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Siemens innovation

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Page 1: Siemens innovation

Page 1 August 2012 Corporate Communications

Copyright © Siemens AG 2012. All rights reserved.

Innovation@Siemens 2012

Page 2: Siemens innovation

Page 2 August 2012 Corporate Communications

Copyright © Siemens AG 2012. All rights reserved.

Contents

Siemens at a glance: Key figures and strategy 2 – 16

Innovation strategy and tools 17 – 37

Input: R&D expenditure 38 – 43

Output: R&D results, patents 44 – 48

Examples of innovation: Sectors 49 – 93

Page 3: Siemens innovation

Page 3 August 2012 Corporate Communications

Copyright © Siemens AG 2012. All rights reserved.

Our vision and our values

Energy efficiency

Industrial productivity

Affordable and personalized healthcare

Intelligent infra-structure solutions

Siemens – the pioneer in Our values Responsible

Committed to ethical and responsible actions

Innovative

Excellent

Achieving high performance and excellent results

Being innovative to create sustainable value

Page 4: Siemens innovation

Page 4 August 2012 Corporate Communications

Copyright © Siemens AG 2012. All rights reserved.

Innovation is our lifeblood

Ranking, recent highlights Key R&D figures

 Our patent position in fiscal 2011:  Germany: No. 3  Europe: No. 1  USA: No. 9

 Most recent innovations:  Blood test to assess liver fibrosis:

Assessment of the severity of fibrosis – reliable and minimally invasive

 Gearless 6-megawatt wind turbine: supplies up to 6,000 households with clean energy and weighs no more than a 2.3-megawatt turbine with gears

 TIA Portal software platform enables design of all automation processes from a single computer screen

R&D spending in percent of revenue

2009

5.1%

2010

5.2%

2011

5.3%

  € R&D spending: € 3.925 billion in fiscal 2011, or 5.3% of revenue

  27,800 R&D employees worldwide  Roughly 17,000 software engineers   160 R&D locations in roughly

30 countries around the world   8,600 inventions in fiscal 2011   53,300 patents granted

Page 5: Siemens innovation

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Innovation-driven growth markets Dynamic growth of 'green' revenue

Siemens Environmental Portfolio Revenue from Environmental Portfolio

CO2 abatement at customers

 The Siemens Environmental Portfolio comprises products and solutions that contribute directly to environmental protection and climate change mitigation

 At €29.9 billion, revenue from our Environmental Portfolio represents over 40% of total revenue

 Our revenue target for the Environmental Portfolio is €40 billion by fiscal 2014

  In fiscal 2011, the products and solutions of our Environmental Portfolio helped customers save 317 million tons1) of CO2…

… that's roughly equal to 1% of global energy-related CO2 emissions in 2010 – or almost 40% of Germany’s.

1) Including OSRAM; 2) Figure for FY 2010 excludes OSRAM but includes newly qualified portfolio

2014 (Ziel)

40.0

2011

29.9

2010 2)

27.4

267 317

2011 2010

…roughly equal to 1% of global CO2 emissions in 2010

(in € billions)

(in millions of tons)

Page 6: Siemens innovation

Page 6 August 2012 Corporate Communications

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Innovation-driven growth markets Technologies in our Environmental Portfolio

Renewables

Environmental technology

Energy efficiency Technologies for renewable energies such as   Wind power   Grid access for wind power   Steam turbines for solar

thermal power plants

Environmental technologies such as   Water technologies   Air pollution control

Products and solutions with exceptional energy efficiency such as

Combined-cycle power plants

Industrial drive systems

Traffic management solutions

High Voltage Direct Current (HVDC) power transmission

Energy performance contracting

Efficient lighting

Page 7: Siemens innovation

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Innovation-driven growth markets Siemens drives technologies of the future

Desertec Industrial Initiative

Electromobility

Smart Grid

SMART products

Solar power for Africa and Europe   Siemens as technology driver   Goal: meet 17% of Europe's

demand for electricity with solar and wind by 2050

Shaping the future of transportation   Siemens offers comprehensive

solutions from (charging infrastructure to drives)

