1. Christian Morales VP and GM Intel EMEA Electronic Communications Framework Hearing Innovation & R&D panel Innovation and R&D

2. www.intel.com/technology Technology & Research at Intel - Page 2 Arizona, USA Stockholm,Sweden Illinois, USA * Washington, USA Oregon, USA * California, USA Haifa, Israel Tsukuba, Japan Bangalore, India Nizhniy Novgorod, Russia Shanghai, China * Barcelona, Spain * Pennsylvania, USA * Cambridge, UK Seoul, S. Korea Mass., USA Texas, USA Taipei, Taiwan Shenzhen,China Beijing, China ** Moscow, Russia ** St. Pete, Russia Novosibirsk,Russia ** Sarov, Russia www.intel.com/technology Technology & Research at Intel - Page 2 Global Research Investment * - University Labs ** - New R&D Sites $5,200 est. 199019911992199319941995199619971998199920002001 2002 $4,000 2003 $517 $618 $780 $970 $1,111 $1,296 $1,808 $2,347 $2,509 $3,111 $3,897 $3,800 $4,800 2004 (in millions) $4,200 2005 75 labs Worldwide Growth focused internationally 75 labs Worldwide Growth focused internationally R&D investment to exceed $5B in 2005 Braunschweig, Ulm Germany

3. Government/Non-profit Intel Capital $$ Start ups Core Technology Research and Development Technology Transfer and Productization Advanced Research and Investments Advanced Research and Investments Industry Suppliers Customers Next Generation R&D Model TECHTECH All Intel Product Groups Standards Intel Research Communications Technology Lab Systems Technology Lab Technology and Manufacturing Group Microprocessor Technology Lab Universities

4. Regulations & Policy Catalyzing the Industry and Driving Collaboration Working with industry, academia and government to develop leading edge technologies Standards Strategic Partnerships

5. 1980s1990s2000 Volume Ethernet 2010 Standard s Built in Feature Innovation in telecoms and computing

6. Policy challenges in innovation 1.Innovation and R&D must top EU policy agenda (Lisbon goals) 2.Regulatory framework must facilitate deployment of new technologies (WiMax) 3.EU intellectual property law must continue to protect R&D (Computer Implemented Inventions Directive)