Apple bows to pressure, drops plan to buy Chinese memory chips

AppleInsider

Following increased US export controls against working with Chinese companies, Apple has halted plans to use YMTC chips in the iPhone.

Apple had been working to reduce its reliance on Japan for iPhone flash memory, and had reportedly begun the process of adding China's Yangtse Memory Technologies Co (YMTC). No YTMC chips have yet been used in iPhones, but now it's claimed that Apple has completely dropped its plans.

According to Nikkei Asia, YMTC flash memory is at least 20% cheaper than that of rivals, and the company's 128-layer 3D NAND chips are the most advanced by a Chinese company. They remain reportedly one or two generations behind the chips made by Micron and Samsung, both of which are known to be working with Apple.

Nikkei Asia claims that Apple had completed is months-long testing and verification. Political pressure and criticism from US policymakers made it abandon the plan.

"The products have been verified, but they did not go into the production lines when mass production of the new iPhone began," an unspecified source told Nikkei Asia.

Reportedly, the intention had been to initially use YMTC chips only for iPhones being sold in China. Another unnamed source, though, claimed that Apple was considering ultimately buying 40% of all its worldwide iPhone NAND flash memory from the company.

"YMTC is government-subsidized so they can really outprice competitors," said another source.

The new US export laws are part of the Biden Administration's aim to bolster American production of processors, as well as avoid potential security issues. The Administration had, though, been granting exemptions to certain companies in order to avoid creating a bottleneck in the industry.

Apple is not prohibited from buying from YMTC, but there are restrictions on US companies sharing design or technologies with companies that are on what's called the Unverified List. YMTC was added to the list on October 7, 2022, after it failed to provide the US with certain information about its end users.

Read on AppleInsider

entropys

All I can say is 利益

gatorguy

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

blastdoor

Excellent. Apple has the power to transform a laggard into a leader (see TSMC), so a decision like this by apple really matters. This is a great example of how more aggressive US policy can counter Xi’s anti-democracy crusade.

avon b7

blastdoor said:

Excellent. Apple has the power to transform a laggard into a leader (see TSMC), so a decision like this by apple really matters. This is a great example of how more aggressive US policy can counter Xi’s anti-democracy crusade.

US policy won't change that angle. 

It's important to remember that Trump's number one reason for starting a trade war with China was the trade defecit. It wanted to increase sales to China.

The other angle to what was going on was the rise of China as a technological competitor (and with all the cards to eventually trump the US).

Standard moves by standard rules weren't working so Trump began using executive orders to make things happen.

Apple is well aware of that possibility and probably chose to put any plans it had on hold  so as to avoid problems down the line.

Once the China has eliminated US technology from the problem supply lines I expect Apple will try again. 

waveparticle

gatorguy said:

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

Wrong! Apple has obeyed numerous governments order removing apps from App Store. 

waveparticle

JP234 said:

This is not only Apple bowing to government pressure. It's a smart, strategic move. Think about it; If China were to invade Taiwan, or commit some other act that would trigger US sanctions on these very industries on which Apple relies, it would result in disastrous consequences for Apple's supply chain, and hence it's long term profitability. De-escalating their dependence on potential enemy state for mission critical hardware, and providing proprietary manufacturing tech to that enemy state is in Apple's long term interest. If there's one certainly in life, it's war. The game never changes, only the players. Apple is a king. America is a king. Neither need or should act as a pawn. Short, sharp pain now, or protracted, possibly fatal pain later. The choice is obvious.

"Strategy without tactics is the slowest route to victory. Tactics without strategy is the noise before defeat." — Sun Tzu, "The Art of War"

Are you really a former Apple employee?  Have you checked Apple Supplier List before making such ignorant comment? 

tmay

avon b7 said:

blastdoor said:

Excellent. Apple has the power to transform a laggard into a leader (see TSMC), so a decision like this by apple really matters. This is a great example of how more aggressive US policy can counter Xi’s anti-democracy crusade.

US policy won't change that angle. 

It's important to remember that Trump's number one reason for starting a trade war with China was the trade defecit. It wanted to increase sales to China.

The other angle to what was going on was the rise of China as a technological competitor (and with all the cards to eventually trump the US).

