The New York Times explains how large Indian companies like Infosys and Wipro are investing into China's talent pool. It mentions that "China has a worker base equal to India's in terms of cost, quality and scale" : when you think about game development, the major advantage that China also has is that the majority of Chinese students are Gamers !

Other information from the article : China's software exports were only 700M$ in 2003, compared to India's $12.5 billion. China has some 200,000 information technology workers, compared with India's 850,000--in 6,000 local companies, according to some estimates. More than 50,000 Chinese software programmers are being added to this pool annually.

Finally, the article notes that "some important ingredients that have made India a formidable global software services exporter are in place in China as well, like the high value put on education and a focus on engineering in higher education."

Source : http://news.com.com/2102-1011_3-5435236.html?tag=st.util.print