  Integration of electric cars in power grid: batteries used to store power

The smart grids of the future   Flexible grids that enable

decentralized feed-in and better capacity utilization

  Smart grids have potential to abate more than 1 billion tons of CO2 by 2020

Understanding requirements in emerging countries   Customized portfolio for

medium price segment   Cost-effective, high-quality

products for the growth markets of the future

Page 8: Siemens innovation

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One Siemens Our framework for sustainable value creation

1) EBITDA

One Siemens The integrated technology company

Financial target system

Continuous improvement relative to market / competitors

Siemens

Sectors

Capital efficiency Capital Structure Revenue growth

Top margins of respective markets throughout business cycles 1)

  Grow faster than main competitors

  M&A hurdle rates

Return on Capital Employed (ROCE)

Dividend payout ratio

Page 9: Siemens innovation

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Our innovations spark interest

Page 10: Siemens innovation

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Vom ersten direkten Transatlantikkabel – zu freischwimmenden Windanlagen

From the Electric Victoria – to the Greenster

Vom ersten direkten Transatlantikkabel – zu freischwimmenden Windanlagen

From the first views inside the body – to 3D body scans in less than one second

From the first direct transatlantic telegraph cable – to the floating wind turbine

A pioneer of our time – yesterday, today and tomorrow

Page 11: Siemens innovation

Page 11 August 2012 Corporate Communications

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Four megatrends are shaping our future

Urbanization  2009: more people were living in

cities than in the countryside  Today: 320 million people live in

megacities with over 10 million  2050: 70% of the global popula-

tion will be living in cities  Major conurbations: account for

a disproportionately high share of economic performance

Climate change  Average temperature of the

earth’s surface has risen 0.76°C since the 19th century

 2001-2010: the warmest decade on record

 Today: highest concentration of CO2 in the atmosphere during the past 350,000 years

Demographic change

Globalization

 Life expectancy increased from 48 (1950) to 69 (2012)

 World population grown from 7 billion (2011) to 9.3 billion (2050)

 Population of the least devel-oped countries will double by 2050, to 1.7 billion.

 Number of seniors (65 and over) will triple by 2050, to1.5 billion

 1990-2009: worldwide volume of trade doubled

 Eightfold increase in number of multinational companies over the past four decades

 2030: 2/3 of global economic output from threshold countries

 Raw materials: 20% price increase per year (2000-2010)

Page 12: Siemens innovation

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Competition with the IT industry

Competitors from the threshold countries

As a pioneer in innovation-driven growth markets, we‘re mastering these challenges

Market and customer environment

Global megatrends

  Demographic change   Urbanization   Climate change   Globalization

Macroeconomic situation

Focus on innovation-driven growth markets I

Get closer to our customers II

Use the power of Siemens III

Strategic directions Siemens – a pioneer in…

…energy efficiency

…intelligent infrastructure solutions

…affordable and personalized

healthcare systems

…industrial productivity

Page 13: Siemens innovation

Page 13 August 2012 Corporate Communications

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Siemens has the answers

1700

300

in Mrd. Euro

Cities are centers of growth

 Siemens-relevant market: about €300 billion

2010 2050

6,9 9,3

50% 70%

 Cities account for 80% of greenhouse gas emissions

 By 2050, about 70% of the world population will live in cities

World population in billions

Cities

* Calculations based on OECD data in „Infrastructure 2030“

€1,700 billion 300

  Infrastructure spending amounts to €2 trillion* worldwide / year

Megatrend challenges – Siemens' answers for an urbanizing world

 Energy: leading HVDC technology transmits power from remote energy sources to cities at low loss

 Building technology: "Performance Contracting" – energy savings of up to 40% finance investments in energy-efficient building technology

 Security: complete solutions  Mobility: full spectrum of mobility systems

(Complete Mobility)  Water: largest provider of products for

every stage of water treatment  Healthcare: world leader in medical

imaging, efficient processes in hospitals lower costs

Page 14: Siemens innovation

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Innovations keep us strong – Milestones across the centuries

Page 15: Siemens innovation

Page 15 August 2012 Corporate Communications

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Sectors and Divisions as of October 1, 2011

1) In fiscal 2011, Siemens announced its intention to publicly list OSRAM and, as an anchor shareholder, to hold a minority stake in OSRAM AG over the long term

