China Firms Skirt U.S. Chip Curbs via Smugglers, Subsidiaries, and Innovation
Summary
Chinese companies employ various tactics, including smuggling, exploiting loopholes, leveraging subsidiaries, utilizing cloud services, and innovating with alternative chips, to circumvent U.S. restrictions on advanced semiconductor technology.
Key Points
- Chinese companies use smugglers, loopholes, and innovation to work around U.S. chip restrictions
- Some companies bypass bans by acquiring banned chips through clandestine means or setting up subsidiaries
- Others use cloud services powered by banned chips or innovate with lower-tier chips not subject to restrictions