Today, every vertical you can think of is being disrupted by digital technologies and almost every firm is moving towards becoming a digital company. New-age technologies such as AI, ML, IoT, Robotic Process Automation, and Blockchain are pervasively being adopted across industries. The ER&D market is also evolving as a function of this increasing proliferation of digital in businesses. The overall R&D spend has always been consolidated, with the top 100 spenders accounting for nearly ~61% of the Z1000 R&D Spend (Top 1000 R&D Spenders globally). Despite such huge investments, the top spenders have been suffering mortality and are being replaced by newer firms which are primarily digital natives. In the wake of disruption and to stave off competition, large traditional R&D spenders are investing heavily in digital engineering capabilities to keep up with the rapid change. Zinnov has closely studied the impact of digital engineering on ER&D, and the resultant opportunities and challenges that lie ahead for Service Providers. Read more here: https://zinnov.com/digital-engineering-driving-growth-in-the-erd-marketplace/ To get your hands on the full ER&D report, drop us a note at info@zinnov.com

1. Zinnov Proprietary Confidential 1
Zinnov Zones 2018
ER&D Services
December 2018

2. 2
Aerospace & Defence
Automotive
Biotechnology
Consumer Electronics
Chemicals & Materials
Energy & Utilities
Healthcare payers & providers
Peripherals & Storage
BFSI
FMCG
Industrial
Global Corporate Engineering and R&D Spend is in excess of USD 1.2 Trillion in 2018
Z1000 organizations
Media & Entertainment
Medical devices
Pharmaceutical
Retail
Semiconductor
Telecommunication
Travel & Hospitality
Software & Internet
Mining & Metals
Transportation & CHM
Others
Zinnov has increased its coverage through new verticals such as BFSI, Retail, and Travel & Hospitality, etc. which reflects as increased Corporate ER&D spend
Z1000 R&D Spend
Total Corporate R&D Spend
Total Corporate ER&D Spend
USD975B
USD1228B
USD812B
Spend of Global Top
1000 R&D Spenders
R&D Spend by Global
Corporates (includes
companies beyond
Z1000)
Includes Traditional
R&D spend and Total
Engineering Spend
Organization wide
Manufacturing engineering spend
Project Engineering Spend
MRO Spend in aerospace
Regulatory Services spend
Telecom NW Service & Layout
The Global Corporate ER&D Spend is pegged at USD 1.2 trillion
Source: Zinnov Z1000 database, Zinnov Research & Analysis

3. Zinnov Proprietary Confidential 3
INSIGHTS ACROSS 13 ER&D VERTICALS
Source: Zinnov Research & Analysis

4. Zinnov Proprietary Confidential 4
ANALYSIS ACROSS 5 ER&D HORIZONTALS

5. Zinnov Proprietary Confidential 5
Niche
Expansive
EstablishedEmerging
Scale&Scalability,#ofVerticalsserviced,ClientSpread
TCS
HCLAltran
Tech Mahindra
Cyient
HARMAN
Connected Services
Mindtree
GlobalLogic
Tata Elxsi
Sasken
eInfochips
EPAM
KPIT Technologies
Sonata
Software
Infogain
Happiest Minds
ITC Infotech
Wipro
Alten
L&T TS
Capgemini
Aspire Systems
R Systems
Xoriant
Bosch*
Overall ER&D Ratings 2018
Specialization, R&D practice maturity (depth and maturity services), Innovation & IP, Eco-System Linkages, Customer input
Source: Zinnov Research & Analysis
Tieto
UST Global
VVDN Technologies
Persistent
Itransition
QuEST Global
Mindteck
Tata Technologies
*Robert Bosch Engineering and Business Solutions

6. Zinnov Proprietary Confidential 6