wrt India, there are also infrastructional issues. I note there is not so many of tech startups in India, outside recruiting/outsourcing, despite the huge number of tech workers there.
Tech startups is not a good metric. Wealthy Indians are risk averse and there is a lack of trust in India.
Considering all that few Indian cities do have a healthy startup culture and Indian angel investors who have worked in the US and American VCs have started funding big amounts.
DO recently opened a datacenter in Bangalore to capture all this new growth.
Indian here, I believe its combination of couple of factors. US gets the cream of India but Indian parents drill into their kids heads that you have to get good grades or else you will fail in life.