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Legacy chips: USA investigates possible China market manipulation
China produces billions of tiny chips using older manufacturing technology. The US government suspects unfair methods and launches an investigation.
The government suspects distortion of competition behind the market power: while China is lagging behind in modern manufacturing processes due to trade restrictions, most chips with coarser structures come from the country. These include controllers, sensors and power management chips (PMICs), which use structures of 60 nanometers or even coarser ("matured nodes") and end up in cars, household appliances and medical equipment, among other things The business figures of Dutch equipment manufacturer ASML underline the fact that China is investing heavily in the production capacity of older process technology.
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