China chip designers say Beijing goals impossible without US tech

Semiconductor development will 'hit a wall,' AI developer warns

20190624 chip

Beijing wants 70% of all chips used by Chinese industry to be produced domestically by 2025.

COCO LIU, CHENG TING-FANG and LAULY LI, Nikkei staff writers

HONG KONG/TAIPEI -- Chinese chip designers, whose business has flourished under Beijing's desire for a homegrown semiconductor industry, are warning it will be impossible to meet national targets for a viable, independent sector without access to U.S. technology.

"There are alternatives in China, but the gap in technology is too big," said an executive from one of China's leading artificial intelligence chipmakers, which relies on U.S. technology for chip design. "If we lose access to U.S. software or can no longer receive updates, our chip development will run into a dead end."

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