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China's response to U.S. curbs a risk for Taiwan: MediaTek chairman

Island's chip designers under pressure as Beijing shifts semiconductor policy

MediaTek Chairman Tsai Ming-kai speaks at the release of a white paper on the Taiwanese chip design industry in Hsinchu, Taiwan, on March 28. (Photo by Lauly Li)

HSINCHU -- Taiwan's smaller chip design companies are likely to be hit by China's refocus on older chip technologies amid a crackdown by the U.S., the chairman of the world's largest mobile chip design company has warned.

"The U.S. export controls against China's advanced chip sector in October last year has prompted Chinese government funds to flow into the mature chip technology sector, and we believe Taiwan's small and mid-size chip design houses will possibly be the first to be affected," MediaTek Chairman Tsai Ming-kai said at the release of a white paper on the Taiwanese chip design industry in Hsinchu.

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