In a move that brings to the fore national concerns and seeks to boost domestic industry, the Chinese government has begun to gradually replace foreign chips with domestically produced counterparts in mobile and telecommunications networks.
According to a Wall Street Journal report, the Ministry of Industry and Information Technology (MIIT) has ordered the country's two largest mobile phone operators, China Mobile and China Telecom, as well as all other local providers, to audit their networks. The target; The identification and subsequent replacement of all semiconductors not made in China.
This move comes after her banof processor usage Intel and AMD on government computers, while earlier the purchase of equipment containing Micron Technology memory chips by public bodies was prohibited.
There are several factors behind this decision. On the one hand, the Chinese government seeks to strengthen its autonomy in technology, reducing its dependence on foreign companies. On the other hand, the improvement of performance and quality of domestic semiconductors in recent years makes the implementation of such a project feasible.
In addition, China has invested heavily in developing its domestic semiconductor industry, raising $40 billion in capital. Trade sanctions imposed by the United States also played an important role, forcing companies such as Huawei to turn to domestic solutions to ensure their operations.
China's shift to domestic semiconductors is expected to bring significant changes to the global market landscape. Companies like Intel and AMD will likely suffer losses as China is one of their biggest markets. At the same time, Chinese semiconductor manufacturers will benefit significantly, gaining market share and competitive advantage.
