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Analysts believe that Apple spends little money on research and innovation

Bernstein analyst Toni Sacconaghi said that Apple spends little mon ey on research and development, reports Phone Arena. In 2017 Apple has allocated 11.6 billion dollars on research and development.Last year, Apple spent on research more money than at any time in the period from 1998 to 2011. Just then came the iPod, iPhone and iPad. Undoubtedly, Apple allocates large sums of money on R & d, but if you compare this amount to its income, the picture is not so impressive.

Apple spends on research and development work only 2 per cent of their available funds. For comparison, other technology companies, the figure is 25 percent. However Sacconaghi did not mention the names of these companies.

If you compare the cost of Apple’s R & d with its income, the situation is not getting better 5.1 percent. While other companies with the same gross profit spent on research by 10 percent of their income.

Sacconaghi believes that Apple should spend more money on scientific research to catch up with competitors. It is necessary to increase the range of products and improve the quality of services.

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