China, India and IT Outsourcing
by Richa Govil
Infosys recently polled 237 IT and business professionals. The survey asked "Do you think China will overtake India as the next hub for IT outsourcing services by 2020?"
(the usual disclaimer about rounded numbers not adding up to 100% applies)
I'm sure if China puts its mind (and muscle) to it, it can make anything happen. But at the same time I am not convinced that China will overtake India by 2020.
There is more to building expertise in a field than throwing $$s and people at it. There is a reason why Silicon Valley continues to be the hotbed of entrepreneurial activity in tech-oriented businesses. There is a reason why despite horrible traffic Bangalore employs the highest number of IT professionals in India. Experts in any field do not thrive in isolation -- they require a whole ecosystem to support them.
I'm not saying it can't be done. The Japanese automotive industry is a great counterexample. But if I had to choose between China and India, I'd pick India. Of course, I don't have to choose -- after all, Infosys is building up an IT development center in China.