7 Research and development

	2017	2018
CHF 1,000
Gross research and development costs incurred1	59,166	72,159
Reclassification of development costs related to engineering services to cost of sales	(11,254)	(12,573)
Capitalization of development costs in position inventories (see note 16)	(726)	(6,153)
Capitalization of development costs in position intangible assets (see note 19)	(10,074)	(12,834)
Amortization of development costs and acquired technology	13,310	10,487
Impairment loss on capitalized development costs	647	–

Total research and development (gross), according to statement of profit or loss	51,069	51,086

Government research subsidies	(1,073)	(1,039)

Total research and development (net)	49,996	50,047

The amount includes the cost of materials, external services, personnel, temporary employees and overhead.

Costs for research and the development of new products (gross) amounted to 8.6% of sales (2017: 9.3%).