Report by the Board of Directors

Research and Development

Bittium continued its R&D investments in products and product platforms targeted for the mobile security, defense and public safety markets. R&D investments mainly focused on developing the Bittium Tough Mobile secure LTE smartphone targeted mainly for the demanding mobile security and public safety use. A significant part of these capitalized R&D investments is related to the further development of the Bittium Tough Mobile and the related security software.

 

R&D investments, MEUR  2016
12 months
2015
12 months
Total R&D investments 6.9 7.3
Capitalized R&D investments -0.9 -3.4
Depreciations and impairment of R&D investments 0.3 0.2
Cost impact on income statement 6.3 4.2
R&D investments, % of net sales 10.8% 12.9%

 

Capitalized R&D investments in balance sheet, MEUR  2016
12 months
2015
12 months
Balance sheet value in the beginning of the period 5.6 2.2
Additions during the period 0.9 3.4
Acquisitions of the business 0.2 0.3
Depreciations and impairment of R&D investments -0.3 -0.2
Balance sheet value at the end of the period 6.4 5.6