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US poised to restrict TSMC's chip sales to China's Huawei
The United States has been aiming to curb the supply of chips sold by contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC) to China's Huawei Technologies Co. through planned heavier sanctions against the Chinese telecom equipment giant, according to a Reuters report.
The report said while tensions between Washington and Beijing have been escalating with both sides blaming each other for spreading the novel coronavirus disease (COVID-19), the Trump administration has a plan to introduce new measures to further restrict global chip sales to Huawei.
Under the proposed new rules, the report, dated Thursday (March 26) in Washington, said foreign companies that use U.S. production equipment to roll out their chips would be required to obtain a U.S. license ahead of sales of certain chips to Huawei, which was blacklisted last year.
Boon for Apple, AMD, Nvidia, etc. or a disaster in the making?
Also at Tom's Hardware.
See also:
AMD is set to become TSMC's biggest 7nm customer in 2020
Report: TSMC's Reducing Its Reliance on Huawei Amid US Government Scrutiny
Related:
AMD Says TSMC Can Meet Epyc Demand; Launches New, Higher-Clocked 64-Core CPU
How China Plans to Lead the Computer Chip Industry
(Score: 5, Insightful) by BsAtHome on Sunday March 29 2020, @04:19PM (1 child)
Retrospective limitation om equipment sold from US sources. That will make the industry reconsider buying any US equipment in the future. Today it may be chip-production stuff. Tomorrow it will be a hammer. Imagine a contract saying, you can buy this hammer, but if you need to hammer in a Chinese nail, then you need an additional license.
In effect, it will isolate the US market from the rest of the world. The liabilities stemming from US equipment will potentially become too expensive. It is a good way to ensure that other countries will create their own manufacturing equipment to protect their production lines. Then, after some time, the US can jump as high as they'd like and nobody will be listening anymore. What a way to shoot yourself in both feet and take your legs off too.
(Score: 2) by DannyB on Monday March 30 2020, @03:29PM
Nobody in the US can imagine that the other 96 % of the world population might decide to shun the US.
Nothing to see hear.
Move along. Move along.
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