Where is R&D going? China, of course.
Take a gander at the following article
- Sixty-two percent of global companies ranked China first “as the most attractive location for prospective R&D.”
- Multinationals have set up 1,160 research institutions by the end of 2007.
- Total revenue of the hi-tech industry (foreign companies) exceeded 706 billion U.S. dollars.
- Patent applications as of 2006 put China fourth in the world.
- And here is the kicker: 40% of those applications came from foreign companies.
Yes, yes, globalization will raise all boats. The only boats I see rising are the foreign companies in China.
Now, why is China the most attractive location for prospective R&D? You get one guess.
And who’s supposed to buy all this hi-tech stuff?
Uncle Sam: “Give him another tax rebate, boys. Put it on my tab.”