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It is the latest move in the US-China chip war, in which Washington seeks to cut off Beijing’s access to cutting-edge semiconductors and China strikes back by banning the sale of Micron products.
US semiconductor giant Micron Technology Inc is expecting a financial hit after China bans the sale of its memory chips to domestic industries. A measure that opens the last chapter in the dispute over this industry between the United States and China.
According to the Chinese regulator, Micron, the largest US maker of memory chips, did not exceed a test security of its network and asked key infrastructure operators not to buy the company.
China began investigating Micron in March to analyze products sold in the country. The Cyber Security Administration concluded that its products “present relatively serious potential network security issues, which pose a significant security risk to China’s critical information infrastructure supply chain and affect the country’s national security.”
He added: “Critical information infrastructure operators in China should stop buying Micron products.”
This definition of “critical infrastructure” is so broad that it includes sectors ranging from transportation to healthcare.
Micron reacted by noting that it had received the determination. “We are evaluating the conclusion and assessing our next steps,” they added.
A decision without “foundations”
“We strongly oppose unfounded restrictions,” a US Commerce Department spokesman said. “This action, along with recent raids and attacks on other US companies, is inconsistent with (China’s) claims that it is opening its markets and committed to a transparent regulatory framework,” they said from the White House.
Washington and Beijing have been at odds for months, but visits by Chinese authorities to the US due diligence company Mintz Group and the management consultancy Bain have increased in recent weeks.
Micron is the first US chipmaker to be targeted by China. While Washington has implemented a series of export controls on certain US chipmaking components and tools. Some measures that prevent China from using this technology to increase its military capacity.
According to Micron, about 10% of last year’s $30.8 billion in annual revenue came from China.
With Reuters and AFP
