According to an informed source, the Biden administration is planning to add a Chinese company to the Entity List of the U.S. Department of Commerce because the company illegally used chips produced by Taiwan Semiconductor Manufacturing Company (TSMC) in Huawei’s artificial intelligence processors.
Reuters quoted the source as saying that Sophgo, a Chinese chip design company affiliated with Bitmain, a supplier of bitcoin mining equipment, is being added to the Entity List of the U.S. Department of Commerce.
A spokesperson for the Department of Commerce declined Reuters’ request for comment.
The use of TSMC chips in Huawei products subject to U.S. export controls has raised concerns.
According to a report by Reuters on October 26, sources said that chips purchased by Sophgo from TSMC matched those found on Huawei’s Ascend 910B processor.
Previously, the technology research firm TechInsights found TSMC chips when dissecting Huawei’s Ascend 910B, and TSMC has since notified the U.S. about this discovery.
During Trump’s first administration in 2019, the U.S. blacklisted Huawei due to its collaboration with the Chinese Communist Party in developing technologies and engaging in espionage activities.
Since 2020, to prevent the theft and misuse of U.S. technology by the Chinese Communist Party, even foreign-made chips being shipped to Huawei without a U.S. license constitute illegal activity.
(This article referenced reports by Reuters)