Energy

Divisions  Fossil Power

Generation  Wind Power  Solar & Hydro  Oil & Gas  Energy Service  Power

Transmission

Healthcare

Divisions   Imaging &

Therapy Systems  Clinical Products  Diagnostics  Customer

Solutions

Industry

Divisions   Industry

Automation  Drive

Technologies  Customer

Services

Infrastructure & Cities

Divisions  Rail Systems  Mobility and

Logistics  Low and Medium

Voltage  Smart Grid  Building

Technologies

 OSRAM 1)

Page 16: Siemens innovation

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Committed to profit and growth

Revenue by Sector

Revenue and employees

Revenue by Region

Key figures

100,000

80,000

60,000

40,000

20,000

500

400

300

200

100

2000

Employees in thousands

1986 1990 1995 FY 2011

Revenue in millions of euros

Healthcare €12.5 billion

Energy €27.6 billion

45%

33%

16% Industry €32.9 billion

Sonstige

Total revenue of Sectors and Cross-Sector Businesses

17%

43% 37% 26%

21%

Based on cluster location

15%

40%

18%

America

Germany

Europe, CIS, Africa, Middle East (excl. Germany)

Asia, Australia

20% 15%

33% 33%

Continuing operations (in millions of euros)

FY2010 FY2011

Revenue 74,055 85,582 New orders 68,978 73,515 Income 5,974 9,242 Free cash flow 7,043 5,885 Employees 336,000 360,000

As of September 30, 2011

Page 17: Siemens innovation

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Contents

Siemens at a glance: Key figures and strategy 2 – 16

Innovation strategy and tools 17 – 37

Input: R&D expenditure 38 – 43

Output: R&D results, patents 44 – 48

Examples of innovation: Sectors 49 – 93

Page 18: Siemens innovation

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Research and innovation complement each other

Consequences:

 Research is a necessary though not sufficient precondition for innovation (Innovation is the invention plus market success)

 Economic value is only created by successful innovations

 Business strategy drives R&D strategy Innovation is transforming

knowledge into money

Research is transforming money into knowledge

Page 19: Siemens innovation

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Fast follower

Pace-setting technologies:  Determine tomorrow’s

competitiveness

Key technologies:  Determine today’s

competitiveness

Basic technologies:  Basic competence

for today’s business

New technologies:  Discontinuity  New rules of the game

Maturity

Time

The strategy for innovation: Set trends and define markets

“The early bird catches the worm, but the

second mouse gets the cheese”

First mover “The early bird catches

the worm”

Pioneer “If you're ahead of the bird, but behind the first mouse,

you get both – the worms and

the cheese”

Page 20: Siemens innovation

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Innovation Strategy

Consistent with respect to:

Consistent strategy: Our innovation strategy is to be a pioneer in all our businesses

Technology strategy

Patent strategy

R&D resource strategy

Standards strategy Processes

People / Skills / Culture

 Be a pioneer in all our businesses to secure the most competitive edge

 Focus on trendsetting technology portfolios per business and achieve leading position

  Increase patents in trendsetting technologies

 Effective R&D spending

 Full leverage of our capabilities and assets to tap further potential

Page 21: Siemens innovation

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  Construction of a reliable pointer telegraph by electrically synchronizing the transmitter and receiver

  Vastly superior to previous equipment because it no longer works like a clock mechanism

  Transmission of messages by pressing a rotating needle on the transmitter to stop it on the letter to be transmitted

  Range of about 50 kilometers

  Use of electric batteries for the power supply

  Apparatus made of cigar boxes, tin plate, pieces of iron and insulated copper wire

Pioneer 1847: Pointer telegraph

Source: Siemens Corporate Archive

The pointer telegraph revolutionizes modern communications by providing reliable message transmission over long distances

Facts & benefits

Page 22: Siemens innovation

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Pioneer 2015: Smart grid

Source: Siemens Corporate Strategies

  Smart grid is an integrated bidirectional transmission system for the delivery of electricity using digital technologies

  The system optimizes efficiency, while balancing electricity prices and fluctuations caused by an increased feed-in of renewable energy sources

  Siemens’ strength lies in the combination of its world leading position in the fields of energy automation, equipment manufacturing, offshore generation, HVDC transmission etc.

