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A look at Apple's R&D expenditures from 1995-2013

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Re: A look at Apple's R&D expenditures from 1995-2013

#41
post #23

Pie chart: The world's worst way to display time-series data. http://o.aolcdn.com/hss/storage/adam/2c59e6862a532820a9854bd...

It's natural to ask: "Of all R&D expenditures, what percentage came from each year?"

But if that is displayed as a line chart, that clearly displays the year-over-year differences. So if someone wants to ask "what is the overall trend of spending over the past five years?" that is nearly impossible with the pie chart.

Pie charts are by far one of the worst forms of graphs ever devised and should be killed off as a concept for good, as in, please remove this from Excel.

Re: A look at Apple's R&D expenditures from 1995-2013

#42

Not surprising, since most of the core R&D needed happens in the supply chain -- the fabs, the screen manufacturers, the battery makers, sensors, etc. If the iWatch for example, uses new curved battery tech or curved screen, that will have arisen mostly from the R&D done by their partners. With the acquisition of PA Semi, Apple does seem to be doing basic chip R&D now. But the industry as a whole would be no where wi…

Good insights. Apple didn't spend too much R&D money on its own innovation. It integrated all the great technologies together and produced a few best selling products.

Can you please reveal what the following technologies are coming from?

- Tablet (Palm Pilot?)

- Touch screen (HTC?)

- Battery

- Nano PCB technology

It's hard to believe the touch screen technology is suddenly improved and Apple used it for its success almost for free. In 2009, I was busy bidding touch screens on eBay, which were so dumb and expensive. Suddenly, everybody has one in hand. Magic!

The question is why those companies that created the technologies didn't profit that much? At least Apple's R&D expense should be sky-rocketing compared with the previous years when iPod touch and iPhone being released even if they didn't created the technologies.

Re: A look at Apple's R&D expenditures from 1995-2013

#44
post #42

Not surprising, since most of the core R&D needed happens in the supply chain -- the fabs, the screen manufacturers, the battery makers, sensors, etc. If the iWatch for example, uses new curved battery tech or curved screen, that will have arisen mostly from the R&D done by their partners. With the acquisition of PA Semi, Apple does seem to be doing basic chip R&D now. But the industry as a whole would be no where wi…

Good insights. Apple didn't spend too much R&D money on its own innovation. It integrated all the great technologies together and produced a few best selling products. Can you please reveal what the following technologies are coming from? - Tablet (Palm Pilot?) - Touch screen (HTC?) - Battery - Nano PCB technology It's hard to believe the touch screen technology is suddenly improved and Apple used it for its success…

WAT?

Re: A look at Apple's R&D expenditures from 1995-2013

#45
post #38

Pie chart: The world's worst way to display time-series data. http://o.aolcdn.com/hss/storage/adam/2c59e6862a532820a9854bd...

For the statisticians and data scientists in the room : do pie charts ever have a valid use case (as defined by being superior to another form of visualization)?

Of course. Pie charts look natural and easy to comprehend when visualizing things like market share of certain products, for example browser market share (http://www.netmarketshare.com/browser-market-share.aspx?qpri...). In fact I'd argue that that's a much better representation than a bar chart, like http://www.w3counter.com/globalstats.php, because the former makes it easier to comprehend roughly what proportion of the total market each browser represents, which is not as straightforward to see in a bar chart (in bar chart it's only easy to see how different browser market shares compare to each other). So yes, pie charts may be appropriate at times, although I agree that it's a poor choice in this particular case, as the root comment explains.

Re: A look at Apple's R&D expenditures from 1995-2013

#46

Not surprising, since most of the core R&D needed happens in the supply chain -- the fabs, the screen manufacturers, the battery makers, sensors, etc. If the iWatch for example, uses new curved battery tech or curved screen, that will have arisen mostly from the R&D done by their partners. With the acquisition of PA Semi, Apple does seem to be doing basic chip R&D now. But the industry as a whole would be no where wi…

..and Microsoft, Atari, Sun, et al sunk billions of dollars into "research" groups with very little to show for it other than a bunch of concept videos and the resumes of the researchers. It's a double-edged sword.

