The R&D intensity of European ICT sector was more than four times the average of all business sectors in the EU

A new report showed that the Information and Communication Technologies (ICT) sector is one of the most research intensive sectors in the EU economy. In 2009 the ICT sector accounted for 17% of the EU's total business R&D expenditure, while only representing 4% of the EU's Gross Domestic Product (GDP). This share of GDP - stable over the last few years - amounted to a value added of €470 billion in 2009 and represented over 6.1 million jobs.

The new report published by the JRC's Institute for Prospective Technological Studies (IPTS) showed that the Information and Communication Technologies (ICT) sector is one of the most research intensive sectors in the EU economy, meaning that it has a high ratio of Research & Development (R&D) expenditure if compared to its value added (its revenues less materials and services purchases). With a ratio of 5.3% in 2009, the R&D intensity of this sector was more than four times the average of all business sectors in the EU (1.2%). In April 2011, a new EU-US set of principles was also agreed to promote ICT services market globally.

Despite the decrease of R&D investment in the sector from 2008 to 2009 (-7%) and the loss of value added (-7.4%), the report stressed that the R&D drive was stable. This R&D intensity positions ICT as a "high R&D intensity" sector such as pharmaceuticals & biotechnology or health care equipment and services, even at times of economic downturn.

The report also showed that in 2009 the ICT sector represented only the 4% of the EU's Gross Domestic Product (GDP) while accounted for 17% of the EU's total business R&D expenditure. This share of GDP - stable over the last few years - amounted to a value added of € 470 billion in 2009 and represented over 6.1 million jobs.