What if India and China Collaborate?
By siliconindia
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Wednesday, 07 December 2011, 02:21 IST |
7 Comments
3. The Hardware and Software Coming together:
When Chinese Premier Wen Jiabao visited India last year, his first stop was not the political capital New Delhi but the IT hub Bangalore. Addressing a crowd of 4,000 IT professionals, Zhu delighted those present by promoting a new era in Sino-Indian cooperation. "You are No 1 in software. We are No 3 in hardware," he said. "If we put these together, we are the world's No 1." It is no surprise that Asia's giant neighbors would seek to combine each other's reciprocal strengths in IT. According to a recent Forrester report, "How India, China Redefine the Tech World Order", over the next five years markets in India and China will account for nearly 40 personal of all personal computers (PCs) and a significant share of all mobile telephones sold worldwide. Production sectors in both countries stand to gain enormously from this potential growth. China's booming hardware sector - now among the strongest in the world. Chinese businesses have been slower to establish bases in India. The most significant investment so far comes from Huawei, a Chinese electronics manufacturer that, seeking to take advantage of India's software talent, has established a research-and-development (R&D) institute in Bangalore. While in India both the production and consumption of consumer electronics are still relatively low, the country's vast population and rising middle class make it a hugely important potential market.