India vs America: When Nikhil Kamath met OpenAI’s Sam Altman for dinner, discussed innovation

In a recent interaction with popular YouTuber and content creator Nuseir Yassin, also known as NAS Daily, Nikhil Kamath, the co-founder of Zerodha, shared some observations about the innovation landscape in America and India. During the NAS Summit being held in Bengaluru, Kamath recounted the time when he met OpenAI CEO Sam Altman. He questioned the American tech icon about why there is so much innovation in America. Kamath’s conversation with OpenAI CEO Sam Altman shed light on why America, despite its homogeneity, is a hotbed for innovation.

Kamath noted, “I think America as a country is very homogeneous. Everybody is the same, everybody thinks the same. You take away four or five cities where it is a bit more esoteric in nature where you find different people from outside who have come by. Otherwise, America is largely homogenous… To a culture like that, one has to wonder why so much innovation is happening there."

Altman’s response to Kamath’s query was enlightening. He pointed out that in America, rebellion and questioning the status quo are not only tolerated but appreciated. This cultural aspect, according to Altman, is a significant driver of innovation.

Kamath quoted Altman saying, “From the very beginning when you are a kid in America and you are rebellious and you question the status quo, it is not hindered. The process of being rebellious is really appreciated in America.”

Kamath's Childhood Experience

Drawing parallels with India, Kamath highlighted the need for a shift in the educational and societal mindset. He emphasised the importance of encouraging discourse and questioning in schools and workplaces. Reflecting on his own school days in Bengaluru, Kamath recalled being a “petrified little child who was scared to question anything we’re told.” He believes that while things have changed, there is still room for improvement.

In an earlier podcast, Kamath highlighted the fact that his career started when he was a teenager.He mentioned that he hated going to school that taught him to be a conformist.

Kamath said, “I went to a terrible school. I hated my school, hated my teachers, grew up being scared of things I should not have been scared of. I was probably scared of my class teacher, this teacher, that teacher…stopped going to school beyond the 10th… I didn’t go to school, I started working and stuff like that.”

America's Focus on Research and Development

Another area of concern Kamath pointed out is the allocation of GDP towards research. He stated, “Out of our GDP, India allocates something like half a per cent to research and America does about 3-4 per cent. And America’s GDP is 10 times India’s GDP. So if you put in 50 times more money towards creating IP and research, compared to somebody who is allocating 1/150th, you are bound to have more IP creation in that country.”

Also read: ‘You should be able to compete by number of hours…’: Zerodha's Nikhil Kamath amid '70 hours work week' debate

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