AMD and Intel processors are probably the two top dog processors in the world. Certainly, that is the case in the United States. There are other CPU makers out there, but AMD and Intel are the most widely known and used. But now, the Chinese government is banning the use of these brands of processors on government computers.
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According to Engadget, “China has introduced guidelines that bar the use of US processors from AMD and Intel in government computers and servers, The Financial Times has reported.” The report also indicates that China is also banning and blocking Microsoft Windows and database products made by U.S. companies from government computers.
Chinese government agencies must now pivot to use what is called “safe and reliable” replacement chips that are domestically produced. The Chinese government gives its agencies guidance on this, with a list of eighteen approved chips from the likes of Huawei and Phytium. Not ironically, both of these chip manufacturers are banned in the United States.
According to Engadget, the new rules were announced back in December 2023 and only just now implemented. It’s unclear on how this will impact the chipmakers financially. Given that the ban is for government computers, they still have the consumer market available to them. For now. According to the Financial Times, 27% of Intel’s sales are from China and 15% of AMD’s sales are from the country. Though, as mentioned, no one has a clue how much of those sales are from the government.
Be sure to check out both Engadget and The Financial Times for more on this story.
What do you think of this development? Do you think this will have an impact on sales and profit for both of these brands? What do you think of governments banning the use of tech products from other countries? Where do we go from here? You may comment by using the social media buttons below. Share on your favorite social media site and tag us on Facebook, X, MeWe, and LinkedIn. Or join our Telegram channel here.
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