China to Invest $1.9 Billion in YMTC After US Restrictions Over Security Concerns: Report

Internet

China is pumping $1.9 billion into its top memory chipmaker, according to media reports, as US restrictions on semiconductor exports threaten Beijing’s tech ambitions. Semiconductor manufacturer Yangtze Memory Technologies Co (YMTC) is set to receive 12.9 billion yuan from the state-owned National Integrated Circuit Industry Investment Fund, Bloomberg reported on Thursday, citing government data.

The move comes after the US Commerce Department in December added YMTC to its so-called “Entity List”, blocking the firm along with dozens of other Chinese companies from purchasing US chip technology.

Washington has in recent months tightened restrictions on Chinese chipmakers, citing national security concerns and the ability for the technology to be used by China’s defence sector.

According to US rules released last week, chipmakers benefitting from a $39 billion government fund must agree not to expand capacity in “countries of concern”, including China, for a decade. 

To no longer rely on foreign imports for its chips, Beijing has sunk billions of dollars into building up its own semiconductor industry over the past decade.

And in December, it filed a dispute with the World Trade Organization over US chip export restrictions, accusing Washington of protectionism and violating international trade rules.

State-controlled Chinese business news outlet Jiemian on Thursday said the investment from the national fund was part of a capital infusion that also included two companies backed by the government of Hubei province, where YMTC is based.


After facing headwinds in India last year, Xiaomi is all set to take on the competition in 2023. What are the company’s plans for its wide product portfolio and its Make in India commitment in the country? We discuss this and more on Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.
Affiliate links may be automatically generated – see our ethics statement for details.

For details of the latest launches and news from Samsung, Xiaomi, Realme, OnePlus, Oppo and other companies at the Mobile World Congress in Barcelona, visit our MWC 2023 hub.


WhatsApp Reportedly Testing Split View Interface for Android Tablets

Featured video of the day

Realme GT 3 First Impressions: Insanely Fast Charging!

Related Stories

Articles You May Like

Samsung Galaxy Z Flip 6 Camera Details Leaked; Allegedly Receives BIS Certification
China’s Honor will have Google AI features, including Gemini, on its upcoming smartphones
Google is letting retailers include 3D images in AI-generated ads
Google criticized as AI Overview makes obvious errors, such as saying former President Obama is Muslim
News Corp. and OpenAI strike ‘multi-year global partnership’ deal to use journalistic content to improve ChatGPT