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US blacklists firm that ordered TSMC chip present in Huawei processor By Reuters

by Index Investing News
January 15, 2025
in Financial
Reading Time: 2 mins read
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WASHINGTON (Reuters) -The Biden administration added greater than a dozen Chinese language entities to its restricted commerce record on Wednesday, together with an organization whose TSMC-made chip was illegally integrated right into a Huawei synthetic intelligence processor.

Sophgo and different entities linked to it had been amongst 14 China-based firms and two Singapore-based firms added to the U.S. Commerce Division’s Entity Record, in response to a federal authorities discover. Corporations on the record can’t obtain items or expertise exports with out a license, which is mostly denied.

Sophgo drew consideration after a chip discovered on Huawei’s Ascend 910B multi-chip AI system matched one it ordered from Taiwan Semiconductor Manufacturing Co.

Sophgo is amongst quite a few firms which were punished by the U.S. for serving to Huawei. Late final yr, the Commerce Division added different firms considered as a part of Huawei’s shadow community to the U.S. Commerce Division’s restricted commerce record.

The U.S. additionally on Wednesday strengthened restrictions on superior computing semiconductors, together with chips used for AI, to cease them from reaching China.

The brand new guidelines impose broader curbs for chip factories and packaging firms looking for to export sure superior chips, constructing on earlier measures aimed toward hampering China’s entry to chips for its navy.

The brand new controls affecting chips at 14 or 16 nanometer nodes or beneath that can be utilized in AI purposes, and affect firms past TSMC.

Samsung (KS:) gross sales may be affected. Neither TSMC nor Samsung instantly responded to requests for remark.

Chipmakers can bypass licensing necessities if sure circumstances are met, akin to working with an authorized designers and trusted chip packagers.





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