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Accelerating Innovation in Turkey

Based on leading Huawei technologies in the World, we innovate the world class software products to bring digital to every person, home and organization, for a fully connected, intelligent Turkey.

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What Is R&D? What Does R&D Mean? Research and Development Guide

Research and Development (R&D), known as research and technological development, is a set of innovative activities undertaken by companies or governments in developing new services or products and improving the existing ones.

R&D projects are the first stage of the process to produce new products and services or to develop existing products and to increase the profitability of the company by putting them on the market.

The elements required for Research and Development are as follows:

  • Being complete and paying attention to details.
  • Mathematical knowledge.
  • Analytical thinking skills.
  • Ability to take initiative.
  • Good understanding of customer needs and demands.
  • Being able to analyze the market well.
  • Analyzing product/service feedbacks correctly.
  • Good understanding of customer insight.

It is important that Research and Development projects provide strong information and insights for businesses, increase efficiency and enable improvements in existing processes by reducing costs. R&D also allows the process of creating new products and services for businesses to survive in competitive markets, create new markets, and help the brand develop.

R&D is the abbreviation of Research and Development.

According to the Turkish Language Association (TDK), Araştırma ve Geliştirme (Research and Development) is abbreviated as AR-GE(R&D) in Turkish.

The difference between R&D and innovation is that R&D turns money into information, and innovation creates products/services from this information. Innovation is based on R&D studies and includes commercialization stages. R&D, on the other hand, forms the basis of product/service creation and need determination stages by preparing the necessary research and development process for innovation.

The difference between R&D and product development is the fact that R&D Center is the fundamental stage in the product life cycle, while product development is the entire process of designing, creating, and marketing new products or existing products with new features.

An R&D center is the center that carries out the development of prototypes and transforms them into innovative products and services. Thanks to R&D Centers, the process of transforming ideas into products and services is accelerated.

Huawei Turkey R&D Center is dedicated to work on products based on Huawei’s leading technology in the world and aims to bring digital to every person, home and organization for a fully connected smart Turkey.  Huawei R&D Center is a center that produces and renews software products in compliance with world standards.

Research and Development (R&D) teams play many important roles within a business. They take part in many tasks such as research, planning, projecting, producing, developing, inspecting, and testing new products. For this reason, many people work in different positions in an R&D team. Basically, those who work in an R&D team are as follows;

  • R&D Engineers:R&D engineers develop new products, redesign existing products, and conduct research and testing on product concepts.
  • Research Managers:Research managers lead the execution of research projects. They prepare research proposals, choose research methods, supervise the research team, manage budgets, and present research findings.
  • Research and Development Directors:Research and Development directors carry out core business operations. They are basically responsible for researching, coordinating, and conducting research in various company departments, ensuring continuous innovation of products and business processes.

R&D departments consist of Basic Research, Applied Research, and Experimental Development departments. R&D activities can be conducted in the following are:

  • Chemical production
  • Computer and electronic products
  • Pharmaceutical industry and drugs
  • Transportation
  • Machine
  • Software Products
  • Data processing, storage, and related services
  • Computer systems design
  • Infrastructure products

Basic research is usually the research aimed at fully understanding a particular topic rather than the practical usage of it. It is a Research and Development phase conducted to investigate specific scientific progress, without any specific commercial purpose. To get the maximum benefit from this type of research, companies need to be consistent and dedicate ample resources in the long run.

Applied research refers to the research activities required in order to acquire extensive knowledge to create commercially marketable products and services. It either identifies the possible uses of the results from the previous basic research or finds new ways to achieve a specific goal.

Development research involves systematic project work that uses existing knowledge from research or practical experience to develop a new product, service, or process. Thus, engineers and production teams can bring their ideas to life before these new products are sold on the market. The new processes brought about by development research can also be used by the company to market its products more effectively and efficiently.

Research and development engineers, also known as R&D engineers, design and test product concepts as well as redesigning and improving existing products. As a part of an R&D team, they can work in a variety of industries where they collaborate on product design concepts, develop new products, and redesign existing products according to industry standards. The duties of R&D engineers include the following:

  • Designing a product/service
  • Project development and completion
  • Leading a project team
  • Designing project plans
  • Research
  • Cooperation with engineers and developers.

