This is China’s latest technology ally in a trade war with the US: ARM China

Tram Ho

ARM China, a subsidiary of the British chip company in the Chinese market, and currently owned by SoftBank, Japan has become a major factor supporting China's technology "autonomy" process. And in an unexpected move, ARM China has developed codes that allow Chinese semiconductor companies to control cryptographic algorithms licensed by the Chinese government.

 Đây là đồng minh công nghệ mới nhất của Trung Quốc trong cuộc chiến thương mại với Mỹ: ARM China - Ảnh 1.

Huawei, the world's number one telecommunications equipment maker and being accused by the US of being a spy, has been one of ARM China 's biggest customers since the branch took over the entire ARM business. in China last year.

ARM China 's breakthrough is the clearest evidence of Beijing' s attempt to protect itself from the US ban, by building domestic supply chains and developing its own intellectual property.

In less than a year, ARM China has developed the infrastructure needed to make an artificial intelligence processor or central processor. These are two important milestones to promote the construction of China's chip industry.

"The goal of ARM China is to help all Chinese chip developers and other product manufacturers use Chinese-controlled technology ," said William Liu, ARM's vice president of product development . not only for the domestic market but also for the global market. "

ARM China was founded in April 2018 after SoftBank sold a 51% stake in the Chinese arm of the Chinese arm to a group of Chinese investors for $ 775 million.

The agreement is hailed by SoftBank as a way for ARM to expand its business operations in China. In just over a year, ARM China has doubled its workforce to over 600. About 500 of them are engineers.

 Đây là đồng minh công nghệ mới nhất của Trung Quốc trong cuộc chiến thương mại với Mỹ: ARM China - Ảnh 2.

SoftBank president and CEO Masayoshi Son was the one who raised the issue of acquiring ARM in 2016 before selling a 51% stake in the ARM China division to a group of Chinese investors in 2018.

ARM China was once the place where the parent company's ARM technology was sold and licensed in the Chinese market. However, the company now focuses on developing its own intellectual properties. In other words, it is possible for China to use ARM China patents regardless of the parent company ARM's unlicensed license.

This became more important than ever when not long ago, ARM stopped doing business with Huawei after the US Department of Commerce put the Chinese telecommunications carrier on the blacklist in late May.

Especially most of Huawei's servers and processor chips use ARM cores. However, in September 2019, the ARM legal team said it continued to provide patents to Huawei as two of its key chip technologies originated in the UK.

Currently, ARM China has up to 30 customers using ARM chip designs, including HiSilicon Technologies.

Among the technologies developed by ARM China, there is a design that allows Chinese-made chips to run a cryptographic algorithm built by the China Crypto Regulatory Authority.

In addition, the company designed the chip structure, which allows Chinese developers to build AI processors called Zhouyi, which are used on most smartphones, smarthomes, surveillance cameras and car applications in the country. .

COO Wang Dajun of ARM China is a big supporter of Beijing's "autonomy" technology. In a speech at the Technology Conference in Nanjing last month, he said: "China now has all the necessary conditions to promote the chip industry. External pressure will only accelerate. the development of new product lines and the expansion of the domestic ecosystem. "

ARM's help is secondary, and what's important is China's "proactive" attitude

ARM is the world's leading mobile chip design firm with reported sales of up to $ 1.8 billion in 2018. ARM is monopolizing the design of many processor chips being used on Android and iPhone smartphones.

 Đây là đồng minh công nghệ mới nhất của Trung Quốc trong cuộc chiến thương mại với Mỹ: ARM China - Ảnh 3.

British chip company was acquired by SoftBank investment group in 2016 for up to 32 billion USD. However, creating a separate entity like ARM China is the first in ARM's history. ARM China 's role is to transfer and market its technology abroad.

Justification for favoring China, ARM said it expected China to become its largest market and that the joint venture would allow them to develop products that Western companies could not do. .

According to the company's internal documents, ARM China aims to overtake the parent company by 2025. Even the company may sell and license back the patent to the parent company in the future. not far.

Despite support from ARM China, according to analysts, Beijing still needs more "autonomy" in technology. Only then can this country find a way out of the long-lasting US-China war, which is causing damage to both sides.

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Source : Trí Thức Trẻ