  Potential risks:

-  Market volume relatively small today

-  Competition intensifies as new competitors move into the market

Facts & Benefits

Involving the entire electricity production and distribution chain, Siemens is the only company having a comprehensive portfolio to master the smart grid challenge

Page 23: Siemens innovation

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Siemens considers the characteristics of all types of innovations

Technological change

Bus

ines

s M

odel

  Substantial change in technology, business model unchanged

  High level of technical risk

  New or substantially changed business model

  Business to be conducted differently

  Implying huge organizational challenges

Low High

New

Un- changed

Radical Disruptive Disruptive

Radical Incremental (current R&D)

Future Business

Current Business

The business model describes how an organization works in terms of value creation, delivery

and capture

Page 24: Siemens innovation

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Siemens answers the toughest innovation challenges

Technological change

Bus

ines

s M

odel

Low High

New

Un- changed

Radical Disruptive Disruptive

Radical Incremental

(current R&D)

1 3

2

Innovation examples

Increased digitalization of factory planning: Siemens buys UGS to enable integrated management of whole product lifecycle (digital factory)

New materials (e.g. Ceramics with enhanced properties): New heat shield for turbines create competitive advantages

Energy savings Performance contracting: Siemens sells reduction of energy consumption and is paid in % of realized reductions

1

2

3

Page 25: Siemens innovation

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Siemens Corporate Innovation Process (CIP) promotes growth through innovation

  Key objectives of the CIP are -  to ensure a timely identification of

disruptive commercialization challenges,

-  to realize their strong potential business impact,

-  to have a stringent and holistic capital allocation decision,

-  to set-up clear operational ownership and a continuous process

-  to ensure top management attention

  CIP will push organic growth in support of One Siemens growth targets

Goals Corporate Innovation Process and Pipeline

Discussion on Corp.

Innovation Opportunities

with CEO/CFO/CTO

Elaboration of

Corporate Innovation

Opportunities

Identification of

Corporate Innovation Fields

Implemen-tation

Follow-up

Capital allocation decision by Managing Board Prioritization Preselection

Corporate Innovation Pipeline

Business Plan Follow up with go/no go decision

Defined strategy, owner and budget

Innovation Fields

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Healthcare Industry Energy Leveraging the technological synergies at all levels

We will tap further upside potential on all levels of technology synergies …

Best-practice sharing between Divisions, Corporate Departments and Regional Companies as with Software Initiative (SWI), Project Management

3

Multiple impact of Corporate Technology, Lighthouse projects, technologies, technology consulting, innovation management & process consulting, patents, standardization

Corporate Technology

Best-practice sharing

Use of common technologies, shared R&D-projects, platform projects, common use of IPRs, innovation value chains

Common technology and platform 1

2

Infrastructure & Cities

Page 27: Siemens innovation

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Networks are the breeding grounds for innovation (“Open innovation”)

Start-up / VCs

''Think Tanks''

Competitors

Key Customers

Research Institutes

Universities

Other Industries

Governmental partners

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Innovating with partners – Closed’ and ‘open’ processes complement one another

… and be capable of integrating innovation partners. We must be a leader in key technologies …

“The lab is our world.“

“The world is our lab.“

  …while also managing the risks – which enables us to be open for knowledge transfer.

  We protect our competitive advantage, for example, through key patents…

  …and make use of all internal and external ideas.   We generate the best ideas in key technologies and competences...

  …combined with external R&D resources, create tremendous value.

  World-class R&D teams in key technology fields…

  …allowing them to exchange ideas with the most talented people at the company and beyond.

  Our employees are on equal terms with the most innovative suppliers, customers, partners…

Page 29: Siemens innovation

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SMART Low-End-Portfolio

High-end products

Current & future focus of Siemens

Additional potential for

Siemens

High-End High-End

Mid-Range, Low-End

Leverage global network of innovation

Low-cost portfolio and localization

Mid-Range, Low-End

Siemens strategy: Strengthen competitive position in mid-range and low-end markets (top+Smart)

Emerging countries e.g. CHN, IND

Developed countries e.g. GER, USA, JPN

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The product requirements of emerging markets are different to those of the developed world

SMART value product development in the Region Product requirements

SMART value products are driven by innovation, quality and costs

Siemens solution:

 S imple  M aintenance-friendly  A ffordable  R eliable & robust  T imely to market

 Products must be robust, to work in a tough environment e.g. temperature, dust, humidity, voltage / frequency fluctuations, low-skilled operators

