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The US is dealing a major blow to China's GPU leaders.
Biren Technology and Moore Threads, two leading Chinese companies that were seen as the best candidates to compete with Nvidia and Advanced Micro Devices in the GPU space, are facing a heavy blow from new US trade sanctions. Washington's move is aimed at further hampering China's progress in artificial intelligence, according to industry experts and analysts.
Thirteen Chinese companies developing advanced computing chips, including Biren, Moore Threads and their mainland subsidiaries, have been added to Washington's so-called "Entity List". The sanctions restrict their access to advanced manufacturing facilities and American software for designing microchips.
Both companies have clear ties to the US: Biren was founded in Shanghai in 2019 by Harvard Law School graduate Michael Zhang Wen, while Moore Threads was founded in Beijing in 2020 by Zhang Jianzhong, former CEO of Nvidia's China division.
The latest US action "signals further blocking of China's development in AI chips," even though it's just "an old way of hurting the Chinese semiconductor industry," said Zhang Xiaorong, director of China's Chengdu Technology Research Institute.
Both companies strongly opposed US sanctions. Biren said it would "appeal to the relevant US departments" and called on the US government to "reconsider" its decision, while Moore Threads said it "strictly abides by the laws and regulations" of the respective jurisdictions.
Both companies, which specialize in designing general-purpose graphics processors (GPUs), were seen as China's top two candidates to meet the growing demand of Chinese tech giants for AI chips.
To survive, Biren and Moore Threads must now redouble their efforts to find independence in creating tools and equipment for chip manufacturing.
Biren Technology and Moore Threads, two leading Chinese companies that were seen as the best candidates to compete with Nvidia and Advanced Micro Devices in the GPU space, are facing a heavy blow from new US trade sanctions. Washington's move is aimed at further hampering China's progress in artificial intelligence, according to industry experts and analysts.
Thirteen Chinese companies developing advanced computing chips, including Biren, Moore Threads and their mainland subsidiaries, have been added to Washington's so-called "Entity List". The sanctions restrict their access to advanced manufacturing facilities and American software for designing microchips.
Both companies have clear ties to the US: Biren was founded in Shanghai in 2019 by Harvard Law School graduate Michael Zhang Wen, while Moore Threads was founded in Beijing in 2020 by Zhang Jianzhong, former CEO of Nvidia's China division.
The latest US action "signals further blocking of China's development in AI chips," even though it's just "an old way of hurting the Chinese semiconductor industry," said Zhang Xiaorong, director of China's Chengdu Technology Research Institute.
Both companies strongly opposed US sanctions. Biren said it would "appeal to the relevant US departments" and called on the US government to "reconsider" its decision, while Moore Threads said it "strictly abides by the laws and regulations" of the respective jurisdictions.
Both companies, which specialize in designing general-purpose graphics processors (GPUs), were seen as China's top two candidates to meet the growing demand of Chinese tech giants for AI chips.
To survive, Biren and Moore Threads must now redouble their efforts to find independence in creating tools and equipment for chip manufacturing.
