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Parts Makers Flex Muscle on R&D to Create New Businesses

Japanese electronic components manufacturers are on a roll to accelerate further research and development (R&D) for FY2016 in a bid to create new businesses. Companies are aiming to advance pioneering development, and set sights on technological innovations to stir new business in the field of highly functional mobile devices, automotive, industrial equipment, and infrastructure.

Table: R&D expenses of leading electronic components manufacturers (Unit: ¥Billion)
Table 1: R&D expenses of leading electronic components manufacturers (Unit: ¥Billion)

In recent years, the business of components markets in smartphones, which used to be a major market, has started slowing down and companies have been ramping up R&D to cultivate new markets. Many manufacturers have been increasing R&D expenses based on their medium- to long-term perspectives. Sector wise, manufacturers have been stepping up R&D to complement demands in the automotive and industrial equipment fields based on their medium- to long-term perspectives while aiming to develop new devices that will enhance even further the functions being offered by present-day smartphones. In automotive electronics, companies place importance on technological innovations in advanced driver assistance systems (ADAS) and autonomous driving. Efforts have been focused meanwhile on R&D targeting the creation of new demand in industrial sector focusing on Internet of Things (IoT).

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