Is 2024 the year of the legacy chip?

It may be too early to tell, but the momentum is promising. The latest evidence comes from a Wall Street Journal exclusive on a letter from House CCP Select Committee leaders. In the letter, Rep. Mike Gallagher (R-WI) and Rep. Raja Krishnamoorthi (D-IL) call on the Biden administration to take “urgent action” to keep the PRC from dominating the legacy chip (also known as foundational chip) market. They warn, “If the United States becomes dependent on the PRC for foundational chips, our military and economic well-being may run the risk of being overly reliant on the Chinese Communist Party.”We couldn’t agree more and are glad Gallagher and Krishnamoorthi called on Commerce Secretary Gina Raimondo and U.S. Trade Representative Katherine Tai to… Read More

China Evades U.S. Chip Controls – When Will We Respond?

A recent joint column for Foreign Policy makes the point that if the Biden “administration wants to succeed in holding a chokepoint over national security-sensitive supercomputing, [BIS] will have to get more creative.” That’s true, and time is ticking.To put a finer point on why, Tim Fist of CNAS, Lennart Heim of Governance of AI, and Jordan Schneider of Rhodium Group cite reports of blacklisted Chinese entities exploiting weaknesses in U.S. policy and smuggling chips. For example:“[B]lacklisted facial recognition company SenseTime has been using intermediaries to smuggle banned components from the United States, mirroring the approach taken by China’s top nuclear weapons lab, the state-run Chinese Academy of Engineering Physics. And despite being blacklisted for human rights abuses,… Read More