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China has introduced new guidelines that will phase out U.S. processors in government computers and servers, effectively blocking chips Intel and AMD, The Financial Times reported on Sunday.
The procurement guidelines announced on December 26 have now been implemented and will beImpact on MicrosoftThe report said they prefer China’s Windows operating system and foreign-made database software.
The British “Financial Times” stated that government agencies at the township level and above have been ordered to purchase “safe and reliable” processors and operating systems.
AMD and Intel declined to comment for this report.
At the same time, China has been vigorously developing its domestic semiconductor industry to reduce its reliance on foreign technology.
Semiconductors are key components in everything from smartphones to medical equipment and have been at the center of the technology war between China and the United States.
The United States has imposed export restrictions to cut off Beijing’s supplies of critical semiconductor equipment and technology.
In October 2022, Washington introduced rules aimed at limiting China’s ability to obtain, acquire or manufacture advanced semiconductor wafers due to concerns that China could use them for military purposes.
The United States subsequently introduced new regulations in October 2023 to prevent the American chip design company Nvidia from selling advanced artificial intelligence chips to China.
Since 2019, Chinese technology companies such as Huawei and SMIC, China’s largest chipmaker, have been subject to U.S. sanctions aimed at restricting their access to advanced technologies. SMIC also lacks access to extreme ultraviolet lithography machines that are critical for manufacturing advanced wafers. ASML.
The U.S.-led technology embargo has helped boost revenue for China’s domestic chip equipment manufacturing companies. China’s top 10 equipment manufacturers reported a 39% annual revenue increase in the first half of 2023, according to Shanghai-based CINNO Research.
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