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China Explores Open-Source Chip Technology Amid Increasing US Export Controls

by Geraldine S.
02/05/2024
in Global Trade

Recent developments reveal China’s strategic move towards leveraging open-source chip technology, highlighting the country’s efforts to adapt to the global semiconductor market and navigate through the challenges posed by US sanctions. A patent published in September by a Beijing-based military research institute, associated with the People’s Liberation Army (PLA), showcases advancements in a high-performance chip utilizing an open-source standard known as RISC-V. This innovation aims to enhance chip reliability for applications in cloud computing and smart vehicles.

RISC-V, an instruction set architecture that facilitates the design of a wide range of processors, from mobile device chips to sophisticated AI computing units, presents a shift from the predominant standards governed by Western entities. Currently, the chip industry is largely dominated by x86 architectures, primarily from US companies Intel and Advanced Micro Devices (AMD), and the Arm architecture from UK’s Arm Holdings, a subsidiary of SoftBank Group.

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The imposition of US and UK export controls restricts China’s access to the most advanced chip designs based on x86 and Arm architectures, which are crucial for high-performance computing. In response to the expanding limitations on China’s ability to procure advanced semiconductors and related manufacturing technologies, the adoption of RISC-V’s open-source framework has emerged as a strategic component of Beijing’s initiative to reduce its reliance on Western technologies. Despite RISC-V’s current minor share in the chip market, its geopolitical neutrality is seen as a significant advantage.

According to a report by the Shanghai government’s Science and Technology Commission, the emphasis on RISC-V is part of a broader effort to diversify China’s semiconductor capabilities. Investments exceeding $50 million in RISC-V related projects have been made by Beijing, along with various Chinese state entities and research institutes—some of which face sanctions from Washington—over the past five years. This investment is based on a comprehensive review of over 100 sources, including academic publications, patents, and government records.

Although the investment in RISC-V technology by China represents a small fraction of the global semiconductor industry, recent advancements and applications funded by the government signal a growing optimism. There is a potential that this open-source approach could challenge the prevailing dominance of x86 and Arm architectures in the future. Representatives from Intel and AMD have not provided comments on this development, and Arm has declined to comment.

Stay current with supply chain report news at The Supply Chain Report. For international trade tools, see ADAMftd.com.

#ChinaSemiconductors #RISC5Innovation #OpenSourceTechnology #ChipDevelopment #USSanctions #GeopoliticalNeutrality #HighPerformanceComputing #CloudComputing #SmartVehicles #Intel #AMD #ArmHoldings #SoftBankGroup

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