Standard moves by standard rules weren't working so Trump began using executive orders to make things happen.

Apple is well aware of that possibility and probably chose to put any plans it had on hold  so as to avoid problems down the line.

Once the China has eliminated US technology from the problem supply lines I expect Apple will try again. 

Others disagree,

https://noahpinion.substack.com/p/xi-jinping-forever

In fact, I think there are multiple signs that Xi has actually weakened the capabilities of the Chinese juggernaut. So far, China’s power and general effectiveness are so great that these signs seem to have gone largely unnoticed, but I think they’re there. The three big ones are: Slowing growth, an international backlash against China, and missteps related to the Covid pandemic.

It’s time to consider the possibility that for all his self-aggrandizement, Xi Jinping is just not that competent of a leader.

sunman42

gatorguy said:

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

Sorry, but this is counterfactual, at least as regards China and the EU. Apple blocks apps from the App Store in China to which the Chinese government objects, and is widely rumored now to be replacing the Lightning interface with a USB-C one in next year’s iPhones to comply with the daft EU legislation to that effect. Similarly, Apple worked with the Indian government to start production of iPhones in that country, when India’s laws insisted on that for foreign manufacturers. In fact, you could say that Apple has bent over backward to comply with the laws of every country in which they sell their products.

gatorguy

sunman42 said:

gatorguy said:

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

Sorry, but this is counterfactual, at least as regards China and the EU. Apple blocks apps from the App Store in China to which the Chinese government objects, and is widely rumored now to be replacing the Lightning interface with a USB-C one in next year’s iPhones to comply with the daft EU legislation to that effect. Similarly, Apple worked with the Indian government to start production of iPhones in that country, when India’s laws insisted on that for foreign manufacturers. In fact, you could say that Apple has bent over backward to comply with the laws of every country in which they sell their products.

Sorry, you're talking about law vs. the political pressure which was the topic of the AI article. Yes, once countries "want" becomes law Apple usually (not always, ex. Brazil) will follow it. As far as I've read the only country where Apple will bow to political pressure is China, and that's only because of the amount of money to be made by playing nice with what they tell Apple to do. US? Nope, not until it becomes law or the order of the highest court. EU? Same. India? Same.

Political pressure means nada to Apple in most of the world not spelled C-H-I-N-A. The laws of a country are a different matter. 

tmay

gatorguy said:

sunman42 said:

gatorguy said:

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

Sorry, but this is counterfactual, at least as regards China and the EU. Apple blocks apps from the App Store in China to which the Chinese government objects, and is widely rumored now to be replacing the Lightning interface with a USB-C one in next year’s iPhones to comply with the daft EU legislation to that effect. Similarly, Apple worked with the Indian government to start production of iPhones in that country, when India’s laws insisted on that for foreign manufacturers. In fact, you could say that Apple has bent over backward to comply with the laws of every country in which they sell their products.

Sorry, you're talking about law vs. the political pressure which was the topic of the AI article. Yes, once countries "want" becomes law Apple usually (not always, ex. Brazil) will follow it. As far as I've read the only country where Apple will bow to political pressure is China, and that's only because of the amount of money to be made by playing nice with what they tell Apple to do. US? Nope, not until it becomes law or the order of the highest court. EU? Same. India? Same.

Political pressure means nada to Apple in most of the world not spelled C-H-I-N-A. The laws of a country are a different matter. 

This is true, and it isn't a great look for Apple, especially with all of the efforts in the West, not just the U.S., to host more semiconductor manufacturing. Worse, is Apple ignoring human rights violations in China.

Another example is Tesla, whose manufacturing facility is owned by the provincial government. Elon would never speak in China as he speaks in the West, which would best be described as "irresponsible" for any other corporate CEO/Chairman.

Elon Musk, playing foreign diplomat/useful idiot;

If Russia is faced with the choice of losing Crimea or using battlefield nukes, they will choose the latter. We’ve already sanctioned/cutoff Russia in every possible way, so what more do they have left to lose? If we nuke Russia back, they will nuke us and then we have WW3.

