I saw hints of this ~20 years ago. I was working on software for a consumer device. For manufacturing it, we chose Foxconn. One non-negotiable point from their end was that they had to write some of the software on the device. They didn't care which part or how small.

The device had a physical keyboard with a micocontroller that managed it and they ended up writing the code that ran on that micro as it was largely independent of the code we were writing, and easy for us to test. The first versions were not great, but they got better quickly.

As we talked amongst ourselves about why they were so emphatic about this, it became clear to us that they were taking a long term view of the importance of moving into the intellectual property side of things. Dustin points out that, in some areas, they are there.

There are multiple interesting bits, worth watching the whole thing at some point.

Something that stuck with me was that dude had an uncle that worked at a bolt factory down the road, and now there is literally no way to source domestically made bolts. And that they could find one retired guy after scouring multiple states who could help make an injection mold. I'm sure some of the larger defense contractors have a few guys who can do this, but that makes for a pretty low bus factor.

That talks about how they couldn't find someone US side to make the injection moulding moulds. We used to have a manufacturing business in the UK and got quotes for some moulds in the 1980s. You could get it done in the UK but the cost to get it from China was 1/5 as much. I guess people just went with the cheaper option.

No thanks. Watched the whole thing since its a great channel with great content.