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DALL·E 2023-11-23 10.10.06 - A digital art style image depicting a symbolic representation of the U.S. and China in a technological competition over semiconductor chips. The image

US vs China: Chips

In a strategic move, the United States has decided to focus its efforts on the less profitable segment of semiconductor chip production to counter China’s technological influence. This approach is coupled with an injection of $100 billion in subsidies aimed at attracting investments and strengthening the domestic industry.

Simultaneously, TSMC, the Taiwanese semiconductor giant, has announced a $40 billion investment to produce five and three-nanometer chips in the United States, the most advanced technologies to date.

Additionally, the Biden administration has implemented restrictions on U.S. investments in Chinese technological sectors, including artificial intelligence, semiconductors, and quantum computing. This measure has heightened tensions with Beijing.

Nvidia, a leader in high-end chip manufacturing, has warned that its revenues could decrease by up to $400 million following the sales ban to China.

In response, China has unveiled plans to invest $132 billion in its own chip industry, aiming to strengthen its position in the global market and reduce its dependence on foreign technology