According to a report by the Financial Times, China has announced that it will gradually phase out American microprocessors from Intel and AMD from government computers and servers.
These procurement directives also aim to eliminate foreign operating systems such as Windows and database software in favor of domestic options. In turn, the United States has implemented plans to boost domestic semiconductor production and reduce reliance on China and Taiwan through the CHIPS Act and the 2022 Science Law promoted by the Biden administration.
The primary goal of this plan is to strengthen the US semiconductor industry and provide financial support for domestic production, including subsidies for the production of advanced chips. Additionally, government agencies at higher levels than municipalities have been instructed to include criteria requiring “secure and trustworthy” processors and operating systems when making acquisitions.
This move comes amid escalating tensions between the United States and China, fueled by concerns about cybersecurity and dependence on foreign technologies. In addition to these measures, the US recently saw legislative initiatives to ban the TikTok app, which passed the House of Representatives and is set to be voted on in the Senate.
Through the implementation of these policies, both China and the United States are asserting their intentions to strengthen their own technological industries and reduce reliance on foreign technologies, especially regarding cybersecurity and data sovereignty. In the context of increasingly fierce competition between the two global economic powers, these measures could have a significant impact on global markets and international economic relations.