A few years ago many experts felt that U.S. companies were unlikely to outsource their research and development (R&D) activities to lower labor cost Asian countries. However, these expects were wrong. Companies such as Procter & Gamble, Boeing, Dell, Eli Lilly, and Motorola are increasingly relying on Asian business partners to meet their R&D needs. In fact, research shows that U.S. technology companies outsource 70% of their personal digital assistant (PDA) designs, 65% of their notebook personal computer designs, and 30% of their digital camera designs.