India revolting against colonization by Technology Giants

India internet is dominated by American technology giants. Facebook’s WhatsApp is the most popular app on phones. Virtually every smartphone runs on Google’s Android system. YouTube is the favorite video platform and Amazon is the No. 2 online retailer.

India’s government will be imposing tough new rules on the technology industry.

China has been able to grow domestic internet giants like Alibaba, Tencent and Baidu by limiting foreign competition.

The proposals will raise the costs for foreign companies. It could deter investments like Walmart’s recent $16 billion deal to buy control of Flipkart, which is India’s leading online retailer.

India wants to grow Technology Giants

In 2017, there were seven Indian companies that made it to 2017’s Fortune 500 list, three are private companies—Reliance Industries, Tata Motors and Rajesh Exports—and none was a technology company.

China has 115 companies in the Fortune 500, featuring technology firms like Alibaba, Tencent Holding, JD.com and Huawei, among others. This success is not only a result of having skilled workers; the integration of China with the global economy has an important role to play.

China has been an important manufacturing hub for a couple of decades, and its workers have been exposed to the processes and management practices employed by major companies. China is moving up the value chain by bringing together its experience in fabrication, its new R&D edge and the latent skills its workers have acquired over the years to build tech giants.

South Korea is the gold standard in R&D spending. They spend 4.3% of GDP purchasing power parity basis. This is more than double China’s ratio.

On a dollars per person level, South Korea nearly matches the US research spending at about $1520 vs $1580 per person.

Higher Education Failures

Indian universities have failed to provide business clusters because of the split with teaching and research. Higher education in India is in a state of disrepair. No Indian university features in the top 200 of the Times Higher Education (THE) World University Rankings 2018, with Indian Institute of Science (IISc), Bangalore slid further into the 251-300 grouping. In contrast, China has two universities in the top 30 and seven in the top 200.

15 thoughts on “India revolting against colonization by Technology Giants”

  1. What you say is circular logic that makes no sense. They don’t need to come to the US to get ‘experience’. There are plenty of countries in India they can work for. Of course, not so much if they restrict US tech companies. And no. Most of the H1-B workers here are not ‘the best young talent’. That visa is thoroughly abused. The existence of H1-B subcontracting shops proves this. And I’ve seen people brought in for just IT work — which is ridiculous. I’ve witnessed this first hand. Good thing Trump put in key people to harass H1-B visa companies with Notices to Appear and other bureaucratic maneuvers to raise the cost of this abuse.

    Reply
  2. What you say is circular logic that makes no sense.They don’t need to come to the US to get ‘experience’. There are plenty of countries in India they can work for.Of course not so much if they restrict US tech companies. And no. Most of the H1-B workers here are not ‘the best young talent’. That visa is thoroughly abused. The existence of H1-B subcontracting shops proves this. And I’ve seen people brought in for just IT work — which is ridiculous. I’ve witnessed this first hand.Good thing Trump put in key people to harass H1-B visa companies with Notices to Appear and other bureaucratic maneuvers to raise the cost of this abuse.

    Reply
  3. What you say is circular logic that makes no sense.

    They don’t need to come to the US to get ‘experience’. There are plenty of countries in India they can work for.

    Of course, not so much if they restrict US tech companies.

    And no. Most of the H1-B workers here are not ‘the best young talent’. That visa is thoroughly abused. The existence of H1-B subcontracting shops proves this. And I’ve seen people brought in for just IT work — which is ridiculous. I’ve witnessed this first hand.

    Good thing Trump put in key people to harass H1-B visa companies with Notices to Appear and other bureaucratic maneuvers to raise the cost of this abuse.

    Reply
  4. Sending all the H1-B visa holders home would backfire because some the best young talent here in the US would be sent back to India with the kind of experience needed to compete with the US just a the right time (when India was trying to expand it’s tech by restricting foreign tech companies.)

    Reply
  5. Sending all the H1-B visa holders home would backfire because some the best young talent here in the US would be sent back to India with the kind of experience needed to compete with the US just a the right time (when India was trying to expand it’s tech by restricting foreign tech companies.)

    Reply
  6. First, India has lots of overseas offices from numerous tech companies so they already benefit. Second, they are marginal players in tech because they don’t really play in the hardware space. Third, their university system is not really up to competing with the West or even China for that matter which means their best people end up going overseas.

    Reply
  7. First India has lots of overseas offices from numerous tech companies so they already benefit. Second they are marginal players in tech because they don’t really play in the hardware space. Third their university system is not really up to competing with the West or even China for that matter which means their best people end up going overseas.

    Reply
  8. Sending all the H1-B visa holders home would backfire because some the best young talent here in the US would be sent back to India with the kind of experience needed to compete with the US just a the right time (when India was trying to expand it’s tech by restricting foreign tech companies.)

    Reply
  9. First, India has lots of overseas offices from numerous tech companies so they already benefit. Second, they are marginal players in tech because they don’t really play in the hardware space. Third, their university system is not really up to competing with the West or even China for that matter which means their best people end up going overseas.

    Reply
  10. Hahahahaha….love it. Gives Trump the excuse to ship all of India’s H1-Bs home and force the US financial industry to pull out all their call centers in India. Stupid New Delhi.

    Reply
  11. Hahahahaha….love it.Gives Trump the excuse to ship all of India’s H1-Bs home and force the US financial industry to pull out all their call centers in India.Stupid New Delhi.

    Reply
  12. Ido not thing that universities are the problem, I think that india` s dependence on the US is the problem India should do like China, close their system to the US and develop only national technology copying it from the United states and so on And start a good business relationship for oil from Iran

    Reply
  13. Ido not thing that universities are the problem I think that india` s dependence on the US is the problem India should do like China close their system to the US and develop only national technology copying it from the United states and so on And start a good business relationship for oil from Iran

    Reply
  14. Ido not thing that universities are the problem, I think that india` s dependence on the US is the problem
    India should do like China, close their system to the US and develop only national technology copying it from the United states and so on
    And start a good business relationship for oil from Iran

    Reply

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