Intel Warned Chinese Companies of Chip Flaws Before U.S. Government

walkustralian (25)in #china • 6 years ago (edited)

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Intel is a business and cannot afford a backlash from China had it not done so. China is the world’s largest chip market, even though it accounts for less than 10% of global sales. And non-Chinese companies have had little choice but to partner with China’s state-backed enterprises to maintain access to its buyers.

#China #Intel #ChipFlaws #Technology #MarketShare

Back in September 2017, the US semiconductor maker says China is outpacing world in chip production. Intel Corp said that it will step up efforts to grow its semiconductor manufacturing business in China, as the US chip giant brings advanced technologies to the country. Intel also forcast that by 2020, China will produce about more than one fifth of global data and the market size of China's information communication technology sector will exceed $530 billion.

At issue is the Communist Party leadership’s plan to jolt China’s domestic chip sector with $150 billion in aid from 2015 to 2025. Industry watchers say they have seen this play before: Prop up indigenous businesses with subsidies, flood global markets with supply, and undercut the competition. Low-cost Chinese semiconductor makers look poised to stage an industry takeover.