 With just the basic features  Price in line with buying power of consumers  Must be of high quality & comparable with

global standards  Must also be repairable  And suitable for rural distribution conditions

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SMART Off-grid lighting & energy solution by

  Off-grid via photo-voltaic systems   OSRAM-luminaire with external battery

('‘O-Lamp Basic'‘) or OSRAM-luminaire with integrated battery (O-Lamp ''2 in 1'': CFLi plus LED plus battery)

  Services: Charging of batteries, direct mobile phone charging and loading of electronic devices, water purification

The 1st holistic lighting and energy concept from a company for developing and emerging countries

The idea of ''Energy Hubs'':

The vision: To set up a sustainable and financeable energy and lighting supply system for households in regions without power grids

Off-grid project in Kenya ''Umeme Kwa Wote – Energy For All''

1.6 billion people worldwide without electricity

 Water purification unit: Up to 3,000 l per day

 Water filtering with OSRAM Puritec UVC-lamps

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Multix Select DR: Cost-effective x-ray system

  Multix Select DR offers a cost-effective entry point into digital radiography:

  Suitable for virtually all clinical radiography applications

  Easy to use   Attractive price-performance ratio   Priced at around one third below Siemens'

comparable predecessor products

  Equally attractive to small and medium-sized hospitals in emerging countries as well as to small hospitals and physicians' clinics in industrialized countries.

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Strategic visioning process – Pictures of the Future

Today‘s business

Long-term Medium-term

Society

Politics

Economy

Environment

Customers

Technology

Competitors

Influence factors and trends

Short-term Today

'Picture of the Future’

Suppliers

Extrapolation (Roadmaps)

Retropolation (Scenarios)

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Benchmarking: Innovation radar highlights strengths and weaknesses

Evaluation of own strength Importance for innovation

Budget

Corporate culture

Innovation core processes

Strategy

Technology

Patents and standards

Qualification and ability

5 4 3

1 2 The innovation radar

determines, compared with competitors, how well developed the skills of the company are for successfully implementing the innovation strategy. The radar is the basis for defining measures for improvement.

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Any innovation process begins and ends with the customer

Anforderungen des Kunden

Invention Implementation in the company

Implementation in the market

Generating ideas   Customer benefits   Creativity

workshops Selecting ideas   Value creation   Competition   Competence

IP generation

Business plan (draft)   Product specification   Business strategy   Business data Top management support Financing Project management Production/logistics Integration (testing)

Controlling

Marketing  Market segmentation  Timing  Alliances/cooperation  Key customers

Sales After-sales service

Lösungen für den Kunden

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Culture of Innovation: The right climate for innovators and inventors

  Siemens Corporate Innovation Process (CIP)

  top+ innovation award

  “Inventor of the year” award

  Top innovators

  3i suggestion program and award

  Innovation benchmarking

  Community of Practice Innovation Management (CoP InnoM)

  Best-practice sharing

  Working Group Innovation (WG-I)

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Building a pool of young R&D employees is the key to our innovative strength

  Engineers and scientists are in short supply – worldwide.

  Not only university graduates but also experienced professionals are scarce.

Contact to Siemens early on helps ensure a steady supply of young engineers.

  Systematic cooperation with the world’s leading universities

  Interesting programs to foster student trainees and interns

  YOLANTE – A special program to nurture women engineers

  Work-study programs, also in engineering professions

The majority of jobs at Siemens are geared to engineers and scientists.

Number of job openings in Germany for employees with a university degree, by area of

specialization (as of 10/2011)

Electrical engineering/ Mechanical engineer-

ing 30%

IT 10%

Natural sciences, indus-trial engineering 3%

Electrical engineering/ IT 4%

Other 2%

Mechanical engineering 15%

Other fields of engineering 18%

Economic sciences 6% Business adminis-tration 9%

Ca. 2900

Page 38: Siemens innovation

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Contents

Siemens at a glance: Key figures and strategy 2 – 16

Innovation strategy and tools 17 – 37

Input: R&D expenditure 38 – 43

Output: R&D results, patents 44 – 48

Examples of innovation: Sectors 49 – 93

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The Top 10 companies of electrical and electronics industry 2010 1)

