Feeds

Peak Apple: Cupertino belatedly spends some money on R&D

Jobsian diktat 'innovation nothing to do with R&D' binned

Secure remote control for conventional and virtual desktops

Apple is ploughing more cash into research and development ahead of new product launches expected in the coming 12 months.

Cupertino shelled out a hefty $1.19 billion on R&D in the first three months of this year; an increase of 41 per cent on the $841 million it spent in the same period last year.

If the pattern continues, Apple will spend something in the region of $4bn on R&D this year in the hope of struggling free of a general malaise in the company's fortunes that is already being dubbed Peak Apple*. By comparison, Microsoft spent $9.6bn on R&D in 2011.

When Tim Cook announced Apple’s annual profit results earlier this week, he promised “amazing new hardware, software, and services” would be released this autumn through to 2014.

“We’ve got a lot more surprises in store,” he promised.

Cook has failed to unveil any major new product lines since taking over from Steve Jobs in 2011, instead relying on new versions of old favourites. Since then he has announced the iPhone 4S and 5, as well as the iPad Mini.

He also presided over the disastrous launch of Apple Maps, watched the fruity firm's stock prices slump and profit growth slow to the lowest point in a decade.

Cupertino said the increase in spending would fund a “increase in headcount” and “expanded R&D activities”.

Apple has historically been a stingy spender on R&D, spending just 2.5 per cent of its revenue on research compared to Google’s 13 per cent.

Steve Jobs famously believed that “innovation has nothing to do with how many R&D dollars you have” and tried to foster the sort of focused creativity exhibited by start-ups. ®

*By us, anyway

Intelligent flash storage arrays

More from The Register

next story
Bladerunner sequel might actually be good. Harrison Ford is in it
Go ahead, you're all clear, kid... Sorry, wrong film
Musicians sue UK.gov over 'zero pay' copyright fix
Everyone else in Europe compensates us - why can't you?
I'll be back (and forward): Hollywood's time travel tribulations
Quick, call the Time Cops to sort out this paradox!
Megaupload overlord Kim Dotcom: The US HAS RADICALISED ME!
Now my lawyers have bailed 'cos I'm 'OFFICIALLY' BROKE
Euro Parliament VOTES to BREAK UP GOOGLE. Er, OK then
It CANNA do it, captain.They DON'T have the POWER!
Forget Hillary, HP's ex CARLY FIORINA 'wants to be next US Prez'
Former CEO has political ambitions again, according to Washington DC sources
prev story

Whitepapers

Seattle children’s accelerates Citrix login times by 500% with cross-tier insight
Seattle Children’s is a leading research hospital with a large and growing Citrix XenDesktop deployment. See how they used ExtraHop to accelerate launch times.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
How to determine if cloud backup is right for your servers
Two key factors, technical feasibility and TCO economics, that backup and IT operations managers should consider when assessing cloud backup.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Business security measures using SSL
Examines the major types of threats to information security that businesses face today and the techniques for mitigating those threats.