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baxtr 13 hours ago

Like anything else that the world procures cheaply from China btw.

epolanski 11 hours ago | parent [-]

At this point this is a cliche.

There's tons of countries with much cheaper labor.

The reasons we build in china are not related to cheap labor, this hasn't been the case from quite some time.

hattmall 11 hours ago | parent | next [-]

Cheap labor is still a major factor, but infrastructure is definitely another.

numpy-thagoras 8 hours ago | parent | next [-]

Most of the time, I don't personally look at it as cheap labour because I am just ordering, e.g. 60,000 of something or 100,000 of something else.

It's cheap, yes. I can indeed buy 1,000 of something more locally or from other than China.

But when it comes to scale, needing vast shipments, then they are the ones who can actually ship it and do it reliably. It just also happens to be cheaper, too, which is more of a convenience or cherry on top, than the actual attractive part: vast scale.

nandomrumber 10 hours ago | parent | prev | next [-]

And trust, probably the most valuable commodity.

Three or four decades of proven ability to deliver, trusted relationships.

Even despite all the political noise.

typpilol 8 hours ago | parent [-]

The industry basically treats any designs sent to China as a loss since they know it will be duplicated

I don't think trust has much to do with it

melagonster 7 hours ago | parent | next [-]

If you know it will happen, it is a part of price.

gffrd 8 hours ago | parent | prev | next [-]

I believe Parent is talking about trust in the ability to deliver on promises, not in handling of IP.

typpilol 6 hours ago | parent [-]

Oh I agree. But I'd say trust is the wrong word

They're reliable, but would you really trust them?

I think there's a bit of nuance there to differentiate the 2 though.

Maybe I'm jaded from working with overseas factories though in ways others wouldn't be.

nandomrumber 4 hours ago | parent [-]

Are you saying you don’t reverse engineer your competitors, and friends, products?

blitzar 3 hours ago | parent | prev [-]

China sent tiktok the the US, the gifted geniuses of silicon valley duplicated it and when their clones were garbage they just took it and said "we own this now"

esseph 5 hours ago | parent | prev [-]

It's not remotely cheap. A long time ago the cheap labor moved from places like China to places like Mexico, which is one of the reasons so many automotive manufacturing plants there - just a rail ride across the border.

Now that hasn't been the case for more than a decade. The cheap labor is in SE Asia and South America.

What China has is decades of process improvement, factories, infrastructure, experience, and a willingness to work. They haven't been the cheapest, by far, for a long while.

worik 10 hours ago | parent | prev | next [-]

This

I recal, the 1980s when Japanese manufacturing was dogy as. By 2000 it was the best

The same thing is happening in China

They are very good at everything they do, and getting better. Good.

usefulcat 7 hours ago | parent | next [-]

I don't now about Japanese manufacturing per se, but I definitely wouldn't say that finished Japanese products were considered dodgy in the 80s. Sony, Panasonic, Honda, Toyota, various camera brands, Yamaha.. I recall all of those being at least "pretty good".

I definitely remember the sense that Japanese cars posed a real threat to the American auto industry, and in hindsight that seems to have been well founded.

coffeebeqn 4 hours ago | parent [-]

Nintendo! That was definitely not their reputation in the 80s it was top notch

blackoil 5 hours ago | parent | prev | next [-]

You are right except off by couple of decades. So 60s to 80s.

lll-o-lll 7 hours ago | parent | prev [-]

Japanese manufacturing was dodgy in the 80’s? I don’t think so.

“What do you mean doc? All the best stuff is made in Japan”

“Unbelievable”

kilpikaarna 5 hours ago | parent [-]

That's the entire point of the joke, yeah. Japanese manufacturing was dodgy in the 50s-60s but great by the 80s.

Korean manufacturing might've been considered dodgy in the 80s but great by 2000. Taiwan (ROC) went through this also (70s vs 90s, ish?). And now China.

mensetmanusman 10 hours ago | parent | prev [-]

The older generation made huge sacrifices with no wage growth because the CCP kept the currency low.

This allowed for China to choose industries it would dominate outside of economic forces. It chose to dominate solar and was allowed to sell panels below raw materials cost in order to kill competition.

In one hand it’s good for world solar, on the other hand this has helped cause the rise of the far right all over the west.

stickfigure 9 hours ago | parent [-]

> The older generation made huge sacrifices with no wage growth

...and poured their savings into the sole investment available, real estate, creating the largest bubble the world has ever seen...

chrismsimpson 9 hours ago | parent [-]

AI: hold my beer

bobthepanda 9 hours ago | parent [-]

Real estate was at one point 25-30% of Chinese GDP. AI is not anywhere close, at least not yet.

teiferer 4 hours ago | parent [-]

Just Nvidia has a larger market cap than all German public companies combined.

Just Nvidia.

jimnotgym 3 hours ago | parent [-]

But much less revenue I suspect? Looks like a bubble, smells like a bubble, it's a bubble