US High-Tech Research Spending Draws Indian Talent: ASU President Michael Crow

Indian students heading to the United States (US) are drawn not only to the broader educational opportunities available in the world’s largest economy but also to the cutting-edge advancements in sectors such as semiconductors, according to Michael M. Crow, a science and technology policy scholar and president of Arizona State University (ASU).

In an exclusive interview with Outlook Business, Crow says that the US invests hundreds of billions of dollars annually in research, which remains a key factor in attracting Indian talent. At ASU alone, the US government is set to invest three billion dollars in a new semiconductor packaging laboratory, he adds.

“And so, Indian students are attracted to that. They want to be a part of that,” says Crow, a renowned expert in university design, credited with developing the New American University model, which integrates educational access with social impact.

The number of Indian students studying abroad has grown by 52.2 per cent over the past five years, increasing from 586,337 in 2019 to 892,989 in 2023, the Ministry of Education informed the Rajya Sabha in December. Among these, it is the US which continues to host the largest share with 234,473 students, followed by Canada with 233,532, and the United Kingdom (UK) with 136,921.

Notably, around 70 per cent of these students pursuing higher education abroad in 2023 have chosen disciplines in science, technology, engineering, and mathematics (STEM). Given “the historical ability of Indians in maths, creativity and conceptual areas,” Crow believes that the US and India are at the beginning of a deeper, more comprehensive relationship, regardless of any tensions that may arise following President Donald Trump’s renewed threats to tighten immigration controls.

“Democracies are very different than non-democracies, with freer flow of people, ideas, and intellectual property. And the entrepreneurial energy in India is similar to the entrepreneurial energy in the US. So, what is going to happen is more opportunities between the workforce of these two countries,” adds Crow.

Unlike the US, India’s research and development (R&D) spending remains modest compared to its global competitors. According to the Economic Survey 2024-25, the country’s gross expenditure on R&D more than doubled from Rs 60,196 crore in 2010–11 to Rs 127,381 crore in 2020–21. However, as a percentage of GDP, it stands at just 0.64 per cent, highlighting the gap in investment.

As a result, Indians seeking greater opportunities in emerging technologies are increasingly migrating to the US, where the private sector and academia collaborate closely with the government to drive innovation, fostering a more dynamic and rewarding ecosystem, highlights Crow.

“We work with companies to help them to be better capitalists because we believe in the success of capitalism. We solve problems with the government and military through research. We work with whatever helps the country to be successful,” says Crow.

Interestingly, V. Anantha Nageswaran, the Chief Economic Advisor (CEA) to the Government of India, has also advocated for a similar collaboration between industry, government, and academia to strengthen India's innovation ecosystem.