This is a major national security issue and they’ve dedicated little in the way of resources to being independent in IC. Blown incredible amounts of $ on money pits like the Winter Olympics when in reality IC deserves Manhattan project style funding/focus.
This article is just full of BS as usual from SCMP.
"Even as China has sought to boost self-reliance in semiconductors in recent years, it remains highly reliant on overseas chips. The country’s supercomputers primarily use CPUs from Intel, AMD and IBM, according to Francis Lau, a computer science professor at the University of Hong Kong."
Oh really? How many supercomputers with IBM processors are there in China? They have the Summit supercomputer in the USA but there is a reason it isn't selling all that well. IBM does not compete on price.
“Although there are alternatives made by other countries such as Japan and [South] Korea, the best components are still by the US.”
I guess he never heard of the Fujitsu A64FX. Which powers the Fugaku supercomputer that is the #1 supercomputer in the world at this moment. Or the NEC SX-Aurora TSUBASA vector processor.
China can manufacture good enough chips for supercomputers all alone. They have their own advanced chip design so they can design custom hardware for supercomputers which means they will have decent compute performance even with older processes. What the sanctions will do is prevent the spread of the technology to the server market which is their actual objective.
The US governments purchases of supercomputers are effectively subsidies for US industry. The IBM POWER9 is a good example of this. It is used in the Summit supercomputer, the chip was designed with Summit as one of its targets. The other US chip companies are also clear beneficiaries. You can tell this by the way the US government funds these supercomputers. They funded three top supercomputers with IBM, Intel, AMD, and NVIDIA chips. IBM specifically designed POWER9 for these supercomputers, Intel supplied their Xeon Phi for another of the top US supercomputers when commercially it was a failure and no one in their right mind would use it. AMD and NVIDIA also benefit.
The US government national labs basically fund these companies, at least in the case of IBM and Intel, to design chips which once proven might be sold in the commercial market. This is in effect a form of subsidy for these companies.