Apple demonstrating hypocrisy;

https://www.washingtonpost.com/technology/2020/11/20/apple-uighur/

Apple wants to water down key provisions of the bill, which would hold U.S. companies accountable for using Uighur forced labor, according to two congressional staffers

Not a good look, Apple.

waveparticle

gatorguy said:

sunman42 said:

gatorguy said:

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

Sorry, but this is counterfactual, at least as regards China and the EU. Apple blocks apps from the App Store in China to which the Chinese government objects, and is widely rumored now to be replacing the Lightning interface with a USB-C one in next year’s iPhones to comply with the daft EU legislation to that effect. Similarly, Apple worked with the Indian government to start production of iPhones in that country, when India’s laws insisted on that for foreign manufacturers. In fact, you could say that Apple has bent over backward to comply with the laws of every country in which they sell their products.

Sorry, you're talking about law vs. the political pressure which was the topic of the AI article. Yes, once countries "want" becomes law Apple usually (not always, ex. Brazil) will follow it. As far as I've read the only country where Apple will bow to political pressure is China, and that's only because of the amount of money to be made by playing nice with what they tell Apple to do. US? Nope, not until it becomes law or the order of the highest court. EU? Same. India? Same.

Political pressure means nada to Apple in most of the world not spelled C-H-I-N-A. The laws of a country are a different matter. 

Because you are looking at China through Western political system. China does not have lawmakers like the west. There are no laws. Do a Google search for yourself. LOL

tmay

waveparticle said:

gatorguy said:

sunman42 said:

gatorguy said:

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

Sorry, but this is counterfactual, at least as regards China and the EU. Apple blocks apps from the App Store in China to which the Chinese government objects, and is widely rumored now to be replacing the Lightning interface with a USB-C one in next year’s iPhones to comply with the daft EU legislation to that effect. Similarly, Apple worked with the Indian government to start production of iPhones in that country, when India’s laws insisted on that for foreign manufacturers. In fact, you could say that Apple has bent over backward to comply with the laws of every country in which they sell their products.

Sorry, you're talking about law vs. the political pressure which was the topic of the AI article. Yes, once countries "want" becomes law Apple usually (not always, ex. Brazil) will follow it. As far as I've read the only country where Apple will bow to political pressure is China, and that's only because of the amount of money to be made by playing nice with what they tell Apple to do. US? Nope, not until it becomes law or the order of the highest court. EU? Same. India? Same.

Political pressure means nada to Apple in most of the world not spelled C-H-I-N-A. The laws of a country are a different matter. 

Because you are looking at China through Western political system. China does not have lawmakers like the west. There are no laws. Do a Google search for yourself. LOL

So, China is Lawless?

I knew it...

waveparticle

tmay said:

waveparticle said:

gatorguy said:

sunman42 said:

gatorguy said:

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

Sorry, but this is counterfactual, at least as regards China and the EU. Apple blocks apps from the App Store in China to which the Chinese government objects, and is widely rumored now to be replacing the Lightning interface with a USB-C one in next year’s iPhones to comply with the daft EU legislation to that effect. Similarly, Apple worked with the Indian government to start production of iPhones in that country, when India’s laws insisted on that for foreign manufacturers. In fact, you could say that Apple has bent over backward to comply with the laws of every country in which they sell their products.

Sorry, you're talking about law vs. the political pressure which was the topic of the AI article. Yes, once countries "want" becomes law Apple usually (not always, ex. Brazil) will follow it. As far as I've read the only country where Apple will bow to political pressure is China, and that's only because of the amount of money to be made by playing nice with what they tell Apple to do. US? Nope, not until it becomes law or the order of the highest court. EU? Same. India? Same.

Political pressure means nada to Apple in most of the world not spelled C-H-I-N-A. The laws of a country are a different matter. 

Because you are looking at China through Western political system. China does not have lawmakers like the west. There are no laws. Do a Google search for yourself. LOL

So, China is Lawless?

I knew it...

Literally from the Western point of view. This system is very old fashioned. It has been used by Romans, Hebrews, Muslims, and Persians. 

gatorguy

waveparticle said:

gatorguy said:

sunman42 said:

gatorguy said:

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

Sorry, but this is counterfactual, at least as regards China and the EU. Apple blocks apps from the App Store in China to which the Chinese government objects, and is widely rumored now to be replacing the Lightning interface with a USB-C one in next year’s iPhones to comply with the daft EU legislation to that effect. Similarly, Apple worked with the Indian government to start production of iPhones in that country, when India’s laws insisted on that for foreign manufacturers. In fact, you could say that Apple has bent over backward to comply with the laws of every country in which they sell their products.

