Results 1 to 7 of 7

Thread: US no longer number one

  1. #1
    God/dess Deogol's Avatar
    Joined
    Dec 2003
    Posts
    5,493
    Thanks
    120
    Thanked 50 Times in 35 Posts

    Default US no longer number one

    Finally happened, US no longer number one in technology

    BEIJING--After almost a decade of explosive growth in its electronics sector, China has overtaken the United States as the world's biggest supplier of information technology goods, according to a report by the Organization for Economic Cooperation and Development.

  2. #2
    Banned Melonie's Avatar
    Joined
    Jul 2002
    Location
    way south of the border
    Posts
    25,932
    Thanks
    612
    Thanked 10,563 Times in 4,646 Posts
    Blog Entries
    3
    My Mood
    Cynical

    Default Re: US no longer number one

    yes, but ...

    Microsoft (US) controls the operating system
    Intel (US) and AMD (US) control the processors
    Samsung (Korea), Infineon (Germany) and others make the DRAM
    Intel and the Taiwanese make the motherboard chipsets
    Taiwanese make the motherboards.
    Graphics chips: mostly US

    Leaving the low margin assembly business for the Chinese. (thanks to prudentbear.com)

  3. #3
    God/dess montythegeek's Avatar
    Joined
    Oct 2003
    Posts
    2,103
    Thanks
    0
    Thanked 9 Times in 5 Posts

    Default Re: US no longer number one

    Not only is everything Melonie says true, but the OECD numbers are not what the article says they are. The trade numbers also include cellphones and digital cameras--which are as hightech as transitor radios (also included). I had a link to the whole study last night, but the software ate my link when it got hung.

    It is not where the assembly is done, it is where the value is added since the inputs are 90+% of the value of a computer.

    As the article says damn few chips are made in China because manuf. know their technology will be stolen.

  4. #4
    Featured Member Vamp's Avatar
    Joined
    Jul 2004
    Location
    Missouri
    Posts
    1,111
    Thanks
    271
    Thanked 757 Times in 289 Posts

    Default Re: US no longer number one

    that is true but there is a bigger picture here too. Manufactoring is slowly leaving the US. It may not seem like much but it is one more change we are going thru that is going to have an impact on our econmy. Gm is tripling their production of cars for India. While we are heading for an econmic down turn Asia is booming. In five years we will no longer be the number one consumer market. The global playing field is leveling out.

  5. #5
    Banned Melonie's Avatar
    Joined
    Jul 2002
    Location
    way south of the border
    Posts
    25,932
    Thanks
    612
    Thanked 10,563 Times in 4,646 Posts
    Blog Entries
    3
    My Mood
    Cynical

    Default Re: US no longer number one

    The global playing field is leveling out.
    Actually, the problem is that for manufacturing and 'commodity' businesses, the playing field is anything BUT level. The US has much higher costs for both skilled and unskilled labor ( including pay rate + employer benefit cost + gov't benefit cost of comp etc.). The US has much higher compliance costs in regard to environmental and worker safety. As long as these huge differences in 'mandated' costs continue to exist, it's a no-brainer that manufacturing and 'commodity' businesses are heading to Asia as soon as existing US contracts will permit.

  6. #6
    Featured Member Vamp's Avatar
    Joined
    Jul 2004
    Location
    Missouri
    Posts
    1,111
    Thanks
    271
    Thanked 757 Times in 289 Posts

    Default Re: US no longer number one

    yes but its also why many manufactoring factories are either moving or going out of buisness here in the US. Many see the lay offs at GM and soon to be Ford with their finicial crisis as a way to break the unions. When I say its leveling out I mean that with alot of differant outsourcing and manufactoring jobs going to Asia they will soon be the largest consumers as well. America will no longer be number one but more equal to other countries.

    I feel there will come a time that america will have to change dramticaly in order to compete. I think the powers that be are pushing this change along with how hard they are pinching the middle class.

  7. #7
    Banned Melonie's Avatar
    Joined
    Jul 2002
    Location
    way south of the border
    Posts
    25,932
    Thanks
    612
    Thanked 10,563 Times in 4,646 Posts
    Blog Entries
    3
    My Mood
    Cynical

    Default Re: US no longer number one

    I feel there will come a time that america will have to change dramticaly in order to compete. I think the powers that be are pushing this change along with how hard they are pinching the middle class.
    I'm in total agreement with you. At the risk of a partially political financial comment, when America finally bears the full brunt of globalization there will be no sustainable source of funding to 'subsidize' the standard of living of many Americans above their worldwide counterparts. In the short term, the American gov't is still trying to do this by taxing the middle class more and more, and in turn transferring that tax money towards direct/indirect benefits for the American 'poor'.

    But in the long term, IMHO the day will come when there simply isn't enough middle class tax money available to keep providing a place to live, heat, air conditioning, food, medical care, and cable TV to Americans who essentially have no 'decent' jobs and no marketable skills with which to obtain a 'decent' job. At this point the 'dramatic change' you refer to will be inevitable.

    The trick will be to make sure that you as an individual can make the leap from being a 'middle class' earner (who will be taxed to death) into becoming 'independently wealthy' (who can escape the brunt of the new taxes), before increased middle class taxation creates an increasingly heavy pair of 'lead boots'. Once those 'lead boots' become heavy enough, it will be essentially impossible for remaining 'middle class' earners to save enough money to improve their standard of living significantly no matter how hard they work at it - which is essentially the situation in most 'third world' countries. The partial exception is of course the skilled workers in China-India-etc, who will begin to reap a few 'middle class' improvements in their living standards as quickly as the 'American' middle class sees their standard of living declining.

Similar Threads

  1. 25 no longer 35?? :(
    By XAnastasiaX in forum Hustle Hut
    Replies: 8
    Last Post: 02-05-2010, 12:47 AM
  2. Who will last longer?
    By Everyman in forum Customer Conversation
    Replies: 21
    Last Post: 07-15-2009, 04:17 PM
  3. No longer on the outside looking in!
    By MichelleJade in forum Newbie Board
    Replies: 3
    Last Post: 01-21-2008, 06:15 PM
  4. ss number/tax identification number/taxes
    By pookie in forum Dollar Den
    Replies: 19
    Last Post: 09-16-2007, 02:01 PM
  5. No longer blonde.
    By Pamela in forum Body Business
    Replies: 10
    Last Post: 03-24-2003, 03:25 PM

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •