IP: JAPAN CONTINUES TO INVEST IN HIGH-TECH R&D from edupage

[Dave Farber <farber () cis upenn edu>]

Japan's economy may be on the downturn, but its high-tech companies are
spending more now on R&D than ever, according to a report by the Japan
Economic Institute.  The top 20 Japanese companies are spending an average
of 3.3% more on R&D this year than in 1997, for a total of 4.4 trillion yen
or $34.7 billion.  "It's essential, a must for Japanese corporations to keep
investing in R&D.  It is a long-term operation," says a minister in charge
of trade, industry and energy at the Japanese Embassy in Washington.  The
report goes on to say that the driving force behind the Japanese spending is
the worry that Asian trading partners like Thailand and South Korea will try
to export their way out of their problems, and that by developing better
technology Japan can continue to compete against nations with currency and
labor-cost advantages.  (Investor's Business Daily 18 Aug 98)