The Chinese government is banning the use of chips made by U.S. firms Intel and AMD along with foreign-made software in favor of microprocessors and tech made in China.
China has put in place new guidelines aimed at phasing out U.S.-made microprocessors from Intel and AMD from being used in the government's personal computers and servers, according to a report from the Financial Times on Sunday. The new procurement guidance also looks to bring an end to the use of Microsoft's Windows operating system as well as foreign-made database software on Chinese government devices in favor of domestic options, the report said.
The announcement comes just days after the U.S. government announced its largest financial award to date under the CHIPS and Science Act, a law that provides federal incentives and subsidies for tech companies to ramp up the production of advanced chips and semiconductors in the U.S. The award provided about $20 billion to Intel, including $8.
The funding will help Intel build two new factories and modernize an existing facility in Arizona, as well as advance the construction of a leading-edge chip manufacturing project in Ohio that has experienced delays. It will also fund a nearly complete advanced packing facility in New Mexico and allow Intel to expand its research and development facility in Oregon. Intel has pledged to invest $100 billion in the U.S.
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