Former Intel Chairman Andy Grove says US government must do something to keep jobs in USA

[andym]

"Intel's Andy Grove on manufacturing in America"

Source: CNET

.............
The problem is U.S. companies are left to their own devices because of the lack of government policies or incentives to mitigate the behavior, he said. "I was basically left to decide. Every American CEO gets to decide what's good for the company. Because the U.S. does not provide preferences, priorities, or directions. On the other hand, we are competing with a very effective country that's beating the shit out of us," according to Grove. "And I don't blame them. I blame us." A Chinese phrase that roughly translates as "indigenous innovation" says it all, according to Grove. "That is the byword."

U.S. businesses "follow the invisible hand. And the United States follows the black vortex into the abyss, as a result," he continued. U.S. businesses "just follow their own optimum outcome."

Government needs to do something dangerous
So, what's the solution? "Come up with a policy that mitigates or reduces the incentives to move all scaling work to foreign countries," Grove said, referring to the process of scaling up a product from design to manufacturing. "Somebody in the government (needs to take) a step that is dangerous enough to invite targeted criticism. Unless they are willing to do that I don't believe that they are serious about it."

And it's certainly not impossible to create and build in the U.S. Brian Krzanich, a senior vice president and general manager for manufacturing and supply chain at Intel, echoes Grove's sentiment. "Each of (Intel's) factories has 1,000 to 2,000 highly trained and highly technical engineers...Getting to the point of taking something from the lab into high-volume manufacturing. There's quite a bit of innovation in that."


Read more: http://news.cnet.com/8301-13924_3-20021804-64.html#ixzz14QY9wlhW
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Andy Grove, former chairman of Intel, which manufactures in the USA, discusses the need for government to direct the "invisible hand" tp increase the incentive to for corporations to manufacture in the USA.

[nadinbrzezinski]

1. It is called an industrial policy

We haven't had one since Reagan.

[OHdem10]

2. So does current CEO GOOGE, so does Head of GE so does

Donald Trump.

A service economy cannot sustain this country.

Tell that to the Free Traders in Both Parties.

[tridim]

3. The corps that should do this already have plenty of cash reserves to do it.

So fucking do it! What the hell are they waiting for?

[Hello_Kitty]

7. Intel is expanding production in the U.S. eom

[tridim]

8. Apple is holding 40 billion+ in cash reserves..

And still outsourcing work to China more and more every day.

Why?

[Drale]

4. Why does it seem like technology company's

always seem more liberal then most other company's?

[andym]

6. Perhaps, but Grove criticizes other technology companies

From the same article:

"But on the manufacturing side, like Dell, Hewlett-Packard, and others, Apple makes key products overseas. Previously, all of those companies at one time built computers in the U.S. Compaq--acquired by HP in 2001--for a long time built PCs in Houston and even made its own circuit boards there. Apple used to assemble its computers in the U.S. And Jobs' former company, Next, opened a high-tech plant to great fanfare in Fremont, Calif., in the late '80s. And IBM assembled PCs in North Carolina, before it got out of the PC business.

On this point, Grove says it's important to judge companies by what they do, not what they say."

Read more: http://news.cnet.com/8301-13924_3-20021804-64.html#ixzz14QbXBQNb

[BeyondGeography]

5. Possible to rec 100X?

Fantastic interview/remarks/prescriptions.

[Commie Pinko Dirtbag]

9. I like this guy. A lot.

He coined the saying "Only the paranoid survived", IINM.

[exboyfil]

11. He is saying what I have been saying all along

on this board and getting flamed for it. We need someone like him as Secretary of Commerce or on the National Economic Council or something. He is a self made CEO - not a rented gun. He understands technology and manufacturing. He was a key player in the building of an important company.

He wants to see jobs stay in the U.S.

He is also a naturalized American citizen which I think gives him an interesting perspective on this situation.

I don't want a $1/year man so somehow he would have to be decoupled from the fortunes of Intel. He is not shown as a major stockholder. Anyone know what his portfolio looks like?

[DBoon]

10. why do Carly and Meg run for office but not Andy?

There are many bright, capable folks in high-tech who might make good political leaders.

[andym]

12. Andy Grove is 74, so he may not want to go into politics

but rather enjoy his retirement.
But there are other tech leaders who might make good progressive politicians.