You are basically right about China, they are raising fast. But what the news talking about is to recruit 3000 developers in Taiwan rather than in China, I think it could be so hard even to recruit 50 okay software developers in Taiwan. Actually there is no software/Internet industry in Taiwan. You can name Internet company as a long list such as Baidu, Taobao, Webo and what so ever in China, but you cannot find even a famous website which is from Taiwan. Taiwan is good at hardware OEM but not software.

As a software developer from Taiwan, I know the situation here. Hardware OEM industry makes money, they can offer better for getting talents. When CS students graduate, they would rather go to OEM company (such as TSMC) than go to software/Internet company or even startups. How can they complete OEM firms in recruiting battle?

It's really a bad environment for software development. Actually, software/Internet in China is much better than Taiwan.