digitally generated image
Wong Yu Liang | Moment | Getty Images
China has announced new guidelines to phase out American processors from government computers and servers, effectively blocking chips from Intel and AMD, the Financial Times reported on Sunday.
The procurement guidelines announced on December 26, which are now in effect, will also affect Microsoft's Windows operating system and foreign database software, as they prioritize Chinese alternatives, the report said. Says.
Government agencies above the town level have been ordered to purchase “secure and reliable” processors and operating systems, the FT said.
AMD declined to comment on the report, while Intel did not immediately respond to CNBC's request for comment.
This comes as China strengthens its domestic semiconductor industry to reduce dependence on foreign technology.
Semiconductors, critical components used in a wide range of devices from smartphones to medical devices, are at the center of a technology war between the United States and China.
The United States has implemented export controls to cut off the Chinese government from key semiconductor equipment and technology.
Concerns that China could use advanced semiconductor chips for military purposes led the U.S. government to issue rules in October 2022 aimed at restricting China's ability to access, acquire, and manufacture advanced semiconductor chips. introduced.
Then, in October 2023, the United States introduced new regulations that prevent American chip design company Nvidia from selling advanced AI chips to China.
Since 2019, Chinese high-tech companies such as Huawei and SMIC, China's largest semiconductor maker, have been subject to U.S. sanctions aimed at restricting access to advanced technology. SMIC has also been unable to obtain extreme ultraviolet lithography equipment from ASML, which is essential for manufacturing advanced chips.
The US-led high-tech embargo has helped boost profits for China's domestic chip equipment manufacturers. China's top 10 equipment manufacturers reported a 39% increase in sales in the first half of 2023 compared to the same period last year, according to Shanghai-based CINNO Research.
