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The State of R&D At HP, IBM, and Microsoft
jcatcw writes "Computerworld surveys the R&D efforts at HP, IBM and Microsoft ($17 billion annually) and raises the question: Are these companies supporting more long-term basic research, or just the usual short-term, product-oriented work? HP is consolidating its focus on a few 'big bet' projects in five major research areas — information explosion, dynamic cloud services, content transformation, intelligent infrastructure, and sustainability. IBM has four 'high-risk' basic research areas — nanotechnology, cloud computing, integrated systems and chip architecture, and managing business integrity through advanced math and computer science. Many of the 272 research projects named at Microsoft Research's Web site are structured with major product lines like Windows, Office, or Xbox in mind, but many also seem to have no likely application to anything the company sells today."
Parent poster has a narrow view of industry research. I graduated with my PhD in CS about six years ago from a top-20 university and have worked in an industry research lab. The primary output of industry research are patents, papers, and products (either new products or improving products). And the research labs at Microsoft, IBM, HP, and Yahoo are all very good at this. Take a look at the top CS conferences in the fields where these companies have a stake, and you will see that industry research contributes a large share of the paper output (e.g. SOSP, OSDI, SIGMOD, VLDB, WWW, KDD, etc.). Further, these companies are spending lots of money sponsoring a wide breadth of conferences and helping to drive fundamental research at a time when NSF funding is low. These companies should be applauded.