The U.S. won’t accept Huawei success. If Huawei is to succeed it will have to be without any Western innovations. The U.S. seems hell-bent on ensuring that’s the case.
The Biden administration plans to blacklist Sophgo, a Chinese company linked to Huawei, for illegally incorporating a TSMC-made chip into Huawei’s AI processor.
Huawei’s Ascend 910B, released in 2022, is considered the most advanced AI chip from a Chinese company, with plans to mass-produce the Ascend 910C by early 2025.
However, it now appears Huawei was able to shock the world with that chip because it relied on TSMC, indirectly.
TSMC is a Taiwanese company. Taiwan is but a province of China if you ask the Chinese government but the Taiwanese consider themselves the real China. So, in what world is TSMC considered Western technology?
There are two main reasons – TSMC heavily relies on advanced chip-making equipment and software tools from U.S. To use that tech they have to comply with U.S. export restrictions.
The second main reason is that Taiwan has close ties with the U.S. and Western allies. While Taiwan maintains its autonomy, its tech industry is aligned with Western interests, especially in the face of tensions with China.
Huawei’s TSMC-produced chip
TechInsights discovered the TSMC chip in Huawei’s Ascend 910B, prompting TSMC to notify U.S. authorities and initiate an investigation.
TSMC halted shipments to Sophgo after discovering the chip’s connection to Huawei, which has been under U.S. export restrictions since 2020.
Sophgo denies any business relationship with Huawei, stating it primarily supplies local governments and state-owned firms in China.
The U.S. is not buying any of it. The U.S. Commerce Department is adding Sophgo to its Entity List, which restricts trade with companies deemed a threat to national security.
Yeah, apparently it’s a national security issue.
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