alt Hacker News> R&D can be outsourced or bought and subsidized by the government in universities, so why do everything yourself?
Because some problems that many companies in very specialized industries work on are so special that outside of this industry, nearly all people won't even have heard about them.
Additionally, many problems companies have where research would make sense are not the kind of problems that are a good fit for universities.
Those fields still develop in-house expertise and world-leadning products. General Electric was cited above, but their turbine engine division is producing the most fuel-efficient, reliable, and lowest TCO aircraft engines there have ever been. The materials science and engineering expertise needed to do this isn't something you can find in a freshly-graduated university student.
Products like jet engines, though, are still those where quality matters. They are so costly that there's room in the finances to deliver it. Unlike household appliances, where consumers make decisions mostly on the basis of price and being $5 cheaper than the competition is what will get you the sale even if it means using plastic instead of cast or forged metal parts.