China has taken a significant step in its ongoing technological decoupling from the U.S. by implementing guidelines that exclude Intel and Advanced Micro Devices (AMD) microprocessors from government PCs and servers. This move is part of a broader effort to boost domestic technology in response to U.S.-led restrictions on exports to China. The ban on Intel and AMD chips, as well as Microsoft Windows software, follows similar measures such as the prohibition on Apple iPhones in Chinese government entities and state-owned enterprises.
The new guidance aims to promote the use of “safe and reliable” processors and operating systems within Chinese government entities, thereby reducing reliance on foreign technology. The restrictions on Intel and AMD chips, along with Microsoft Windows software, mirror the U.S. restrictions on Nvidia and AMD selling artificial intelligence chips to China. This escalation in technology restrictions between the two countries reflects the ongoing trade tensions and broader geopolitical rivalry.
As global tech competition intensifies, the impact of these measures can be seen in the stock market performance of companies like Intel, AMD, and Microsoft. While Intel and AMD stocks have shown a downward trend, Microsoft stock surged to record highs amid general AI optimism. This move by China underscores the increasing focus on technological self-reliance and domestic innovation in response to geopolitical challenges.
