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China tells telecom carriers to phase out foreign chips in blow to Intel, AMD

Livemint

Livemint · 1y ago

China tells telecom carriers to phase out foreign chips in blow to Intel, AMD

China has set a deadline for its largest telecom carriers to phase out foreign processors from their networks by 2027. This move is part of China's effort to reduce its reliance on American technology and gain more control over its telecom systems. The decision will primarily impact American chip giants Intel and Advanced Micro Devices (AMD), which have been major suppliers of core processors for networking equipment in China. China's push for localization and the improvement in the quality and performance of domestic chips are facilitating the shift away from foreign semiconductors.

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Related News

China blocks use of Intel and AMD chips in government computers: report

Economic Times

Economic Times · 1y ago

China blocks use of Intel and AMD chips in government computers: report

China has implemented new guidelines to gradually phase out the use of U.S. microprocessors, including those from Intel and AMD, in government personal computers and servers. This move was reported by the Financial Times.

China blocks use of Intel and AMD chips in government computers, FT reports

Reuters · 1y ago

China blocks use of Intel and AMD chips in government computers, FT reports

China has issued new guidelines that will lead to the phase-out of U.S. microprocessors, specifically those from Intel and AMD, in government personal computers and servers. This move could have significant implications for the tech industry and trade relations between China and the United States.

US chipmakers outsourcing manufacturing will escape China's tariffs

Economic Times

Economic Times · 3m ago

US chipmakers outsourcing manufacturing will escape China's tariffs

US chipmakers outsourcing manufacturing, like Qualcomm and AMD, are exempt from China's retaliatory tariffs, as chips are classified by the wafer fabrication plant's location. For chips made by companies like Intel with US-based plants, tariffs may be applied. This distinction follows China's tariff increase on US imports, impacting the industry, and potentially benefiting China's domestic chipmaking as foreign companies might adopt a "China for China" strategy, enhancing local supply chains.

Intel, AMD fall on report China blocks U.S. chips in state computers

Reuters · 1y ago

Intel, AMD fall on report China blocks U.S. chips in state computers

Shares of Intel and Advanced Micro Devices (AMD) dropped by over 2% following reports that China will limit the use of their chips and servers in government computers. This move could potentially impact billions of dollars in sales for the US companies, as China is Intel's largest market and accounts for a significant portion of AMD's sales. Analysts predict that a total cessation of China's governmental purchases of Intel and AMD CPUs could lead to a revenue hit of up to $1.5 billion for Intel and a few hundred million dollars for AMD. Microsoft, whose revenue from China is not disclosed separately, also saw a slight decline in its shares.

US chip bans not meant to hobble China's growth, Blinken says

Economic Times

Economic Times · 1y ago

US chip bans not meant to hobble China's growth, Blinken says

US export controls on sending advanced computing chips to China are not aimed at hindering China's economy or technological progress, according to Secretary of State Antony Blinken. Despite the restrictions imposed on exporting computing chips to China since 2022, Intel and Qualcomm have been granted licenses to continue supplying chips to Huawei. Blinken emphasized that the US is focused on safeguarding sensitive technology that could potentially threaten security, rather than impeding trade or restraining China as a whole. The rationale behind granting exemptions to Intel and Qualcomm, while neglecting their competitors, AMD and MediaTek, remains unclear.

Intel survived bid to halt millions in sales to China's Huawei

Economic Times

Economic Times · 1y ago

Intel survived bid to halt millions in sales to China's Huawei

Intel has reportedly survived an attempt to block its sales of chips to Huawei, giving the company more time to sell to the heavily sanctioned Chinese telecoms company. This comes after a push from rival chipmaker AMD and China hawks to revoke Intel's license to ship advanced central processors to Huawei. Intel's ability to maintain its license while AMD could not obtain a similar permission highlights the challenges faced by companies as the US seeks to limit Beijing's access to American technology and restrict sales to sanctioned companies like Huawei. Huawei's share of global laptop sales has continued to grow, while AMD has missed out on substantial sales to the Chinese firm.

Nvidia’s rivals prepare their AI assault

Livemint

Livemint · 1y ago

Nvidia’s rivals prepare their AI assault

Nvidia's competitors, Intel and Advanced Micro Devices (AMD), are preparing to challenge Nvidia's dominance in the AI chip market. Nvidia's sales and market value have surged due to the demand for its chips in generative AI applications. Intel and AMD are experiencing a decline in data-center sales as companies shift their spending towards Nvidia's specialized chip platforms. AMD is launching a new class of AI accelerator chips called the MI300 family, while Intel is showcasing its latest AI products. However, both companies still have a significant gap to close compared to Nvidia's projected data-center revenue.

Intel shelves planned chip operation expansion in Vietnam

Economic Times

Economic Times · 1y ago

Intel shelves planned chip operation expansion in Vietnam

Intel has reportedly canceled a planned expansion in Vietnam, dealing a blow to the country's ambitions in the semiconductor industry. Vietnam has been positioning itself as an alternative to China and Taiwan, but Intel's decision to shelve its expansion plan has raised concerns about power supplies and bureaucracy. While Intel remains committed to Vietnam as part of its global manufacturing operations, the cancellation of the expansion is seen as a setback to Vietnam's ambitions in the global semiconductor industry. Intel recently announced significant investments in Europe and is expanding its investment in Malaysia.

Microsoft and Intel strike a custom chip deal that could be worth billions

The Verge

The Verge · 1y ago

Microsoft and Intel strike a custom chip deal that could be worth billions

Intel and Microsoft have announced a partnership in which Intel will produce custom chips designed specifically for Microsoft. The deal is valued at over $15 billion and was announced during Intel's recent event. The purpose of the chips has not been specified, but it is reported that Microsoft has plans for in-house designs for processors and AI accelerators. The chips will utilize Intel's 18A process and this partnership is seen as part of Intel's strategy to regain its position in the chipmaking industry. Taiwan Semiconductor Manufacturing Company (TSMC) has found success with a similar playbook, partnering with companies like Apple, Qualcomm, and AMD.

Microsoft debuts 'Copilot+' PCs with AI features

Economic Times

Economic Times · 1y ago

Microsoft debuts 'Copilot+' PCs with AI features

Microsoft has unveiled a new category of personal computers that feature artificial intelligence (AI) capabilities. These new "Copilot+" PCs can handle AI tasks without relying on cloud data centers and come with a feature called "Recall" which tracks user activity. Microsoft aims to sell 50 million AI PCs within a year. The company also introduced new Surface Pro tablets and laptops with Qualcomm chips and showcased technology that allows software written for Intel and AMD chips to run on Arm-based chips. Apple, too, has revealed plans for AI-focused chips in future laptops.

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