50 Comments

1. XperiaFanZone

Posts: 2277; Member since: Sep 21, 2012

This is not surprising at all.

3. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

This is what I have been saying all along. Apple is only worried about looks & ONLY looks. This is CLEARLY evident in the design flaws of the Apple iPhone 6 & 6 Plus. All the issues the iPhone 6 & 6 Plus suffer from could have been avoided with some R&D. For a HUGE multi-billion dollar corporation to not be in the top 10 not to mention the top 20 is inexcusable. That is why the iPhone 6 & 6 Plus look so pretty YET are as durable as paper in water. The iPhone 6 & 6 Plus are just bad. I mean from the horrible flash that is causing the reboots to the easy bending & how the plastic parts of the phones get discolored are all sure signs of poor R&D, if there was ever any R&D performed at all. Kudos to Samsung who actually makes a phone that is ergonomic & durable all at the same time, without skimping on battery life & features. +1

12. Martin_Cooper

Posts: 1774; Member since: Jul 30, 2013

You do realise Samsung produces home appliances, products for army, medical equipment and s**tloads of other stuff? Them being on no1 is kinda obvious and I am sure none of you clueless noobs have idea that not all that money goes for the mobile division which for samsung is a small part of its colossal business of many things.

13. marcski07

Posts: 600; Member since: Apr 25, 2014

exactly what i'm thinking, those r&d expenses are not all spent on mobile division, phonearena should concentrate on mobile division instead of the whole company itself if they try to compare other's r&d expenses.

25. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

Do you guys even read? Look at the information that the author is talking about... Where is the red thumbs down button when it's needed...? PhoneArena.com PLEASE bring back the red thumbs down again! Make it rise like a Phoenix. lol

33. HansGoneInsane unregistered

Yes, the author is not saying anywhere that Samsung spends $13 billions for R&D just for its mobile devision. But the article is misleading because it compares Samsung's complete R&D spending with the spending of pure IT related companies which can distort the information taken from the article if you don't pay attention.

51. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

How do you know this...?

14. jdoee100

Posts: 334; Member since: Jun 04, 2013

Flawed logic....Samsung was 18th in R&D spending only ten years ago, now it's 2nd. Moreover, Microsoft is similar to Apple, but Microsoft is 4th in R&D spending, and Apple is no where to be seen. Then again, it doesn't take too much money to patent rectangles with smooth edges, and bunch of prior art as new innovations.

22. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

Samsung tends to have high quality from their washers, refrigerators, to their mobile devices. Sure Samsung has lots of stuff to test & sure their R&D business must be BIG. I get all that & you make some good points. BUT... You do realize that the list the author provided CLEARLY says Samsung is #2 in Computing & Electronics, implying their Mobile business like Computers, Mobile Phones & Mobile Tablets... So we can assume "home appliances, products for army, medical equipment and s**tloads of other stuff" is not included. So maybe you might want to include yourself into the "clueless noobs" group you so cleverly coined, cause your whole post #12 is pretty noob'ish to me.

36. HansGoneInsane unregistered

You must be one of our rather simple minded forum members. The article clearly compares Samsung's complete R&D spending. Why do you think the article mentions that Volkswagen is ranked #1? They aren't a Computing & Electronics company. Please read carefully and think before you write.

50. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

You need to highlight the section you are looking at. Samsung is #1 in computing & #2 for total R&D in the world. Volkswagen is #1 in both Auto & World Wide. Really I need to read? Maybe you are the simple minded forum member? I mean seriously...

41. alaw.14

Posts: 412; Member since: Sep 10, 2013

You are right samsung is the largest tech company even bigger than apple. Its obvious why they make the most revenue. They have so many customers. Samsung is constantly spending money. I bet if they didnt spend all that money they could pass the 1 trillion mark in 5+ years.

47. heyhi

Posts: 137; Member since: Feb 19, 2013

Yeah, they are huge. In Korea they produce cars as well, their own brand.

27. icrappy

Posts: 42; Member since: Sep 19, 2014

this only proves how greedy is apple

21. jack123

Posts: 274; Member since: Jan 07, 2013

yeah! that's not suprise at all, because all those billions they had spend are not just for mobile division.

