In this article, we discuss 5 of the most innovative companies in the world. If you want to see more of the most innovative companies in the world, go directly to 15 Most Innovative Companies in the World.
5. Microsoft Corporation (NASDAQ:MSFT)
Given it reported $198 billion in revenue for fiscal 2022, Microsoft Corporation (NASDAQ:MSFT) ranks among the biggest spenders in terms of R&D. For fiscal 2022, Microsoft Corporation (NASDAQ:MSFT) spent $24.5 billion on research and development, up 18% year over year, and more than the entire market capitalizations of multiple S&P 500 companies. Given its budget, Microsoft Corporation (NASDAQ:MSFT) has a lot of employees doing research. As of June 30, 2022, 73,000 of Microsoft Corporation (NASDAQ:MSFT)’s 221,000 employees were in product research and development, which is also more than the total number of employees at multiple S&P 500 companies.
4. Samsung
Samsung is a South Korean conglomerate that makes some of the world’s most advanced smartphones and also semiconductors. The company is the largest memory chip maker and second largest chip contract manufacturer in the world. To remain at the cutting edge, Samsung has committed to spending substantial amounts in R&D. Reuters reported in May 2022,
Samsung Group will invest 450 trillion won ($356 billion) in the next five years to accelerate growth in semiconductors, biopharmaceutical and other next-generation technologies, Samsung Electronics (005930.KS) said.
Given the substantial amount, Samsung will likely be able to develop substantial innovative products in the future. The company also ranks #4 on our list of 15 Most Innovative Companies in the World.
3. Alphabet Inc. (NASDAQ:GOOG)
As a research leader, Alphabet Inc. (NASDAQ:GOOG) spent $31.56 billion in research and development in 2021, up from $27.57 billion in 2020. Given how important AI will be in the future, it’s likely Alphabet Inc. (NASDAQ:GOOG) has spent tens of billions investing in AI technology so far and the company will likely continue to invest tens of billions more in the future. With AI, Alphabet Inc. (NASDAQ:GOOG) could potentially produce autonomous vehicles sometime in the future and make its search even better.
2. Apple Inc. (NASDAQ:AAPL)
In terms of R&D, Apple Inc. (NASDAQ:AAPL) doesn’t spend as much as some of its peers do given that the company spent $26.25 billion in R&D in the twelve months ended September 24, 2022 and $21.91 billion in the twelve months ended September 25, 2021. Nevertheless, Apple Inc. (NASDAQ:AAPL) is still the most profitable tech company in the world given its R&D efficiency. If it continues to efficiently do R&D, Apple Inc. (NASDAQ:AAPL) will likely be able to develop new innovative products in the future.
1. Amazon.com, Inc. (NASDAQ:AMZN)
Given its leading cloud computing business, Amazon.com, Inc. (NASDAQ:AMZN) invests substantial amounts in R&D. Given how investing in innovation could also help its e-commerce company grow, Amazon.com, Inc. (NASDAQ:AMZN) is one of the biggest spenders in the world in research and development. According to macrotrends.net, Amazon.com, Inc. (NASDAQ:AMZN) spent $56.05 billion in R&D for 2021 and $42.74 billion in R&D for 2020. Given substantial revenues and substantial R&D investments, Amazon.com, Inc. (NASDAQ:AMZN) ranks #1 on our list of 15 Most Innovative Companies in the World.
You can also take a look at 20 Most Admired Companies in the World in 2022 and 15 Biggest Dow Companies By Market Cap.
