China is pulling out all the stops to boost its semiconductor industry, with its top firm receiving a major infusion from state-backed investors.
The US and its allies have been working to cut China off from advanced semiconductor tech. Some sources say this has resulted in driving the country’s chipmaking industry to the verge of collapse. In response, China committed to a $143 billion investment package to help its semiconductor industry become more self-sufficient.
According to the South China Morning Post, state-backed investors have sunk $7.1 billion (49 billion yuan) into the company. This brings the company’s registered capital to more than 105 billion yuan.
Interestingly, high-performance computing, quantum computing, and advanced integrated circuit design and fabrication are three of the seven areas where the US still has a technological lead over China, out of a total of 44 areas. China is clearly willing to spend the necessary money to close that gap.