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Comment by clubm8 | Hacker News Reader

>Seriously, why are we still outsourcing chip manufacturing to other countries?

I actually agree it might be better for the Americans to manufacture things in America - especially things used in critical government systems.

But this seems like a human problem - if all the factories were moved to America, couldn't those factory managers etc also be bribed?

American manufacturing in the 60s was rife with unions w/ ties to organized crime.

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Business culture is different in the US and China. If you tamper a chip in China and go unnoticed you are considered smart & the winner. If you do so here you'll be getting a more negative reaction.

Western manufacturers have a tendency to buy from the cheapest supplier, even if it isn't physically possible to manufacture at that price point without cutting massive corners or making profit off of some externality. However, when Chinese manufacturers build their own brand, you'd be surprised how the business culture suddenly creates a different set of incentives.

Trust alignment of incentives, as opposed to hey-they-promised-an-actually-impossible-pricepoint-on-paper.

I think I saw this on another thread. You're saying if someone bids that they can do something for a price that's not reasonable, it's my fault for believing their mischaracterization? "Fool me once, shame on me."

I much prefer the other mode of operation: "Fool me once, shame on you. Fool me twice, shame on me."

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