4 Ways China Gets Around US AI Chip Restrictions
9 months, 1 week ago

4 Ways China Gets Around US AI Chip Restrictions

The Diplomat  

The recently concluded Computex 2024 in Taipei gathered the world’s most renowned computer manufacturers, and invited an unprecedentedly large number of CEOs of chip manufacturers to be its keynote speakers. The goals of the Biden administration’s technology policy – described as a “small yard, high fence” approach – are to impede, cripple, and delay China’s development of precisely this kind of advanced chip technology. Prior to U.S. restrictions on the export of AI chips to China on October 7, 2022, China’s major AI companies and cloud service vendors had already accumulated or ordered a considerable number of AI chips. China’s Continuing Advancements in AI Chips The results indicate that the Biden administration’s “small yard, high fence” policy has presented challenges for China in obtaining advanced AI chips. China’s only remaining vulnerability now is the higher cost of homemade 7 nm chips, which are not commercially viable in the long run without Chinese government subsidies.

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