2004 Global Spending on Nanotechnology to Exceed $8.6 Billion

According to a recently published report from Lux Research, global spending on nanotechnology research will top $8/6 billion.

Of this, government spending will account for over $4.6 billion, with:

  • North America spending approximately $1.6 billion or 35%
  • Asia spending approximately $1.6 billion or 35%
  • Europe spending approximately $1.3 billion or 28%
  • The rest of the world spending approximatley $133 million or 2%

Meanwhile, corporations will spens an estimated $3.8 billion on nanotechnology research and development in 2004. This will be made up of:

  • Approximately $1.7 billion by North American companies, equating to 46%
  • Approximately $1.4 billion or 36% by Asian companies
  • Approximately $650 million or 17% by European companies
  • Less than 1% or $40 million for the rest of the world

The report also indicates that there has been a reduction in venture capital spending with firms investing only $79 million in nanotech companies in the first half of 2004, compared to $325 million in 2003 and $386 million in 2002. Total VC funding for nanotechnology for 2004 is estimated at about $200 million.

Approximately 1500 comapies have announced intentions to pursue nanotechnology strategies. Of these, about 1200 are startups, and 670 of these are US-based.

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