Monsoon Money

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China may be getting all the press when the pundits talk about how the Third World is a rising economic powerhouse but India is quickly becoming a first rate superpower itself. First, if having nuclear weapons makes a nation a force to not only be reckoned with but a major factor in international affairs, then India’s own arsenal makes it an imposing figure on the world stage. For example, this past week I wrote about how India is backing Russia’s plan to have Iran partially enrich uranium outside of their country. However, as the next three articles will clearly show, India’s global influence, military might, and economic potential go far beyond finding a niche issue to assert itself in, like Iran’s alleged quest for WMD’s, but rather they show that India is in fact a major player.

Speaking of global supremacy, the first article states that:

Microsoft plans to invest $1 bln in India

Microsoft Corp. (MSFT), the world's largest software maker, plans to invest more than $1 billion in India, a source close to the firm told Reuters on Wednesday, joining other multinationals expanding operations in the fast-growing economy.

Microsoft relies heavily on India's booming $17.2 billion software services industry to source quality skills at costs far below average Western salaries.

"The investment is more than one billion dollars and spread over several years," the source said.

Microsoft's investment plans follow chip-maker Intel's (INTC) announcement on Monday to pour $1.1 billion in the medium term in its Indian operations, including setting up a venture fund to take stakes in local start-ups.

In October, Cisco Systems Inc. (CSCO) said it plans to invest $1.1 billion in India over the next three years and triple its staff in the country.

Trade protectionist and isolationists beware, more jobs in IT as well other avenues of the computer industry will be migrating to India (as well as the rest of Asia) for a very long time going forward. I’ve said many times that so long as multi-national companies have investments in foreign lands, there will be no violence (on a grand scale) to speak of. You can expect that this level of investment will also result in outside influences (said companies) attempting, and probably succeeding, in keeping Pakistan in line and furthermore, continuing the peace process in Kashmir. Money may be the root of all evil but because of our ever-expanding global economy, it serves as a pacifier for nations who have a true desire to increase their GDP.

And speaking of ways to make lots of dough:

India, Russia sign pact on joint production of military hardware

Marking the Manmohan-Putin summit, India and Russia on Tuesday signed in Moscow three agreements realting joint production of military hardware, protection of intellectual property rights to regulate joint defence work and cooperation in civilian nuclear energy and space sectors.

Both leaders agreed to strengthen bilateral cooperation in the fight against terrorism. The two countries will use space-based Global Navigational Satellite System to provide for joint development of new generation navigational satellites.

Addressing a televised joint press conference with Russian leader, Manmohan Singh said, "the two countries share share the perspective to move towards collaborative defence projects, designs, develop and market next generation military products," Dr Singh said at the joint conference with Putin.

Putin cited Kudankulam nuclear power project, which is coming up near Madras with Russian assistance as an example of successful cooperation in nuclear energy.

Observing, "We consider India our strategic partner. We would work to ensure that India could cope with the tasks and goals it has set in the peaceful use of nuclear energy", Russian President said, "We see India taking necessary steps to build relations with the Nuclear Suppliers Group."

He noted that India was separating military and civilian nuclear programmes and has adopted the necessary legislations, apart from actively working with NSG countries.

Answering a question, Manmohan Singh said, the two countries have identified the Medium-Range Transport Aircraft and the Fifth Generation Aircraft as collaborative projects and discussion at the expert level would be held on them.

India, Russia and China make a huge axis of regional influence across the Asian Continent. Those are the three largest nations in the East and together comprise a good chunk of the world’s total population. Traditionally it has been the West (US, Israel and Europe) whom supplied the world with enough weapons to make Rambo blush. Russia was relegated to supplying it’s satellite nations with weapons and not too much else. However, this new partnership to jointly develop military hardware is a keen example of life in the Third World Order. No longer can the West rest comfortably on their monopolistic laurels as nations such as the above Axis seeks to grab a piece of much coveted markets like weapons themselves.

And speaking of Weapons of Mass Destruction:

US studios planning to enter India

The changes in the Hindi film industry have opened up possibilities not only for alternative themes but also for filmmakers of all genres. The metamorphosis of this industry could also see the entry of US studios into India.

"The door is opening to all kind of filmmakers. Previously, connections determined the success of your film. Today, most films made efficiently, manage to recover their costs," Vinta Nanda, filmmaker, said.

"The power structure has shifted to new people," Amit Khanna, President, Film & Television Producers Guild, said. He is also the Chairman of Reliance Entertainment Pvt Ltd. In June, Reliance Capital had acquired a 51 per cent equity stake in Adlabs Films Ltd for Rs 360 crore. Adlabs later signed on director Ram Gopal Varma to anchor a series of films totally costing Rs 80 crore. Sahara One announced its participation in producing a Hollywood film. The principal photography of `Marigold,' a co-production between Adlabs and US-based Hyperion Pictures has been completed. And of great interest to all was Sony Pictures' deal with director Sanjay Leela Bhansali. "It could eventually signal the entry of US studios into India,'' Sunir Kheterpal, Head (Media & Entertainment Banking), Yes Bank, said. More

My uncle always says that the key to world peace is to give everyone rock-n-roll and blue jeans. President Bush says that we’re in a War on Terror because the terrorists hate our freedoms and our culture. While both statements are overly simplistic, they to point to an undeniable truth, the power of American entertainment. If studios begin to heavily invest in India, as they have with Bollywood, you may well see India setting the pace of global as America does now, sometime in the 20 years or so.

Brace for it folks, the monsoon from India’s economy is coming.