China has stepped up spending to replace Western-made technology with domestic alternatives as Washington tightens curbs on high-tech exports to its rival, according to government tenders, research documents and four people familiar with the matter.
China rushes to swap Western tech with domestic options as U.S. cracks down::China has stepped up spending to replace Western-made technology with domestic alternatives as Washington tightens curbs on high-tech exports to its rival, according to government tenders, research documents and four people familiar with the matter.
Countries seeking to develop their industry often impose import tariffs to force domestic companies to supply those goods. This "import substitution" strategy isn't guaranteed to work; often, the domestic firms become complacent and just keep producing shoddy products. But the one region of the world where it's arguably worked, in recent history, is East Asia. There are several examples of protected Asian firms becoming quite good, eventually turning into globally competitive champions.
Ironically, US sanctions serve essentially the same function as import tariffs (in fact, import bans). It would be funny if it ended up creating competitive Chinese lithography machine manufacturers, etc.
Can you give an example of something the US has sanctioned from China that they suddenly became extremely competent at all on their own?
China has caught up so quick because we literally give them the blueprints on some or the west's most advanced designs, setup the factories, show them how to make it, and then go all shocked Pikachu when they just... Do that in another location too but with a different logo on it.
I don't think there are really that many Chinese companies that rose up domestically organically. They stole their way to success and often continue to follow behind the western company they copied because they don't have the people that made the product, just their designs to parody.
I don't buy this "we're digging our own grave by not allowing our most sensitive technology to be manufactured in China for them to steal it via an easy button." If they want to steal it, make them at least try.
And guess what, they also give zero fucks about violating patents and stealing tech and are scary good at it. So, build it themselves or steal it, they have the the best of both worlds and America only hurts itself.
BEIJING, Oct 26 (Reuters) - China has stepped up spending to replace Western-made technology with domestic alternatives as Washington tightens curbs on high-tech exports to its rival, according to government tenders, research documents and four people familiar with the matter.
SOEs were instructed last year to replace office software systems with domestic products by 2027, the first time such specific deadlines were imposed, according to five brokerage firms that cited a September 2022 order from China's state asset regulator.
An article published this year in the journal Cyberspace Security by researchers from the state-run China Telecommunications Corporation concluded the country was overdependent on chips made by U.S. giant Qualcomm (QCOM.O) for back-end management, as well as on the iOS and Android systems.
For years, Western tech companies have shared their source code and entered into partnerships with domestic firms to address Beijing's concerns, but prominent computer scientists such as Ni Guangnan of the Chinese Academy of Engineering have said such measures are not sufficient for China's security needs.
AmCham Shanghai President Eric Zheng acknowledged China's national security concerns but said he hoped "normal procurement procedures will not be politicized so that US companies can compete fairly and pursue commercial opportunities ... to benefit both countries."
Clients also prize Huawei for its ability to process data on internal company servers and external cloud networks, as well as its wide offering of cybersecurity products, according to the employee of a China Tobacco tech supplier.
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I'm just curious lol. Historically China actually has provided some cool improvements for some FOSS projects. Notably some RISC-V stuff. Would be a shame if they stopped under some regulation.
Not wrong and not sure why you're being down voted.
Multiple governments, the UK, Australia, the US, China, and Russia, have demanded tech companies provide backdoors for them.
US security companies had to replace a bunch of Chinese hardware because they found some serious security risks. And looks like China is finding some foreign security risks too.
As long as this game of snooping continues, every country is going to have to figure out how to assemble their own set of trusted hardware, else accept they are being listened to.