In a recent development in the ongoing semiconductor war between China and the United States, China has voiced concerns over the cybersecurity risks associated with Micron Technology Inc. products. According to a Bloomberg report, China's Cyberspace Administration (CAC) announced that Micron's products failed to pass a cybersecurity review, citing "relatively serious" risks to national security.
The statement issued by the CAC warned operators of critical infrastructure against purchasing Micron's goods, as they were found to pose significant security risks to the country's critical information infrastructure supply chain. This move comes after China initiated an investigation into imports from Micron, the largest memory-chip maker in the United States.
The tech sector has become a battleground for national security between the two economic giants, with the US already imposing export controls on semiconductors, blacklisting Chinese tech firms, and restricting assistance to the Chinese chip industry. Chinese officials privately assert that the probe into Micron is part of a broader trend of prioritizing national security over economic arguments, indicating a pro-retaliation stance in Beijing.
Holden Triplett, founder of Trenchcoat Advisors and a former FBI counterintelligence official in Beijing, commented on the matter, stating, "No one should understand this decision by CAC as anything but retaliation for the US's export controls on semiconductors. These are political actions pure and simple, and any business could be the next one to be made an example of."
The announcement by China has raised concerns among other US chipmakers that supply products to the Chinese market, which is the largest semiconductor market globally. Companies like Qualcomm Inc, Broadcom Inc, and Intel Corp are among those affected. The move could potentially impact not only the sales of Micron products but also the relationships between these companies and their Chinese customers.
While China welcomes products and services from companies of all countries, provided they comply with local laws and regulations, the specific security risks identified in Micron products were not disclosed in the statement issued by the CAC. Micron Technology Inc., headquartered in Boise, Idaho, has previously emphasized the security of its products and its commitment to customers.
Micron responded to the announcement, stating that it is evaluating the conclusions of the cybersecurity review and is actively engaging in discussions with Chinese authorities. The company's next steps in response to China's concerns remain uncertain.
The US-China semiconductor war has broader implications for trade relations and the global semiconductor industry. The actions taken by both countries are shaping the landscape of the industry and highlighting the critical role of semiconductors in geopolitics and the economy.
As tensions continue to escalate, businesses, lawmakers, and industry observers are closely watching the developments in the semiconductor sector, as they have far-reaching consequences for the global technology supply chain and the future of US-China relations.
Note: The information provided in this news article is based on reports from Bloomberg.