1) Fiscal year: Oct. 1, 2010 – Sept. 30, 2011 2) 70.8 bn EUR revenue if you exclude GE Capital Services and National Broadcasting Company 3) Estimated Source: Siemens AG, CD ST SP PP

Sales by big companies of the electrical industry 2011, in bn. EUR 1)

50.8

55.1

60.9

73.5

73.9

76.1

83.3

91.0

102.6

107.7 GE 2)

Samsung3)

HP

Hitachi

IBM

Panasonic

Siemens Sony

Toshiba

Microsoft

1 2 3 4

10

9

6

8 7

5

70.82)

Page 40: Siemens innovation

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Siemens conducts R&D at some 160 locations worldwide

Berkeley

Moscow

Beijing Tokyo

Bangalore

Minnetonka

Newark

Buffalo Grove

Guadalajara

South Windsor

Macquarie Park Singapore

Shanghai

Nanjing Kolkata

Thane Gurgaon

São Paulo

Jundiaí

Issaquah

Houston Arlington

Tarrytown Flanders

Hoffmann Estates

Malvern

Princeton

Knoxville

St. Petersburg

Vienna

Budapest

Erlangen Nuremberg Forchheim

Amberg

Munich Los Angeles

Mountain View

Berlin

Linz

Norwood

Some of the major R&D locations

Shenzhen Suzhou

Chennai

Pune

Finspång

Nordborg

Beit Shemesh Brasov

Zilina

Zug

Grenoble

Bratislava

Brunswick

Karlsruhe

Mülheim

Lincoln 27,800 R&D Employees (FY 2011)*

Germany 42%

Americas 25%

Asia/Australia 12%

Europe, Near and Middle East, C.I.S.

21%

*Total number: Source: Siemens Annual Report 2011 Distribution: Status September 30, 2011

Page 41: Siemens innovation

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Partnerships with leading research facilities

Siemens‘ strategic partner program with top universities worldwide, the Center of Knowledge Interchange (CKI):

USA   MIT, Cambridge, Massachusetts   UC Berkeley, California Europe  RWTH Aachen University  Technical University Berlin  Technical University Munich  Technical university of Denmark,

Copenhagen China  Tongji University, Shanghai  Tsinghua University, Beijing

Locations of corporate facilities

Berkeley

Princeton Moscow

Tokyo Shanghai

A selection of other major cooperation partners:

 FAU Erlangen  Fraunhofer Gesellschaft  Technical University Darmstadt  Technical University Dresden  Karlsruhe Institute of Technology  Eidgenössische Technische Hochschule Zurich  Johannes Kepler University Linz  Johns Hopkins University  University of Oxford  Moscow State University  Georgia Institute of Technology  University of Tokyo

Bangalore

Beijing

Singapore

Cooperation network

Roughly 1,000 new research partnerships are started every year. The majority are conducted by Corporate Technology, with all others initiated directly by various Siemens business areas.

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“The world is our lab” – Global partnerships with leading universities, customers and suppliers

Worldwide cooperation network Example: Gas turbine development

Competences  Aerodynamics

 Dynamic integrity  Materials /

coatings  Combustion  Thermal conduction

 Probabilistic design

 Diagnostics and sensors

  Over 1,000 partner universities in 50 countries   Strategic partnerships with top universities in the

U.S., Europe and China   Exchanges of experts: some 200 teaching

appointments, fellowships and honorary professorships

  In 2010, Siemens hired more than 11,000 engineering graduates.

  Only by closely integrating the R&D network was it possible to set a new world record for power plant efficiency.

  Some 50 leading universities worldwide are contributing their core competences (e.g., Tsinghua University in Beijing).

  Preferred and licensed suppliers for specific strategic components

Over 60%

Vision

Overall plant efficiency

Past 2010 Future

Page 43: Siemens innovation

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800 million euros of venture capital: Strengthening the power to innovate

  Driving innovative ideas/technologies for new markets to strengthen the company’s power to innovate with an adequate return

  Generating new business by turning innovative ideas to practical account:   Spin-ins and spin-outs:

embedded in existing Siemens structures or in the form of a start-up foundation (STA and TTB)   Direct participation in external start-up companies and VC funds (SVC)

  Support and growth through financing and coaching   Coupling technology orientation with business orientation   Establishing a new culture of innovation and entrepreneurship

M&A

Tasks and objectives

1) Siemens Venture Capital has up to now invested in over 150 technology companies and 40 venture capital funds.

