Israel's ynetnews reports on a research report which talks on how Israel is in a better position for technical innovation than either India or China. The article also quotes a number of interesting statistics. Iam quickly quoting the paragraphs that i find interesting.

Given the number of engineers that graduate out every year and the cost per engineer per year, Israel will simply not be able to compete against India and China in terms of scale or cost.

Israelis have been much more successful in developing breakthrough technologies than either the Chinese or the Indians. In the case of China, OECD figures indicate that Chinese nationals filed a mere 200 patent applications in 1995 and 299 in 1997. In 2001, only 5.43 percent of the patents filed in China by Chinese inventors were for invention. This was remarkably fewer than the 72.8 percent of innovation patents, as a percentage of total patents, filed by foreign firms in China. While development centers of international companies in India filed for over 750 patents by mid-2003, Indian IT service companies filed for less than 90.

While China and India may have hordes of good but less than phenomenal scientists and engineers, their numbers alone will not mute Israel’s advantage in producing transformative breakthroughs. It is interesting to note that India is having difficulty finding even small numbers of exceptional software programmers.