One thing is given--there will be lot more competition in outsourcing. We Indians can't be complacent, we have to compete in Quality and Volume, not just Price. This has to become like an assembly line operation with six-sigma quality. This is why we in software management ranks spend so much time in training our engineers. Last year we bikered that the talent will walk across the street after training for higher pay. Now we don't. India has a long way to go but I am bullish on America voting another term for Replublican/GW and with that opening the remaining closed policies of Democrats. I am very bullish based on ambassadors' speech last week. Looks like GW may be visiting in Fall.
You are right about no complacency policy. You got to stay ahead. You got good goverment, good judicial system, intellectual freedom and good people; nothing should hold you back. China can make stuffs faster but it would not be able capitalize its full potential until and unless chinese people get totall intellectual freedom. And that will take time!