China is reportedly limiting the use of US-manufactured servers and microprocessors in government computers due to new rules that will replace US-made chips with local ones made by Advanced Micro Devices Inc. and Intel Corp. Guidelines issued by the Ministry of Finance and the Ministry of Industry and Information Technology (MIIT) on December 26, 2017, were included in the report.
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According to the report, software provided by companies like Microsoft Corp. will undergo modifications. Two unidentified procurement officials told the newspaper that state-owned businesses and government agencies still have some leeway when it comes to purchasing computers with processor servers from other countries. Despite this, Intel and Microsoft declined to comment on the report. Moreover, AMD has not answered a comment request.
China has been removing significant foreign technology from its most vulnerable sectors over the past few years. For instance, Beijing mandated that domestic personal computers replace foreign-branded ones in 2022 for state-backed companies and central government agencies. The modification was to be finished within two years, per the order.
Earlier today, Bloomberg reported that the US is considering adding a number of Chinese semiconductor companies that are associated with Huawei Technologies Co. to a blacklist. This could be just another move in Washington’s campaign to curb Beijing’s ambitions in semiconductors and artificial intelligence.
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