32. HildyJ

Posts: 329; Member since: Aug 11, 2012

The most directly comparable company to Apple is Microsoft. They both produce desktop and mobile OSs, PCs, phones, and apps/applications. MS is number 4, Apple isn't there. Apple rode the Apple 2 and Macintosh for years but now they're an also ran in PCs because they relied on the sizzle, not the steak. With an innovative iPhone 1, a lot of marketing, and a confining ecosystem, they're doing well in the mobile market at the moment. But Android is beating iOS by a mile (Google is #9 on the list) and most of the iPhone 6's "innovations" have been copied from Android phones. Then there's the iTunes case that could break down their walled system, not to mention the FBI raid in California investigating illegal iPad contracting practices. Don't be surprised if, in a few years, iPhones join Macs as niche products.

35. HansGoneInsane unregistered

What do you think did Apple spend to develop the iPhone 1? If I follow your logic, Apple must have been among the top R&D spenders the years before the launch of the iPhone, iPad maybe even the iPod, but they weren't. Developing a smartphone is cheap. If your Microsoft comparison was right, how come that Microsoft is performing so much worse than Apple even though they spend much more money on R&D than Apple for many years?

39. HildyJ

Posts: 329; Member since: Aug 11, 2012

What did Apple research and develop for the iPhone 1? Their innovation was the use of a capacitive (rather than resistive) screen which they bought and the replacement of a physical keyboard with a virtual keyboard which was available years earlier in WinXP and Palm OS. As far as why Apple is doing better than MS, they're better at marketing. MS is still, at heart, a company of nerds and geeks. Apple is a marketing machine with an accounting department that has tax dodges down to a science. If you want to use sales revenue or unit sales rather than profits, Windows beats OSX, Windows PCs beat OSX PCs, Android beats iOS, and Android phones beat iOS phones.

45. HansGoneInsane unregistered

To be honest, I don't think that Apple's success over Microsoft is so much about marketing. Apple simply had the right products ready earlier than Microsoft. iPod vs. Zune, iTunes Store vs. xBox Music, iPhone vs. Windows Phone, iPad vs. Surface. Mac OS X is the better OS than Windows but Windows is the de facto standard because Microsoft had the right products ready earlier than Apple in the 80ies (Microsoft Office). I think it is rather about right timing than marketing. With marketing you only defend what you've gained through innovation.

43. AnTuTu

Posts: 1580; Member since: Oct 14, 2012

Reason they supply parts for all iProducts lolz Kudos Sammy you deserve it :)

2. MSLumiaMeLove

Posts: 4; Member since: Nov 01, 2014

Apple don't even do any research or develop any innovations. They just copy and tell it as their own.

9. laughmi

Posts: 283; Member since: Oct 28, 2014

They don't tell. They Patent. All unjustifiable things they Patent. Morons. Sick Jobs Sick Cook.

4. itsdeepak4u2000

Posts: 3718; Member since: Nov 03, 2012

Great Sammy. Keep it up.

5. nh1402

Posts: 137; Member since: Oct 30, 2013

wow, LG aren't in the top 20. With there flexible cable battery, flexible displays, self healing back and who knows what else, is pretty surprising.

31. rockers123

Posts: 137; Member since: Sep 08, 2013

Because they are seriously copying Samsung

6. imnotascammer

Posts: 160; Member since: Aug 22, 2012

Yet, theyre always blatantly accused of copying things from others.. ..and why does people say they are a troubled company? They didnt hit what they were expecting, but theyre definitely making much more profit than any other Android OEM.

7. h27_Venom

Posts: 76; Member since: May 16, 2014

though we still have all bloated and laggy touchwiz same design language... since s3 And this doesnt necessarily mean they spend all that R & D money in developing smartphone They manufacture wide array electronic products....!!

23. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

I agree with you on the occasional lag, but TouchWiz on the S3 is WAY different than today's TouchWiz say on the S5 or the Note 4.

8. laughmi

Posts: 283; Member since: Oct 28, 2014

Why would Apple be in Top 20. It is not a true technology company. This company only focuses on how to patent normal good looking design so that other companies cannot make good looking devices and sue them and make money. They have copied even the chinese who are the biggest copy cats in the world. Due to the unfair support US courts have given to Apple they have become a pain in the ass for companies who really invent and innovate. What has Apple done for Technology NOTHING. Compare that with Google. Just harassing other companies unjustifiably by making rounded rectangular icons and rounded rectangular phones aren't going to help you long. You were bankrupt in the 1998 and soon would again be. RIP Apple RIP Cook's A$$

10. _PHug_

Posts: 481; Member since: Oct 11, 2011

R&D? How much R&D do they need to make the iPhone 6S & iPhone 6+S?

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