Chinese authorities have conditionally approved a A$49.7 million takeover of Xilinx by US chip maker AMD, a deal that will see them compete with Intel for US market dominance.

Approval from China’s State Administration for Market Regulation was the final hurdle for the deal, which was made in October, 2020 and had recieved similar approval in all other major markets.

The deal is expected to close by the end of March.

Xilinx specialise in field-programmable gate arrays, a type of chip used in 5G, radar systems, and military communications. Intel also makes these types of chips.