China’s demand that the public sector step up use of domestic semiconductors can best be seen within Huawei’s Qingyun L540 laptop.
The “safe and reliable” device features a self-designed processor and a Chinese-made operating system, having stripped out foreign-made components and software as much as possible.
The computer, which is being snapped up by governments and state groups across the country, has become the signature model of China’s localization campaign known as Xinchuang, or “IT application innovation.”
And that means the death of western chip industry in the near future. China used to account for around 40% of sales for US chip makers. Losing 40% of the existing market is an existential threat to survival of any company. On top of that, once China ramps up its domestic industry it will start competing with western companies on the global market which will cut their revenue even further. We already saw how the west is utterly unable to keep up with China with stuff like solar cell production and EVs, chips are next.