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US Revokes Intel, Qualcomm Licenses To Sell Chips To Huawei (msn.com) 241

An anonymous reader quotes a report from MSN: The US has revoked licenses allowing Huawei to buy semiconductors from Qualcomm and Intel, according to people familiar with the matter, further tightening export restrictions against the Chinese telecom equipment maker. Withdrawal of the licenses affects US sales of chips for use in Huawei phones and laptops, according to the people, who discussed the move on condition of anonymity. House Foreign Affairs Committee Chairman Michael McCaul confirmed the administration's decision in an interview Tuesday. He said the move is key to preventing China from developing advanced AI. "It's blocking any chips sold to Huawei," said McCaul, a Texas Republican who was briefed about the license decisions for Intel and Qualcomm. "Those are two companies we've always worried about being a little too close to China."

While the decision may not affect a significant volume of chips, it underscores the US government's determination to curtail China's access to a broad swathe of semiconductor technology. Officials are also considering sanctions against six Chinese firms that they suspect could supply chips to Huawei, which has been on a US trade restrictions list since 2019. [...] Qualcomm recently said that its business with Huawei is already limited and will soon shrink to nothing. It has been allowed to supply the Chinese company with chips that provide older 4G network connections. It's prohibited from selling ones that allow more advanced 5G access.

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US Revokes Intel, Qualcomm Licenses To Sell Chips To Huawei

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  • by korgitser ( 1809018 ) on Wednesday May 08, 2024 @08:56AM (#64456570)

    This is how they killed the West(ern semiconductor industry). One of the only industries that still has advantage over the Chinese.

    Sanctions rarely work for their intended purposes. But one way in which they do work is they force the other guy to become independent of your stuff. The Chinese are already making giant leaps in their domestic chip industry, and outinvesting the West by an order of magnitude. Maybe two - it's difficult to keep track, but one order of magnitude is easily there. Sanctioning them further will only add fuel to their efforts. In ten years nobody in the world will have reason to buy chips from the West, the Chinese will deliver them cheaper and better.

    Chips, together with aerospace were basically the last things the Chinese, and everybody else, needed to buy from the West. Once they have these last few industries in the bag, Western money will be worthless outside the West. There will be nothing to buy from the West, for which you will not get a better deal in China. And if the West has nothing to sell, it will have no power to buy, either, and we all will sit in our deindustrialized landscape with a dumb look on our face, looking for someone to blame. Considering we are already doing our best to forget the uncomfortable fact that shipping our industry, together with technology transfer, was a deliberate policy acted out by our elites, and sold to us as our glorious prosperous future unfolding... I do not expect we will suddenly gain the amazing powers of introspection later on, when the fan has finished spreading out the manure that we flung it's way.

    After we shipped out our industry, and realized we fscked up, we had basically had one job to do. Keep hold of every export market we still have, especially the ones where we had absolute advantage. Instead these have now been pissed to the wind for whatever genius voter engagement idea of the day our "leadership" is chasing after these days. A collective economic suicide by the West. A reversion back to the historic mean of Asia being the economic center of the World, with the West as a backwards insignificant periphery. You cannot compete on a level field with the raw population numbers, the relative ease of feeding them, and the economic power that comes with these, that Asia has going for it. Getting to the industrial revolution first gave the West the upper hand, but we have now sacrificed that to the altar of comfortably retiring a few assholes from DC, and retiring insanely rich a few assholes from Wall Street.

    Sic transit gloria mundi.

    • by zlives ( 2009072 )

      from a western consumer POV, if this makes chinese company create competitive chips, yes please, also can we add nvidia to the list. i can't afford the 2000 dollar video cards.

      • The problem with that is such. Suppose you will want in the future to buy a nations worth of them $1000 Huavidia gpus. What can they then buy from you so that they have something to do with your money? If everything under the sun is available from their own market better or cheaper, if every possible answer to that question looks something like "those $2000 Nvidia" gpus, the best use for them for your money is to wipe their ass or start the grill with it. So that Huavidia gpu will be cheap, competitive and
    • by Tom ( 822 )

      There will be nothing to buy from the West, for which you will not get a better deal in China.

      While I agree with much that you write, I disagree with this.

      China is still mostly known for cheap, unreliable crap. Maybe they can make better things (excluding the ones that they simply copied 100%, factory and all, from western companies) but they don't export them. There's plenty of garbage coming out of China, while things "made in Germany" and western brands in general still have a much better reputation.

      Getting to the industrial revolution first gave the West the upper hand, but we have now sacrificed that to the altar of comfortably retiring a few assholes from DC, and retiring insanely rich a few assholes from Wall Street.

      late-stage capitalism.

      Communism self-destructed in the end. I fear capitalism will do the same. An

      • by aitikin ( 909209 )

        China is still mostly known for cheap, unreliable crap. Maybe they can make better things (excluding the ones that they simply copied 100%, factory and all, from western companies) but they don't export them.

        I can state with absolute confidence that they can, and do export them. There's a brand of microphones (sE Electronics [seelectronics.com]) that is absolutely good and reliable and exported from China.

        With Chinese manufacturing, unless you tell them you want it to be this level of quality/this caliber/this higher price point, my understanding is their culture TEACHES them from an early age to be as frugal as possible. As such, making things cheap is inherent. If the Western companies that work with the Chinese factories wer

      • China is known for cheap stuff, but that's because they've been at it for 30 years. Don't like it blind you to current China though, who is moving from cheap crap to half-decent products today, and could easily move to better products than we can make tomorrow. Today, a lot of mid-level electronics / consumer appliances are made in China (the Oppo / Huawei phones, the Midea brand ACs and fridges etc.); I don't think they're as good as Japanese or Korean brands, but they work well enough and are cheaper. The
      • by JBMcB ( 73720 )

        late-stage capitalism.

        Capitalism was on the ropes and dying in the 1890s. Then again in the 1920s. Then again in the 1960s. Then again in the 1980s. Then again in the 2010s. Capitalism has been on it's last legs for a hundred years. At this rate it will be dead in two or three hundred more years.

      • All of the expensive quality stuff also comes from China. For lack of an original example, iPhones come from China. Seriously, 99% of everything comes from China by now. They now have also an absolute lead in new patents and technology development. Musk dreamed of battery swap stations for Tesla ten years ago. Did not become reality. It's done and done in China. They will put up in a week a bridge we take two years to build, only for it to collapse on us. They have machines for fsking everything, and for go

    • Chips, together with aerospace were basically the last things the Chinese, and everybody else, needed to buy from the West. Once they have these last few industries in the bag, Western money will be worthless outside the West.

      You're making the same mistake Karl Marx did in his economic predictions: assuming technology remains static, and ignoring the knowledge generated by market competition.

      If the West were to stop inventing stuff, then what you say would be true. Or if China were to become as good at inventing stuff as the West is. The reason the West is better at inventing stuff than China is exactly because open, democratic societies with competitive marketplaces are better at it than controlled, non-democratic societies w

      • To make a long story short, you have missed the memo about China already being better at inventing stuff than the West. I do not want to sound like a broken record, but semiconductors and aerospace are the last two fields where the West is still ahead. And China is closing the gap fast, especially now that they have been getting sanctioned off in these areas.

        Market competition is exactly one of the reasons they have pulled ahead. China has an extremely competitive market, much more so than what the West has

  • This ban is going to have the exact opposite effect.

The computer is to the information industry roughly what the central power station is to the electrical industry. -- Peter Drucker

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