Cut-throat competition for world-class chips: The end of Huawei?
Greater restrictions have been imposed by the US in recent months to choke off US-related chip-making supplies to Huawei. As the noose tightens around its neck, it has to think fast about how it can produce its own chips domestically to minimise the impact.
THE chip is a crucial hard power that will determine the winner in China-US strategic competition. It is the cornerstone of the most cutting edge technology of today, and decides if various information technology - such as computers, artificial intelligence, 5G, autonomous vehicles and surveillance tools - can take on a lead role. From cryptography, hypersonic weapons to the latest nuclear weapon designs, supercomputers have become indispensable, with chips being the source of their power. Chips also play a central role in next-generation advanced weaponry.
Whoever holds the chip is in possession of the key that determines who has the upper hand in the hard powers of technology, economy and the military. Because of the chip's core strategic value, the US has to maintain a firm grip on it to contain China in the China-US strategic competition. During the China-US trade war, the US cut off supplies to Huawei; during the Covid-19 outbreak, the US released a new document, the United States Strategic Approach to The People's Republic of China, which affirmed that they would be adopting a policy of "strategic competition" against China in response to "the CCP's direct challenge". This accounts for the reason why the US has been laying out a chip control policy against China since the trade war began.
When the chips are down
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