alt Hacker NewsYes and no. Having more competition in the space is excellent news. However I am sad that the world interdependence is eroding as most other countries seem to sit on their hands and happily outsource every bit of manufacturing to a single country.
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This would be interdependence expanding. Manufacturing isn't the only kind of economic activity
I don't think it's by choice just ask all those extinct manufacturers
I think Western people still call this situation “outsourcing” when in reality what is happening is that China is better at manufacturing than everyone else, and they’re starting to be better than everyone else at design and engineering, too.
When we buy software from Silicon Valley or a nice Mercedes Benz from Germany we don’t use this same language “outsourcing.”
Colloquially, outsourcing implies low quality or cheap price. No, what’s happening here is that China makes the best products in numerous categories and we are choosing to import them, because the best products are the most desirable.
This is what was sold to – and often forced on – countries by the US and their allies via the IMF and World Bank. Global free trade meant that you only produced what you had an advantage in and bought what others could produce at lower cost.
So same as before?
I think describing what's happening "other countries seem to sit on their hands and happily outsource every bit of manufacturing to a single country" is disingenuous. It's been dubbed China Shock 2.0 and it's being taken very seriously by the EU. The US admin is a joke and too busy shooting itself in both feet to have coherent policy
Except this trend is actually reversing now, with fabs being built outside of Taiwan?
Countries and institutions should always produce things where they are excellent at producing, in forms of specialization and compete in terms of comparative advantages.
Xiaomi's Xring O3 is manufactured by TSMC N3P process in Taiwan. [1]
MediaTek Dimensity 9500 is also manufactured by TSMC N3P process in Taiwan. [2]
There was no world interdependence change (unless one considers China and Taiwan to be the same countries).
[1] https://www.notebookcheck.net/Xiaomi-launches-XRing-O3-claim...
[2] https://www.notebookcheck.net/MediaTek-Dimensity-9500-Proces...