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Opinion: Three ways Wall Street hurts tech

9/25/2008 01:00 PM EDT
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Abarafi
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re: Opinion: Three ways Wall Street hurts tech
Abarafi   9/25/2008 7:47:03 PM
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Just back from my fifth trip to Taiwan in 12 months I can tell you that the crisis in the US is rippling through Asia. Merritt is correct that the changes on Wall Street will affect this industry. But, trust me, innovation will not stand still. China is already moving aggressively to move its own electronics industry further up the food chain. The sub-prime mortgage meltdown hurt China (they financed a lot of it), but the prospect of a bailout makes their straits less dire than ours. Remember when Japan leapfrogged the RAM makers during a 1970s recession? That could be a prelude to a continued loss of US primacy in electronics. Wall Street has trained our CEOs to think short term. China and India are both thinking very long term.

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