Microelectronics and Rare Earth Elements Sectors

[Rodeo]

Chinese-made 7nm chips in Huawei phone raise questions over US export ban

The discovery of 7nm, 5G-enabled chips in Huawei’s latest phone has sparked an investigation by the US Commerce Department into how the country was able to acquire the technology.

www.computerworld.com

Keep in mind this is still made with DUV machines, with a sort of tinkering to reach the limits of what duvs can offer. It's not as efficient as EUV 7nm chips (and the transistor size as the video mentions is most times a marketing gimmick as what Nvidia calls 10nm, intel can call 14nm and what they call 7nm, Nividia calls 5nm as the criteria they use for measurements are different; another crucial point is that transistor size is the most important factor for performance and efficiency of chips but it's not the only factor; manufacturing know-how in limiting power leakage, enhancing switching speeds, interconnect resistance and capacitance all matter. For power consumption there are also techniques independent of transistor size, like DVFS and some other technical stuff that I read about but I forgot. All in all this Huawei chip was not expected by West but it doesn't mean China has closed the gap by that much. They are still about 10 years behind (as the performance and techniques and machines used are more than a decade out of date; but still it shows unexpected speed of development).

It's not that I disagree with the professor @Bogeyman quoted. China has been sanctioned heavily and has to develop the entire supply-chain itself. This is a humongous undertaking and the most important element is the lithography machines, imho. I wish their research would be more fruitful and we see a fully vertically-integrated chip manufacturing that will drive the price-gouging NVIDIA out of market. NVIDIA's cupidity has to end and the Chinese are the only hope so that I, maybe, can run my sidekick AI on my GPU clusters at home someday.

 

[Nilgiri]

It's not that I disagree with the professor @Bogeyman quoted. China has been sanctioned heavily and has to develop the entire supply-chain itself. This is a humongous undertaking and the most important element is the lithography machines, imho. I wish their research would be more fruitful and we see a fully vertically-integrated chip manufacturing that will drive the price-gouging NVIDIA out of market. NVIDIA's cupidity has to end and the Chinese are the only hope so that I, maybe, can run my sidekick AI on my GPU clusters at home someday.

Cost regarding that can only change if PRC manages to convince the world to adopt Yuan far more, so pricing can even attempt to bypass USD (and the vast seignoriage US has here by default).

Problem for PRC is its total debt level is already at 300% of GDP (this is huge problem showing up in real estate for a reason)....and thats all part of reason PRC holds onto US forex (just like Xi Jinping sending his daughter to harvard) against what it tries to broadcast instead.

Then there is problem of where the value addition is regarding these things. 10 billion out of 13 billion PRC earns from world in IP (with PRC still paying 45 billion to the world for their IP) was from huawei related comms. i.e there are huge tech tiers regarding the actual operationalising of the chips into products...compared to the component apex themselves. These are the things (human intellectual services related to the components) that are far more sanction proof in end too as they can be applied/licensed to other components (and their price levels defended in other countries etc).

PRC is lagging here, the paper publ. to IP earning ratio shows it....among the larger domestic fiscal problems PRC has grown for itself with its overwrought approach to statist control and bureaucracy.

 

[Bogeyman]

https://twitter.com/i/web/status/1796448491813654677

 

[fushkee]

Türkiye should invest such projects which produce chips. I know it costs huge budget. But we should start with Çakil project and develop it with new investments.

 

[Bogeyman]

https://twitter.com/i/web/status/1803367118873960942

 

[Bogeyman]

US proposes restrictions for investments in Chinese tech, AI​

The United States Department of the Treasury has fleshed out a proposed rule that would restrict and monitor US investments in China for artificial intelligence, computer chips and quantum computing.

The fleshed-out draft rule, issued on Friday, stems from President Joe Biden’s August executive order regarding the access that “countries of concern” have to American dollars to fund advanced technologies that could enhance those nations’ military, intelligence, surveillance and cyber-capabilities. The order identified China, Hong Kong and Macau as countries of concern.

The Biden administration has sought to stymie the development of technologies by China, the world’s second largest economy, that could give it a military edge or enable it to dominate emerging sectors such as electric vehicles (EVs).

In addition to the proposed rule, Biden, a Democrat, has also placed a stiff tariff on Chinese EVs, an issue with political implications as Biden and his Republican presidential opponent Donald Trump are both trying to show voters who can best stand up to China, a geopolitical rival and major trading partner.

The proposed rule outlines the required information that US citizens and permanent residents must provide when engaging in transactions in this area as well as what would be considered a violation of the restrictions.

It specifically would prohibit American investors from funding AI systems in China that could be used for weapons targeting, combat and location tracking, among other military applications, according to a senior Treasury official who previewed the rule for reporters on the condition of anonymity.

The US Treasury is seeking comment on the proposal through August 4 and after that is expected to issue a final rule.

Biden administration officials, including Treasury Secretary Janet Yellen, have insisted they have no interest in “decoupling” from China – however, tensions between the two nations have increased in recent years.

After the US military in February 2023 shot down a suspected Chinese spy balloon off the US East Coast after it traversed sensitive military sites across North America, China threatened repercussions.

Since then, incidents between the two nations based on national security concerns have regularly occurred.

For instance, Biden in May issued an order blocking a Chinese-backed cryptocurrency mining firm from owning land near a Wyoming nuclear missile base, calling its proximity to the base a “national security risk”.

US proposes restrictions for investments in Chinese tech, AI

Draft rule would bar US investment in AI systems in China that could be used for weapons targeting, other military uses.

www.aljazeera.com

 

[Bogeyman]

https://twitter.com/i/web/status/1805052916098838926