As media converges, R&D in media will remain important, but must adapt to changing market trends and innovation conditions. This study of R&D in media industry is a first of its kind; it provides a brief synopsis of the new media scenarios after digitalisation, R&D's role in media, BBC and Rai Corporate Strategy. Further on, The thesis empirically analyses BBC's and Rai's R&D activity taking in consideration their managerial, operational and organisational practices. It was concluded that BBC's R&D managed to provide significant results to BBC audience, BBC itself and UK industry, while CRITS (Rai R&D) is struggling to evolve from its path dependency.