coming out of their universities. Poles and Hungarians are already very well connected,
very close to Europe, and their cultures are very similar [to Western Europe's]. So
today India is ahead, but it has to work very hard if it wants to keep this position.
It has to never stop inventing and reinventing itself."
The raw ambition that Rajesh and so many of his generation possess is worthy of note
by Americans-a point I will elaborate on later.
"We can't relax," said Rajesh. "I think in the case of the United States that is what
happened a bit. Please look at me: I am from India. We have been at a very different
level before in terms of technology and business. But once we saw we had an
infrastructure which made the world a small place, we promptly tried to make the best
use of it. We saw there were so many things we could do. We went ahead, and today
what we are seeing is a result of that. . . There is no time to rest. That is gone.
There are dozens of people who are doing the same thing you are doing, and they are
trying to do it better. It is like water in a tray, you shake it and it will find
the path of least resistance. That is what is going to happen to so many jobs-they
will go to that corner of the world where there is the least resistance and the most
opportunity. If there is a skilled person in Timbuktu, he will get work if he knows
how to access the rest of the world, which is quite easy today. You can make a Web
site and have an e-mail address and you are up and running. And if you are able to
demonstrate your work, using the same infrastructure, and if people are comfortable
giving work to you, and if you are diligent and clean in your transactions, then you
are in business."
Instead of complaining about outsourcing, said Rajesh, Americans and Western
Europeans would "be better off thinking about how you can raise your bar and raise
yourselves into doing something better. Americans have consistently led in innovation
over the last century. Americans whining-we have never seen that before. People like
me have learned a lot from Americans. We have learned to become a little more
aggressive in the way we market ourselves, which is something we would not have done
given our typical British background."
So what is your overall message? I asked Rajesh, before leaving with my head spinning.
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"My message is that what's happening now is just the tip of the iceberg . . . What
is really necessary is for everybody to wake up to the fact that there is a fundamental
shift that is happening in the way people are going to do business. And everyone is
going to have to improve themselves and be able to compete. It is just going to be
one global market. Look, we just made [baseball] caps for Dhruva to give away. They
came from Sri Lanka."
Not from a factory in South Bangalore? I asked.
"Not from South Bangalore," said Rajesh, "even though Bangalore is one of the export
hubs for garments. Among the three or four caps we got quotations for, this [Sri Lankan
one] was the best in terms of quality and the right price, and we thought the finish
was great.
"This is the situation you are going to see moving forward," Rajesh concluded. "If
you are seeing all this energy coming out of Indians, it's because we have been
underdogs and we have that drive to kind of achieve and to get there . . . India is
going to be a superpower and we are going to rule."
Rule whom? I asked.
Rajesh laughed at his own choice of words. "It's not about ruling anybody. That's
the point. There is nobody to rule anymore. It's about how you can create a great
opportunity for yourself and hold on to that or keep creating new opportunities where
you can thrive. I think today that rule is about efficiency, it's about collaboration
and it is about competitiveness and it is about being a player. It is about staying
sharp and being in the game . . . The world is a football field now and you've got
to be sharp to be on the team which plays on that field. If you're not good enough,
you're going to be sitting and watching the game. That's all."
How Do You Say "Zippie" in Chinese?
As in Bangalore ten years ago, the best place to meet zippies in Beijing today is
in the line at the consular section of the U.S. embassy. In Beijing in the summer
of 2004, I discovered that the quest by Chinese
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students for visas to study or work in America was so intense that it had spawned
dedicated Internet chat rooms, where Chinese students swapped stories about which
arguments worked best with which U.S. embassy consular officials. They even gave the
U.S. diplomats names like "Amazon Goddess," "Too Tall Baldy," and "Handsome Guy."
Just how intensely Chinese students strategize over the Internet was revealed, U.S.
embassy officials told me, when one day a rookie U.S. consular official had student
after student come before him with the same line that some chat room had suggested
would work for getting a visa: "I want to go to America to become a famous professor."
After hearing this all day, the U.S. official was suddenly surprised toget one student
who came before him and pronounced, "My mother has an artificial limb and I want to
go to America to learn how to build a better artificial limb for her." The official
was so relieved to hear a new line that he told the young man, "You know, this is
the best story I've heard all day. I really salute you. I'm going to give you a visa."
You guessed it.
The next day, a bunch of students showed up at the embassy saying they wanted a visa
to go to America to learn how to build better artificial limbs for their mothers.
Talking to these U.S. embassy officials in Beijing, who are the gatekeepers for these
visas, itquickly became apparentto me that they had mixed feelings aboutthe process.
On the one hand, they were pleased that so many Chinese wanted to come study and work
in America. On the other hand, they wanted to warn American kids: Do you realize what
is coming your way? As one U.S. embassy official in Beijing said to me, "What I see
happening [in China] is what has been going on for the last several decades in the
rest of Asia-the tech booms, the tremendous energy of the people. I saw it elsewhere,
but now it is happening here."
I was visiting Yale in the spring of 2004. As I was strolling through the central
quad, near the statue of Elihu Yale, two Chinese-speaking tours came through, with
Chinese tourists of all ages. Chinese have started to tour the world in large numbers,
and as China continues to develop toward a more open society, it is quite likely that
Chinese leisure tourists will alter the whole world-tourism industry.
But Chinese are not visiting Yale just to admire the ivy. Consider these statistics
from Yale's admissions office. The fall 1985 class had 71 graduate and undergraduate
students from China and 1 from the Soviet Union. The fall 2003 class had 297 Chinese
graduate and undergraduate students and 23 Russians. Yale's total international
student contingent went from 836 in the fall of 1985 to 1,775 in the fall of 2003.
