Intel, AMD processors verboten in China government PCs and servers

China’s riposte to US clampdowns on its leading edge technology imports is a directive to Chinese government agencies and State-owned enterprises to localize all IT systems by 2027 by buying Chinese processors and operating systems to replace all Intel/ AMD/ Windows based infrastructure.

Ironically, US-targeted Huawei is going to be one of the winners in this ‘Buy Chinese’ move, and both Intel and AMD are going to lose big.

‘China was Intel’s largest market last year, providing 27 per cent of its $54bn in sales and 15 per cent of AMD’s $23bn in sales. Microsoft does not break out China sales but president Brad Smith last year told the US Congress that the country provided 1.5 per cent of revenues.’

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I’m curious what the government fraction of the market is. losing all of China would be devastating, but I suspect just the government portion is MUCH smaller.

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Hi Alan - thanks for your response!
In China, such diktats tend to become applicable countrywide almost by default, partly due a combination of licensing and Fx restrictions on ‘foreign’ goods, living under the watchful eyes of neighborhood party enforcers and informers, and social media pressure.

“Government” usage is widely accepted and understood code for ‘don’t you dare’

Recent examples :

  • the crash in expensive watches and Cognac after government officials were told not to flaunt their wealth
  • Huawei’s rocketing sales growth and iPhone’s consequent nosedive after government officials were told to stop using iPhones
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