China has mandated that all domestic data centers begin using more Chinese-produced processors as part of an increasing initiative to make China self-sufficient when it comes to silicon, as reported by SCMP. This comes at a time of enormous global investment in datacenters, AI, and processor production, with an increased drive towards self-sufficiency and nationalistic stances on cutting-edge technology.
Moving forward, publicly-owned Chinese datacenter firms will reportedly be required to source more than 50% of their chips from domestic producers, according to people said to be familiar with the matter. This comes from guidelines initially published last March by the Shanghai municipality. This order appears to have now been extended to the wider country and could have a large impact on Chinese chip adoption and investment, as well as the country's overall interest in US processors.