Applications from Chinese and Russian high school students to attend Yale as
undergraduates have gone from a total of 40 Chinese for the class of 2001 to 276 for
the class of 2008, and 18 Russians for the class of 2001 to 30 for the class of 2008.
In 1999, Yiting Liu, a schoolgirl from Chengdu, China, got accepted to Harvard on
a full scholarship. Her parents then wrote a build-your-own handbook about how they
managed to prepare their daughter to get accepted to Harvard. The book, in Chinese,
titled Harvard Girl Yiting Liu, offered "scientifically proven methods" to get your
Chinese kid into Harvard. The book became a runaway best seller in China. By 2003
it had sold some 3 million copies and spawned more than a dozen copycat books about
how to get your kid into Columbia, Oxford, or Cambridge.
While many Chinese aspire to go to Harvard and Yale, they aren't just waiting around
to get into an American university. They are also trying to build their own at home.
In 2004,1 was a speaker for the 150th anniversary of Washington University in St.
Louis, a school noted for its strength in science and engineering. Mark Wrighton,
the university's thoughtful chancellor, and I were chatting before the ceremony. He
mentioned in passing that in the spring of 2001 he had been invited (along with many
other foreign and American academic leaders) to Tsinghua University in Beijing, one
of the finest in China, to participate in the celebration of its ninetieth anniversary.
He said the invitation left him scratching his head at first: Why would any university
celebrate its ninetieth anniversary-not its hundredth?
"Perhaps a Chinese tradition?" Wrighton asked himself. When he arrived at Tsinghua,
though, he learned the answer. The Chinese had brought academics from all over the
world to Tsinghua-more than ten thousand people attended the ceremony-in order to
make the declaration "that at the one hundredth anniversary Tsinghua University would
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be among the world's premier universities," Wrighton later explained to me in an
e-mail. "The event involved all of the leaders of the Chinese government, from the
Mayor of Beijing tothe head of state. Each expressed the conviction that an investment
in the university to support its development as one of the world's great universities
within ten years would be a rewarding one. With Tsinghua University already regarded
as one of the leading universities in China, focused on science and technology, it
was evident that there is a seriousness of purpose in striving for a world leadership
position in [all the areas involved] in spawning technological innovation."
And as a result of China's drive to succeed, Microsoft chairman Bill Gates argued
to me, the "ovarian lottery" has changed-as has the whole relationship between
geography and talent. Thirty years ago, he said, if you had a choice between being
born a genius on the outskirts of Bombay or Shanghai or being born an average person
in Poughkeepsie, you would take Poughkeepsie, because your chances of thriving and
living a decent life there, even with average talent, were much greater. But as the
world has gone flat, Gates said, and so manypeople can now plug and play from anywhere,
natural talent has started to trump geography.
"Now," he said, "I would rather be a genius born in China than an average guy born
in Poughkeepsie."
That's what happens when the Berlin Wall turns into the Berlin mall and 3 billion
people converge with all these new tools for collaboration. "We're going to tap into
the energy and talent of five times as many people as we did before," said Gates.
From Russia with Love
I didn't get a chance to visit Russia and interview Russian zippies for this book,
but I did the next best thing. I asked my friend Thomas R. Pickering, the former U.S.
ambassador to Moscow and now a top international relations executive with Boeing,
to explain a new development
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I had heard about: that Boeing was using Russian engineers and scientists, who once
worked on MiGs, to help design its next generation of passenger planes.
Pickering unraveled the story for me. Beginning in 1991, Boeing started assigning
out work to Russian scientists to take advantage of their expertise in aerodynamic
problems and new aviation alloys. In 1998, Boeing decided to take this a step further
and open an aeronautical engineering design office in Moscow. Boeing located the
office in the twelve-story Moscow tower that McDonald's built with all the rubles
it made from selling Big Macs in Moscow before the end of communism- money that
McDonald's had pledged not to take out of the country.
Seven years later, said Pickering, "we now have eight hundred Russian engineers and
scientists working for us and we're going up to at least one thousand and maybe, over
time, to fifteen hundred." The way it works, he explained, is that Boeing contracts
with different Russian aircraft companies-companies that were famous in the Cold War
for making warplanes, companies with names like Ilyushin, Tupolev, and Sukhoi-and
they provide the engineers-to-order for Boeing's different projects. Using
French-made airplane design software, the Russian engineers collaborate with their
colleagues at Boeing America -in both Seattle and Wichita, Kansas-in computer-aided
airplane designs. Boeing has set up a twenty-four-hour workday. It consists of two
shifts in Moscow and one shift in America. Using fiber-optic cables, advanced
compression technologies, and aeronautical work flow software, "they just pass their
designs back and forth from Moscow to America," Pickering said. There are
videoconferencing facilities on every floor of Boeing's Moscow office, so the
engineers don't have to rely on e-mail when they have a problem to solve with their
American counterparts. They can have a face-to-face conversation.
Boeing started outsourcing airplane design workto Moscow as an experiment, a sideline;
but today, with a shortage of aeronautical engineers in America, it is a necessity.
Boeing's ability to blend these lower-cost Russian engineers with higher-cost, more
advanced American design teams is enabling Boeing to compete head-to-head with its
archrival,
Airbus Industries, which is subsidized by a consortium of European governments and
is using Russian talent as well. A U.S. aeronautical engineer costs $120 per design
hour; a Russian costs about one-third of that.
But the outsourcees are also outsourcers. The Russian engineers have outsourced
elements of their work for Boeing to Hindustan Aeronautics in Bangalore, which
specializes in digitizing airplane designs so as to make them easier to manufacture.