Tieto’s offering development costs amounted to around EUR 60 million in 2015, representing 4.1% of Group sales (EUR 50 million in 2014, representing 3.2% of net sales). These costs comprise service and product development focusing on, for example, Customer Experience Management, Industrial Internet and Lifecare, Tieto’s product for the healthcare and welfare sector, as well as cloud services and selected industry products. Additionally, the costs for related internal development, e.g. standardization in application management and automation in managed services, are included in this amount. Development costs for major new business concepts and software products are capitalized as intangible assets if they fulfil the requirements stated in the accounting principles. No development costs were capitalized for either 2015 or 2014.