Two of the companies most important to China’s semiconductor self-sufficiency and AI supremacy hopes were dealt a blow on Saturday, when Taiwan added them to its strategic high-tech commodities entity list.
Huawei and SMIC have already been sanctioned by the U.S., but the constriction of supplies from the Silicon Island could prove very meaningful and impactful. This news also comes in the wake of Huawei using shell companies to deceive TSMC into manufacturing two million banned advanced AI compute chiplets. Stricter government controls should prevent similar mistakes in the future.
