Recently, Shanghai's government announced that its number 1 priority is to become a "globally influential technological innovation hub." The megacity is on its way.

Shanghai's aspiration was announced as Premier Li Keqiang's new "Internet plus" strategy was revealed in Beijing. "We must seize the time now," said Shanghai's party chief Han Zheng in a statement.

The goal is ambitious but Shanghai is well-positioned to execute its new priority and the timing is favorable.

International R&D rivalry is no longer driven just by the US, Europe, or Japan, but also by China, as evidenced by significant shifts in student performance, R&D, and patents.

Since 2000, the US has no longer been featured in the top-10 Program for International Student Assessment (PISA) lists for mathematics, science, or reading. Today, Shanghai is leading in each three rankings.

According to the World Intellectual Property Organization (WIPO), America dominated in total patent applications received from the early 1880s to the 1970s, when Japan caught up with the US. In 2010, China's patenting overtook Japan; and two years later the US.

In 2012, two Chinese technology leaders, Huawei and ZTE, faced congressional hearings in Washington. That same day, my report was released in the US. I argued that there is a strong "Case for Huawei in America" because it could bring new investment and create jobs. Washington shunned the two companies, but today Huawei leads international patent filings, followed by Qualcomm and ZTE.