Marc Andreessen, who cofounded Netscape and is now betting billions of dollars on Silicon Valley startups, says we should all stop kvetching about sending gadget-manufacturing jobs to China.
In the CNBC clip we’ve embedded below, Andreessen says:
I’m a believer in a positive-sum conception of the economy. I’m a believer in free trade. I’m a believer in the idea that a rising tide can lift all boats.
I don’t see any contradiction between American companies doing manufacturing in China and also creating a lot of jobs in the United States.
The iPhone is assembled in China, but the core IP comes straight out of Cupertino [in California]. The software, the hardware, the chips come from the US. All the designs, the applications software overwhelmingly is being built in the US.
We’re doing a good job in the industry building high value jobs in the US. Along the way a lot more skilled jobs are being built in China. I think that’s great for China’s economic development which is good, I think, for our national security.
Our challenge is to create the new industries, create the new businesses, create the new jobs. Trying to hold on to the jobs that we’ve historically had is a recipe for failure.