Among the many directions of IT, the most pervasive is the fusion of information processing with physical processes - called embedded computing. It is the basic engine of innovation and source of competitiveness for broad range of industrial sectors from automotive to telecommunications and from aerospace to manufacturing. Embedded computing transforms products, creates new markets and disrupts the status quo. Embedded computing is rapidly taking over the role of being the universal system integrator for physical systems.Prominent leaders of industrial and academic R&D organizations will discuss the consistency between present and future application challenges as seen by industry and dominating research challenges as conceived by academia.