Apple Inc. (NASDAQ:AAPL) wants to improve their company by spending more on research and development. The company has increased to 3 percent from 2 percent.
The research and development spending plans were detailed inside Apple Inc. (NASDAQ:AAPL)’s quarterly 10-Q filing report with Securities and Exchange Commission. Since the tech giant’s profits decreased over time, the company hasn’t been able to spend money and R & D. Apple Inc. (NASDAQ:AAPL)’s spending percentage on research and development came in line with what Hewlett-Packard Company (NYSE:HPQ) and Dell Inc. (NASDAQ:DELL) spent.
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Tim Cook, chief executive officer for Apple Inc. (NASDAQ:AAPL), took note of the discrepancy. The company spent $1.12 billion on research and development that ended on March 30. It was up from $841 million the year prior. For the six-month period that ended last month, the company’s overall spending went up 33 percent from what it was year ago. Cook added that there would be new content and new services future.
Apple Inc. (NASDAQ:AAPL) shared their take on R & D spending, “R&D expense increased $278 million or 33 percent during the second quarter of 2013 compared to the second quarter of 2012 and increased $530 million or 33 percent during the first six months of 2013 compared to the same period in 2012. These increases were primarily due to an increase in headcount and related expenses to support expanded R&D activities. The company continues to believe that focused investments in R&D are critical to its future growth and competitive position in the marketplace and are directly related to timely development of new and enhanced products that are central to the company’s core business strategy. As such, the company expects to make further investments in R&D to remain competitive.”
Although the increase in Apple Inc. (NASDAQ:AAPL)’s R & D spending is minimal, it is a major improvement for a company that needs it.
Apple Inc. (NASDAQ:AAPL) is one tech company that prides itself in creating better technology, this means that research and development is the key to the company’s future.