Seed phase (ideas, patents)

Start-up phase

Market entry/ expansion

Exit (floating/selling)

Siemens Venture Capital (SVC)

Siemens Technology Accelerator (STA) Siemens Technology-to-Business Center (TTB)

Siemens Technology Accelerator (STA)

Munich

Technology-to-Business Center (TTB)

Berkeley, Shanghai

Siemens Venture Capital 1) Munich, USA, Israel, China,

India

Page 44: Siemens innovation

Page 44 August 2012 Corporate Communications

Copyright © Siemens AG 2012. All rights reserved.

Contents

Siemens at a glance: Key figures and strategy 2 – 16

Innovation strategy and tools 17 – 37

Input: R&D expenditure 38 – 43

Output: R&D results, patents 44 – 48

Examples of innovation: Sectors 49 – 93

Page 45: Siemens innovation

Page 45 August 2012 Corporate Communications

Copyright © Siemens AG 2012. All rights reserved.

Patent ranking: Siemens is in 3rd (GER), 1st (EP) and 10th place (US)

German Patent and Trademark Office

0 500 1000 1500 2000 2500 3000

Daimler

10

3 2

4 5 6 7 8 9

13 GE

… …

1 Bosch

GM

BSH

Daimler

10

3 2

4 5 6 7 8 9

GE

… …

1 Bosch

GM BSH

Schäffler

VW

Audi

US Patent & Trademark Office

2 3 4 5 6 7 8 9

1

10

13 12 11

Toshiba

European Patent Office

0 1000 2000 3000 4000

Bosch 4 5 6 7 8 9

1

LG

10

3

13

11

2 BASF

4 5 6

9

1

3 2

0 1000 2000 3000 4000

ZF Friedrichshafen

12

BMW

Siemens Siemens

Siemens

IBM Samsung Canon Hitachi Panasonic

Microsoft Sony

GE

Fujitsu

LG Electronics

LG

Siemens

Qualcomm

BASF Samsung

GE Bosch Ericsson Mitsubishi Sony Panasonic Bayer

Philips

Seiko

(Source: DPMA, Patent applications, Status: 2011)

(Source: EPA,, Patent applications, Status: 2011)

(Source: IPO, Patents Granted, Stand: 2011)

Page 46: Siemens innovation

Page 46 August 2012 Corporate Communications

Copyright © Siemens AG 2012. All rights reserved.

Siemens Patent key figures, by Sectors – FY 2011*)

Invention disclosures First patent filings Patents granted

8.6001)

24%

23%

23%

3% Cross Sector

& Others

16%

Industry Healthcare

Energy

CT

4.3002) 24%

22%

21%

1% Cross Sector

& Others

15%

I&C

Industry Healthcare

Energy

CT

53.300 28%

23%

12% 16% Cross Sector

& Others

Industry Healthcare

Energy

2%CT

19%

16% I&C

17%

18%

I&C

1)  39 Inventions per day (assuming 220 working days) 2) 20 applications per day (assuming 220 working days)

*) Status: September 30, 2011

Page 47: Siemens innovation

Page 47 August 2012 Corporate Communications

Copyright © Siemens AG 2012. All rights reserved.

0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000

10,000 11,000

1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010

Patent management has a long Tradition at Siemens

Development of invention disclosures and patent registrations

without Infineon

without SV without Com

Invention disclosures (GER) Invention disclosures First filings (GER) First filings

“I believe that one of the main reasons why our factories are flourishing is the fact that our products are largely based on our own inventions.” Werner von Siemens

Page 48: Siemens innovation

Page 48 August 2012 Corporate Communications

Copyright © Siemens AG 2012. All rights reserved.

Siemens in comparison

Siemens IP+ Initiative: Strategic focus for patent management

First patent publications of selected competitors (conglomerates)

0

1000

2000

3000

4000

5000

6000

7000

8000

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

IBM zum Vergleich

Siemens

Toshiba

GE

Hitachi

Philips

Mitsubishi Electric

Honeywell

Start of IP+ Initiative Start of patent

initiatives at GE and Philips

(Status: September 30, 2011 )