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Be Paranoid, Very Paranoid

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China's Strategic Shift in Technology

In the 2000s, China recognized its reliance on foreign technology as a strategic liability, leading to significant policy shifts.

  • Strategies Implemented:
    • Medium- and Long-Term Plan for the Development of Science and Technology (2006-20): Aimed to position China as an "innovation-oriented nation".
    • Made in China 2025: Focused on dominance in 10 high-tech sectors.
    • Thousand Talents Plan (2008): Addressed brain drain and attracted global researchers with state support.
  • Outcomes: Increased R&D investment, expanded patenting, and developed end-to-end industrial ecosystems.
  • Achievements: China leads in AI patents, EV production, solar capacity, and quantum publications.

India's Current Technological Challenges

India faces challenges similar to those China faced 25 years ago, with the government taking steps to address these vulnerabilities.

  • Government Initiatives:
    • Anusandhan National Research Foundation (ANRF): A ₹1 lakh crore R&D fund to improve research funding and innovation.
    • PLI Schemes: Expanded to boost investment in key sectors like semiconductors and clean energy.
  • R&D Funding: Shift from grants to outcome-linked support for commercially viable technology development.
  • Challenges: Private sector remains risk-averse with low R&D contribution, and R&D-to-GDP ratio remains below 0.7%.

Comparative Analysis: India vs. Global Firms

A study by the Foundation for Advancing Science & Technology (FAST) highlights the disparity between Indian and global firms in R&D.

  • Key Findings:
    • Global firms have significantly higher R&D intensity and patent generation compared to Indian firms.
    • Indian pharma sector's R&D intensity (5.8%) lags behind global peers (17.3%).
    • Indian firms excel in R&D disclosure but lag in innovation outputs.

The Need for Innovation and Investment

India's sustained economic growth hinges on knowledge and innovation investments.

  • Issues Identified:
    • Constraints include low absorptive capacity and weak industry-academia linkages.
    • Underrepresentation in global innovation rankings.
  • Call to Action: Emphasis on the importance of private sector engagement in R&D to avoid stagnation.

The Implications of Inaction

Liu Cixin's novel highlights the dangers of scientific stagnation, a risk India faces if innovation does not become a priority.

  • Tags :
  • China's Strategic Shift in Technology
  • Anusandhan National Research Foundation (ANRF)
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