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White House Blocks Intel’s Chinese Foundry Plans

The global components shortage shows no signs of ending anytime soon, and the Biden administration has slowed things further, blocking Intel’s proposed plans to make silicon wafers out of a factory in Chengdu, China.

Production was earmarked to start towards the end of next year, but Intel’s plans were “strongly discouraged” by the White House, due to ongoing security concerns surrounding Chinese tech companies.

Of course, given the US Government is funding American chip makers’ efforts to ramp up production, this was less a discouragement, and more an order. And now, Intel tells Bloomberg it has “no plans” to use the Chinese factory anymore.

“Intel and the Biden administration share a goal to address the ongoing industrywide shortage of microchips, and we have explored a number of approaches with the U.S. government,” Intel said in a statement to Bloomberg.

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