Prioritize innovation in low-carbon solutions. Investing in new ideas used to be a point of pride for most industries, but the glory years of corporate R&D are gone. Today, companies in the aerospace, materials, and energy industries spend on average less than 5 percent of their revenue on R&D. (Software companies spend upwards of 15 percent.) Companies should reprioritize their R&D work, particularly on low-carbon innovations, many of which will require long-term commitments. Larger companies can partner with government researchers to bring practical commercial experience to research efforts.