That's the nature of R&D. There are 100 failures for every 1 success, because often, the usefulness of basic research is unknown.

Modern cryptography is based on advances in number theory and abstract algebra. None of the mathematicians over the last 2 centuries who contributed to those advancements foresaw the applications.

Modern GPS satellites are dependent upon general and special relativity. Einstein never foresaw it.

Much of the military industrial spending that funded the creation of Silicon Valley was not specifically targeted at creating the industries that followed.

The whole point of basic R&D is you don't know the economic outcome. It is a quest for knowledge. It may create the next disruptive technology or industry, or, it may not, and just be a another curiosity to be studied by academics.

It's a double edged sword, but why should we want swords with only one edge (short term economic success)?

Microsoft R&D funds for example, like IBM, mathematic researchers. These people are not working on products or applications, they're working on proving theorems.

I don't fault Microsoft for "wasteful" spending. Research and Development is a genetic algorithm for searching the fitness frontier of knowledge space. A whole lot of organisms, or ideas, have to die, before local optima can be broken out of to find the next peak.

Re: A look at Apple's R&D expenditures from 1995-2013

#48
post #23

Earlier quoted context omitted.

It's natural to ask: "Of all R&D expenditures, what percentage came from each year?"

But if that is displayed as a line chart, that clearly displays the year-over-year differences. So if someone wants to ask "what is the overall trend of spending over the past five years?" that is nearly impossible with the pie chart. Pie charts are by far one of the worst forms of graphs ever devised and should be killed off as a concept for good, as in, please remove this from Excel.

Everyone is this thread is conveniently ignoring that the data is initially presented as a bar graph. The pie chart is secondary for a very narrow purpose, and it's far from terrible in this application.

Re: A look at Apple's R&D expenditures from 1995-2013

#49
post #36

Earlier quoted context omitted.

You are correct. Apple just spent billions of dollars buying up a fab lab. However, it will be years before this investment sees any practical use at Apple. http://semiaccurate.com/2013/07/12/apple-has-their-own-fab/

Is there a link to substantiate that claim that doesn't put the information behind a paywall?

Not one that I know of.

Charlie isn't the typical blogger though, and I prefer his paywall style over the ad-based models that other sites have done. When Charlie wrote a few honest (but blasting) reports on various companies a while back... the ad-companies held his revenue hostage. They didn't like him writing the way he did. As such, he stopped doing ad-hosted content and was forced into the paywall model.

Now to be fair, Charlie is a bit rambunctious and exaggerates some claims, but his fact-gathering tends to be months or years ahead of others (Do a double-take at the date of this article: http://semiaccurate.com/2012/03/02/sony-playstation-4-will-b.... I personally can verify the date on that article, as I read the article when it came out and didn't believe it.) . His writing style is abrasive though, and ad companies didn't want much to do with him.

He gets things wrong sometimes, because he's really trying to predict the future. But since he gets things right more than 50% of the time, I'm pretty confident in his claims. Overall, he does good work. It is unlikely that other sites will have his information for another few months at least.

Re: A look at Apple's R&D expenditures from 1995-2013

#50
post #31
post #29

http://o.aolcdn.com/hss/storage/adam/3924d8cabc4e8469af6fa91... One question: Why is VW's R&D spending so high? It's BILLIONS more than other car manufacturers.

They build cars in many segments. Tesla build one model, while VW has 27 models (from their german website) + commercial vehicles. Also, they own several brands like Audi, Bentley and some others. Most of them has a wide model range.

Yeah, take a look: https://en.wikipedia.org/wiki/Volkswagen_Group#Subsidiaries_...

Bugatti and Lamborghini are fun to note, though probably insignificant against VW's entire R&D budget.

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