Based on the fundamental policy of “selection and concentration,” Sharp conducts R&D activities with the goal of developing the technologies needed to constantly create one-of-a-kind products from the perspective of users. The final objective is to ensure that customers are satisfied with Sharp products. To accomplish this objective, we focus on three approaches to R&D. First is creating unique products through the vertical integration of our core technologies. Second is leveraging commodity technologies shared in and outside of Sharp. Third is using “open innovation” and cooperation with partners to gain expertise in fields of technology that are new to Sharp. Using all three approaches allows us to perform R&D that is distinctive, speedy, and efficient.

Sharp views its intellectual property strategy as one of its key management measures, promoting it in a coherent manner with business and R&D strategies. In order to secure a competitive edge with one-of-a-kind products and one-of-a-kind devices for stronger business foundations, Sharp is aggressively promoting patent right obtainment.

Sharp has clearly delineated the fields that are central to each business group and has assigned engineers well versed in patent matters to each of these core business areas to conduct strategic patent development*¹ close to the frontline. Sharp also obtains useful patents arising from alliance activities from collaboration with other companies or universities. As of March 31, 2011, Sharp had approximately 19,400 patents in Japan and 24,100 overseas.

Sharp utilizes these patents to strengthen its strategic businesses. In addition, we take actions to protect our patents, such as by examining the products of competitors. We exercise care concerning the intellectual property of other companies, however, our policy is to have other companies respect our intellectual property in return. If we discover an infringement on any of our patents, we issue a warning. In certain cases, more aggressive action is taken, including filing lawsuits. Sharp is also promoting obtainment of design and trademark registrations based on its brand strategy and aiming to increase the number of applications and registrations globally*².