To: Lizzie Tudor who wrote (176613 ) 1/21/2004 5:12:39 PM From: Saturn V Read Replies (2) | Respond to of 186894 Intel's investment in off shore design facilities and lack of return ? Intel major off shore design activity has been at Intel Israel, which has been in the design business for 15-20 years. The major successful products designed in Israel include the Pentium MMX, and the Centrino. Intel invested in a Japanese design center in 1980, but I have not heard of major succesful products out of that location. Intel just started a design center in India, and is testing the waters with a Xeon. The Xeon design is a minor design tweak of the desktop Pentium, and thus it is a learning process. This is probably similar to the software situation in India. For more than a decade, no one entrusted major software development to India, and the first software projects in India were minor teaks, re-porting of the Software to new operating systems, and the Y2k fixes. However once the credibility of Software Developers was established a few years ago, a lot of mainstream Software Development has migrated to India. You may not be woved yet by the Software from India, but it has only been 2-3 years since the new operations have been set up. And a lot of new Software is being developed simultaneously at various global sites, and to the outsider, it is not clear where the software was developed. Chip Design activity in India will increase inevitably, but is constrained by a lack of semiconductor manufacturing in India. This is the global economy working and unfortunately no career or profession is completely safe. The world will benefit though. The present drought of chip demand is due to the lack of major new killer software applications. The cheap and plentiful software talent in India, will perhaps speed the development of new and better applications. Legacy Software may cease to be an advantage for incumbents, since the software can be redone in India at a much lower cost than in the past. Better applications will benefit everyone.