China has issued guidelines banning the use of US processors from AMD and Intel in government computers and servers. The Financial Times reported. The new rules also block Microsoft Windows and external database products in favor of on-premise solutions, and this is a long term a technological trade war between the two countries.
Government agencies must now use “safe and reliable” local substitutes for AMD and Intel chips. The list includes 18 approved processors, including chips from Huawei and state-backed company Phytium – both banned in the US.
The new rules, introduced in December and quietly implemented recently, could have a significant impact on Intel and AMD. China accounted for 27 percent of Intel’s $54 billion in sales and 15 percent of AMD’s $23 billion in revenue last year. FT. However, it is not clear how much of the chip is being used in the government versus the private sector.
The moves are the most aggressive yet to limit China’s use of US-made technology. Beijing last year is prohibited domestic firms using Micron chips in critical infrastructure. Meanwhile, the US has banned many Chinese companies, from chipmakers to aerospace firms. So is the Biden administration blocked US companies like NVIDIA don’t sell AI and other chips to China.
The USA, Japan and the Netherlands dominate the production of advanced processors, and these countries have recently agreed to strengthen export control On lithography machines from ASL, Nikon and Tokyo Electron. However, Chinese companies including Baidu, Huawei, Xiaomi and Oppo have already started designing their own semiconductors Preparing for a future where they can import chips from the US and Other countries.
