ICT Industry Analysis



ICT sector business expenditure on R&D (ICT BERD) - analysis by sub-sectors

Figure 2–6: ICT sector BERD share in total BERD by sub-sector (2010, 2011)

Source: Eurostat, elaborated by Ivie and JRC-IPTS

ICT sector BERD across ICT sub-sectors provides a quite different perspective to the picture resulting from a comparison of VA or employment, since now two ICT manufacturing sub-sectors -Manufacturing of communication equipment and Manufacturing of electronic components and boards- show higher values than previously.  However, the highest shares correspond to Computer programming, consultancy and related activities

Figure 2–7: Comparison of ICT manufacturing and services: distribution of ICT BERD among the biggest Member State contributors (2011)

Note: New MS are Bulgaria, Croatia, Cyprus, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Romania, Slovakia and Slovenia. Rest of old MS comprise Austria, Belgium, Denmark, Greece, Ireland, Luxembourg and Portugal.
Source: Eurostat, elaborated by Ivie and JRC-IPTS

ICT manufacturing was dominated by Germany and Finland, followed by Sweden and France, representing 77% of the total EU ICT manufacturing BERD. However, when ICT services BERD is considered, Finland and Sweden contributed by less than 3% each. In contrast, France and Germany also lead positions in services.

Figure 2-8: ICT BERD intensity (ICT sector BERD/ICT sector VA) by sub-sector (2010, 2011)

Source: Eurostat, elaborated by Ivie and JRC-IPTS

The ICT sector is one of the most R&D-intensive sectors in the EU economy. ICT BERD intensity was particularly high in one manufacturing sub-sector: Manufacturing of communication equipment. In ICT services ICT BERD intensity was significantly lower than in most ICT manufacturing sub-sectors.