Research and development in the business enterprise sector, 2010, preliminary figures

There was a marked growth in R&D activity in business enterprises until 2008, after which it stagnated. Measured in fixed prices, R&D expenditures were reduced slightly in both 2009 and 2010. The business enterprise sector as a whole expects stability in 2011. The estimates by enterprises in the second quarter of 2011 indicate a weak increase in R&D expenditure of about 3 per cent (nominal) and an unchanged number of R&D man-years performed.

In addition, R&D worth NOK 1.6 billion was carried out in enterprises with 5-9 employees. The total intramural R&D expenditure for the business enterprise sector in 2010 thus amounts to about NOK 20.1 billion.

A weak decline in R&D man-years

A total of 15 444 R&D man-years were performed in enterprises with more than 10 employees in 2010; a decline of 1.5 per cent compared with 2009. Sixty-nine per cent of these man-years were performed by personnel with higher education. In enterprises with 5-9 employees, 1 380 R&D man-years were carried out.

Increased investments

Of the R&D expenditure, the investments in buildings and machinery increased the most. The investments amounted to almost NOK 1.3 billion in 2010; an increase of NOK 251 million or 24.6 per cent compared with 2009. There are often large variations in the investments from year to year. Compensation of employees is the largest expenditure component, with nearly NOK 12.1 billion in 2010. This is only a slight increase of 1 per cent from 2009. Other current costs (including costs for hired personnel) decreased by 1.1 per cent.

Manufacturing and service industries

Manufacturing enterprises spent NOK 7 billion on R&D in 2010; 11 per cent lower than in 2009. Enterprises in the service industries contributed with nearly NOK 9.5 billion in R&D expenditure in 2010, which is 11.4 per cent higher than the year before. This is partly due to the reclassification of enterprises between manufacturing and services. Such reclassifications are due to changes in enterprise activities and the fact that the division between manufacturing and services may be blurred. Other industries (including extraction of petroleum and gas) had a growth of 11.8 per cent, and contributed in excess of NOK 2 billion in 2010.

Reduced share of GDP

The R&D expenditure in the business enterprise sector measured as a share of gross domestic product (GDP) decreased from 0.78 in 2009 to 0.74 per cent in 2010. The R&D expenditure’s share of gross product on mainland Norway was reduced from 0.99 to 0.96 per cent.

Tables:

• Table 1 R & D in Business Enterprise Sector. Intramural R & D expenditure, R & D-personnel and R & D man-years by Industry and size class. 2008-2010. NOK million and number of
• Table 2 Intramural R & D expenditures in Business Enterprise sector by type of costs, Industry and size class (+10 employees). 2010. NOK million