According to Kariyer.net research, R&D personnel salaries in 2020 were between 4,900 – 11,680 TL.

Important skills for research and development include being detail-oriented, having analytical thinking skills and, mathematical knowledge, taking initiative, as well as following technological developments and innovations. The following skills are needed for research and development:

  • Managing big data sets and performing high-level data analysis,
  • Analytical thinking and critical problem solving,
  • Time management,
  • Being a technophile,
  • Being innovative,
  • Teamwork and multidisciplinary work,
  • Leadership

R&D strategy starts with the simple idea that a strategy is a systematic approach to problem-solving. An R&D strategy is defined as a set of coherent choices throughout the decisions about corporate architecture, processes, people, and project portfolios.

As an example of R&D strategy; Intel bases its R&D pace on well-defined product/process roadmaps in the integrated circuit industry. EAR-GEAR-GEon-Mobil has a technology implementation organization to bring new capabilities to the field for high-risk exploration programs. IBM has moved from the traditional laboratory science and technology (S&T) focus to one that integrates with enterprise business development, even though they have maintained a significant science program. By moving from Research and Development to “Connect + Develop”, P&G has transformed its central laboratory to focus more on external partnerships. Many companies are engaging with universities, research labs, and venture capitalists to follow (and selectively access) pioneering scientific discoveries and emerging technologies that can disrupt the current business.

R&D is the research and development works carried out to create a new product or service. Thanks to product/service innovations made with strong R&D strategies, businesses increase their profit rate, develop their market share, create new markets, increase their competitive power and improve their product range. Thus, companies earn money with the product/service developments they make as a result of R&D studies.

For example, IBM has created the technology-based “Emerging Business Opportunities” special process to develop business in neighboring markets. General Electric has implemented a process called “Session T” to identify and prioritize such opportunities through structured brainstorming about customer needs and the market. The Session T process helps General Electric identify which R&D is worth going after and how it meets the business needs. Much of Apple’s success is attributed to its ability to redefine and shape markets with product and service combinations that go beyond what existing customers have experienced or even know.

Thus, increased profit rate of the companies with the R&D activities and the strategies based on such activities is achieved with rational predictions and analysis.

According to the research made by Spendmenot Company, industry figures show that large investments have been made for an average R&D work.

According to the figures announced by Spendmenot, the companies that made the top 10 largest R&D investments in the world in 2020 are listed as follows;

  1. Samsung: 14.9 billion dollars
  2. Alfabet: 14.8 billion dollars
  3. Volkswagen: 14.5 billion dollars
  4. Microsoft: 13.6 billion dollars
  5. Huawei: 12.5 billion dollars
  6. Intel: 12.1 billion dollars
  7. Apple: 10.7 billion dollars
  8. Roche: 9.8 billion dollars
  9. Johnson & Johnson: 9.7 billion dollars
  10. Daimler: 9.6 billion dollars

Turkey R&D devoted 14.3 billion TL for the 2020 budget year. According to the joint report of the Central Bank of the Republic of Turkey (CBRT) and the Turkish Statistical Institute (TUIK) published recently, Turkish companies’ R&D expenditure exceeded 63 billion TL between 2010-2019.

With the amount of 27.9 billion TL, the manufacturing sector ranked first, while the information and communication sector ranked second with the amount of 12.9 billion TL.

R&D expenditures of the companies were 2.4 billion TL in 2010; however, it showed a continuously increasing pattern in the following years from 3.3 billion TL, 3.6 billion TL, 4 billion TL, 4.8 billion TL, 5 billion TL, 5.9 billion TL, and 7.8 billion TL. It was 10.6 billion TL last year and the latest amount was 15.9 billion TL.

Huawei has set a goal of devoting at least 10 percent of its revenue each year to R&D to support its worldwide development. Huawei has invested at least 639.3 billion yuan in R&D over the past 15 years. In 2018, the company’s R&D spending exceeded 100 billion yuan for the first time.

The director of R&D Center, Hussein Hai Bo, made the following statement regarding Huawei Turkey R&D investment on the center’s 10th anniversary: “Our total R&D investment is 520 million TL in Turkey. Our products and solutions aren’t only used in Turkey, they are also sold overseas. Our technologies are exported to more than 30 countries.”

