There is much concern that it may be too late. Table E.1 shows the current rankings of major Asian players compared to the United States. In electronics research and development, the United States and Japan are equally matched in innovating next-generation technologies. In product design, Japan has a clear lead over the United States and has been providing most of the new product concepts over the past several decades. There is little question, however, that Japan leads the United States in electronic manufacturing technologies, although the United States has several equipment makers that are producing leading-edge products.
Japanese firms dominate the equipment market in Asia.
The United States, with its strong brand names, continues to dominate global marketing and sales even as it continues to outsource a growing proportion of its design and manufacturing needs. These comparisons with Japan are fairly well understood in the United States. What is less well known is how successfully Korea, Taiwan, and Singapore are competing in the marketplace for electronics products and components, or how intent China, Hong Kong, and Malaysia are on challenging the dominance of long-time leaders by rapidly increasing their competence in a wide range of electronics manufacturing fields. Table E.2 shows the panel's overall appraisal of Asian players' packaging technology capabilities, along with those of the United States and Japan. It is important to recognize that the current status of electronic competitiveness is changing rapidly.