Moscow, August 5 “News. Economy” In the third quarter of 2019, which ended June 29, 2019, Apple has invested in research for their future products more than $4.2 billion. The company plans to spend in this area more than $16 billion for the whole of 2019. This is a record figure since 2003.
According to the form 10-Q costs, Apple on research and development has reached eight percent of revenue, and this is the highest value in specific terms since 2003.
Analysts believe that Apple is seriously invested in the development of new technologies due to falling iPhone sales. The main product of the company was rapidly losing the leading position, therefore, Apple is seeking to re-release an innovative model.
However, the profitability of the business Apple which allows us not only to accumulate tremendous free cash and retain a fraction of the cost of the study at a minimum level relative to revenues, if you compare with other companies. For example, Microsoft in the last quarter, this ratio reached 13.4%, and Google is 15.7%.
CFO of Apple at the recent reporting the event said that the trend of increasing costs developments will continue in the future.
As far as we know, Apple is currently working on several promising areas. The company is developing the first ARM processor for the Mac, and is also involved in projects in the field of augmented or virtual reality.
Also, the Corporation is interested in the automotive field. There is information that Apple has long worked on the ambitious project, dubbed Project Titan.
Copertina getting ready to release their own modems with support of networks of the fifth generation — this cost will also be reflected in future spending on research and development.
Apple has long thought about the need to reduce dependence on Qualcomm. Trial of Cupertino with the giant chip maker, scandals and the search for compromise solutions — all this became a strong incentive to search for alternative solutions.
It was the purchase of a modem unit of the American ciminera Intel. The subject of the transaction are equipment, intellectual property and 2200 employees. For all that Apple paid $1 billion the transaction is Expected to be completed in the fourth quarter of 2019.
It is expected that the deal with Intel will help Apple to create a 5G modems for the iPhone, and in 2020 can receive the MacBook, whose 5G modems will use ceramic antenna modules.
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