Research and Development (R&D) activities allow scientists and researchers to develop new knowledge, techniques, and technologies. As technology changes, people can produce more with the same amount of or fewer resources, thus productivity could be increased.

The World Bank has analyzed the latest available data on the countries that spend the largest proportion of GDP on R&D. While the data was obtained before the pandemic, it still sheds light on how research provide support for economic competition. The first five countries are Israel, South Korea, Switzerland, Sweden, and Japan.

According to the World Bank, in 2018, Israel spent 4.95% of its GDP on R&D. One of the most important economic sectors is technology.

Between the years 1960 and 2019, South Korea had an average annual GDP growth of 7.3%. Similar to Israel, South Korea also has a thriving technology industry. It also has a large defense industry, as its border with North Korea is one of the most heavily militarized places in the world. Besides the remarkable GDP growth, South Korea’s exports have also been productive, growing at an average of 16% per year between the years 1961 and 2019. According to the World Bank data, in 2018, Israel spent 4.81% of its GDP on R&D.

Switzerland data is for 2017, when the landlocked European country spent 3.37% of its GDP on R&D. Service sector is the largest Swiss economic source, producing almost three-quarters of its total GDP. When compared, agriculture is only around 1%, the rest comes from industry. Switzerland’s main export market is the European Union. Although it is not an EU member state, it is a party to many agreements that allow it to trade freely with EU countries. Among the main industrial sectors are medicines and, of course, watches, which drive 9% of its exports.

According to 2018 data, the USA (2.84%) and China (2.19%), the world’s two largest economies, are ranked 9th and 13th in the World Bank’s R&D investment ranking, respectively.

Germany, Europe’s largest economy, ranks seventh in 2018, allocating 3.09% of GDP to R&D. Britain, one of the Europe’s major economies and decided to leave the European Union, is ranked 21st by the World Bank. In the same year, only 1.72% of GDP was allocated to R&D.

The Connector, a collaborative partnership with Israel and Sweden, aims to accelerate joint market-oriented, innovative R&D projects between the two countries, and enable companies and academic institutions from Israel and Sweden to co-develop, share data and form partnerships. For example, Israel can learn how to create a Unicorn from Swedish local venture companies such as Skype, Spotify, and Soundcloud. Israel can cooperate with Swedish companies on autonomous movement, life science, precision agriculture, cyber and more, according to Ami Appelbaum, President of the Innovation Authority.

Huawei Turkey R&D center has 5 has five product areas to create high-tech IT solutions, which are Business Support Systems, Digital Services, SmartCare, Wireless, and Research. 5G usage scenarios AI, and Huawei Mobile Services (HMS) constitute the most important fields of activity of the Huawei Turkey R&D Center.

Huawei Turkey R&D center has strong values, great opportunities, great facilities, and offices throughout the world with many centers and their effects will distinguish itself starting from the first day.

Successful works of the R&D Center in Huawei Global include 5G, next-generation mobile communication, data center studies, artificial intelligence, and works on video.

Huawei Turkey R&D has led to the 5G innovation in the next-generation mobile communications areas and actively contributed to the development of the sector.

Huawei R&D Center has the vision of maintaining the right technological progress to build a better-connected world. It has the purpose of combining the wisdom and innovation of humanity to illuminate the way ahead for the world and Huawei. As an institution that contributes greatly to the IT sector and IT standards, we pioneered the industry development to expand the total targetable market. We’ve also collaborated with stakeholders to build a mutually beneficial industry and ecosystem.

Huawei R&D Center principles are as follows;

  • Philosophy:Open innovation and inclusive development,
  • Methodology:A vision combined with technological breakthroughs,
  • Focus:Discovering disruptive technologies throughout the information life cycle,
  • Strategic initiative:Cooperation with universities and technology investment.

Huawei R&D’s vision and mission are to bring digital to every person, home, and organization for a fully connected, smart world. For this purpose, Huawei developed the Global Industry Vision (GIV) 2025, which aims to reveal the industry plan of the upcoming smart world. In this context, at Huawei R&D Center, we aim to produce and develop the 4th industrial revolution products driven by AI in ICT networks. Huawei Turkey R&D Center Director Hussein HaiBo said “Our total investment is 520 million TL in Turkey. Also, even more importantly, our center has been training a large number of IT professionals and improving their IT skills for a decade. Since our establishment, more than 1,500 engineers and researchers have been a part of the Huawei Turkey R&D Center family. Some of them continue to develop technology in Turkish companies. We are proud of it. Today we are working with 620 professionals, and we rely on their ICT skills in Turkey. Next year, we aim to grow this team by 10 percent.”

