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Microsoft's Bill Gates kicked off the company's annual Financial Analysts Day here Thursday by announcing the company will boost R&D spending by 20 percent from $4.3 billion in FY 02 to $5.2 billion in FY 03.

The planned spending brings Microsoft back in line with previously announced R&D investment levels. In July 2001, Gates announced at Microsoft Research Faculty Summit here that the company would spend $5.3 billion on R&D over the coming year in 2002.


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