Huawei R&D works on 5G, next generation mobile communications, data center studies, artificial intelligence, and video both in Turkey and globally, as also detailed below.

  • Huawei is the first company to introduce new air interface technologies for 5G, including Sparse Code Multiple Access (SCMA), Filtered-OFDM and, Polar Code. . These new technologies can be flexibly adapted to various services and increase spectrum efficiency at least three times without requiring additional antennas or spectra.
  • A new air interface algorithm was developed that supports a peak rate of 3.6 Gbit/s during a large-scale 5G low-frequency field trial.
  • The concept of 5G network architecture has been proposed in which an NFV/SDN-based physical network is divided into multiple virtual network segments to support different service needs.
  • Innovative breakthroughs have been made in large-scale antenna MIMO technology and a full-duplex prototype technology with multi-path fading cancellation and high bandwidth features has been developed.
  • Extensive work has been done with the EU 5G-PPP, the UK-based 5G Innovation Center (5GIC), and 5GVIA to complete large-scale testing and validation.
  • We have held extensive dialogues with industry actors and strategic partnership agreements have been signed with more than 30 leading global carriers.
  • We did in-depth research and published a whitepaper on 5G security. An end-to-end security architecture was launched based on new concepts on service slicing, a triple trust model and security function separation, and flexible security configurations.

Innovations carried out by Huawei in the advancing data center area are as follows:

  • We launched our DC 3.0 prototype in 2013, following the wide industry acclaim shown in our DC 3.0 whitepaper. The prototype has performed much better in the common architecture in the current period. As part of the prototype, the industry’s first TPCx-HS + FusionInsight solution was also launched.
  • A 100k level data center network simulation framework was developed with a simulation speed of up to 106 level IPS.
  • We developed the non-volatile memory-based file system, the industry’s first user-mode memory file system, and the non-volatile memory-based key/value system, and the performance of these systems achieved tens of millions of IOPS.
  • Measurement standards developed for TPCx-BigBench (TPCx-BB), which is an international energy efficiency editor standard, and for Big Data analytical systems, were made for Big Data benchmarks.
  • Thanks to the flat and scalable data configurations of our DC 3.0 product, high performance, cost-effective, and green data center solutions were provided to our customers.

Innovations made by Huawei in the field of artificial intelligence are as follows:

 

  • We have made continuous breakthrough in the field of deep learning, the industry’s most advanced Neural Responding Machine has been created, and the industry’s first single-turn dialogue development model based on in-depth learning has been launched.
  • We invented neural machine translation technology based on a deep memory framework and achieved the world’s top performance in machine translation.
  • Our achievements in computer learning have been leveraged to help operators reduce the prepaid user switching rate from around 10% to 6%.
  • We enabled automatic alarm association in the world’s first GTS analysis automation and achieved an average alarm compression rate of more than 90% and a rule enforcement rate of over 95%.
  • We developed and launched Spark’s first open-source code streaming processing library in the world.
  • In the field of batteries, we announced our next generation fast charging technology. A 3,000 mAh capacity battery can be charged to 48% within five minutes to provide a ten-hour talk time on Huawei mobile phones. We bonded the heteroatoms in the anode to the graphite molecules, acting as a catalyst for the capture and conduction of lithium through the carbon atoms. Helitomes enable charging speed to be 10 times faster than normal batteries without reducing energy density or battery life.

Huawei continued to strengthen core communication technology research by technological innovation to gain a better experience in the field of Ultra-HD and mobile video in the video field. Especially;

  • We worked with industry actors to build open industry platforms and research Future Video Codec (H.266), a next-generation video coding technology that is rapidly developing the technologies that provide opportunities for the video industry.
  • We encouraged the implementation of IP Video, which offers a 4K ultra HD experience. By adopting H.265 and Quality Driven Streaming (QDS), we increased the video streaming of 4K OTT and IPTV services to over 60%. IP Video also offers 1 Mbit/s ultra-HD video service for surveillance services that support the rapid installation of 4K ultra-HD video services in live networks in different industries.