Sorry, you're talking about law vs. the political pressure which was the topic of the AI article. Yes, once countries "want" becomes law Apple usually (not always, ex. Brazil) will follow it. As far as I've read the only country where Apple will bow to political pressure is China, and that's only because of the amount of money to be made by playing nice with what they tell Apple to do. US? Nope, not until it becomes law or the order of the highest court. EU? Same. India? Same.

Political pressure means nada to Apple in most of the world not spelled C-H-I-N-A. The laws of a country are a different matter. 

Because you are looking at China through Western political system. China does not have lawmakers like the west. There are no laws. Do a Google search for yourself. LOL

I looked it up myself:
https://www.chinajusticeobserver.com/a/what-are-the-main-laws-in-china

And gosh, did you know they even have courts that deal with Chinese law? /s

waveparticle

JP234 said:

waveparticle said:

JP234 said:

This is not only Apple bowing to government pressure. It's a smart, strategic move. Think about it; If China were to invade Taiwan, or commit some other act that would trigger US sanctions on these very industries on which Apple relies, it would result in disastrous consequences for Apple's supply chain, and hence it's long term profitability. De-escalating their dependence on potential enemy state for mission critical hardware, and providing proprietary manufacturing tech to that enemy state is in Apple's long term interest. If there's one certainly in life, it's war. The game never changes, only the players. Apple is a king. America is a king. Neither need or should act as a pawn. Short, sharp pain now, or protracted, possibly fatal pain later. The choice is obvious.

"Strategy without tactics is the slowest route to victory. Tactics without strategy is the noise before defeat." — Sun Tzu, "The Art of War"

Are you really a former Apple employee?  Have you checked Apple Supplier List before making such ignorant comment? 

Yes, I am really a retired Apple employee. And I was in Purchasing for part of my 12 years there. Have you ever heard of FoxConn? Goertek? Luxshare?

Ever hear of the other ≈ 200 suppliers located in China as of April 2022?

Guess not. And I'm ignorant.

OK How many of them have hq located in China?

avon b7

tmay said:

avon b7 said:

blastdoor said:

Excellent. Apple has the power to transform a laggard into a leader (see TSMC), so a decision like this by apple really matters. This is a great example of how more aggressive US policy can counter Xi’s anti-democracy crusade.

US policy won't change that angle. 

It's important to remember that Trump's number one reason for starting a trade war with China was the trade defecit. It wanted to increase sales to China.

The other angle to what was going on was the rise of China as a technological competitor (and with all the cards to eventually trump the US).

Standard moves by standard rules weren't working so Trump began using executive orders to make things happen.

Apple is well aware of that possibility and probably chose to put any plans it had on hold  so as to avoid problems down the line.

Once the China has eliminated US technology from the problem supply lines I expect Apple will try again. 

Others disagree,

https://noahpinion.substack.com/p/xi-jinping-forever

In fact, I think there are multiple signs that Xi has actually weakened the capabilities of the Chinese juggernaut. So far, China’s power and general effectiveness are so great that these signs seem to have gone largely unnoticed, but I think they’re there. The three big ones are: Slowing growth, an international backlash against China, and missteps related to the Covid pandemic.

It’s time to consider the possibility that for all his self-aggrandizement, Xi Jinping is just not that competent of a leader.

Lots of people will disagree but it can't change the core facts (which most people actually agree on). 

China is on an accelerated path of technological advancement. That is feared within the US and that is why we are seeing these extreme actions aimed at - slowing down - that progress. 

Progress that cannot be stopped. 

Apple wants to take advantage of part of that progress through the latest industrial revolution (digital) where China is sitting at the forefront (industrial 5G, advanced logistics, advanced manufacturing and distribution, decarbonisation etc). Digital is now everywhere but China has progressed further than anyone else.

Of course, it makes sense for a heavily Chinese dependent Apple to make fall back plans but China is key to Apple at every conceivable level. 

blastdoor

gatorguy said:

I don't know that it's as much "political pressure" as it's simply infeasible given YMTC being added to the list of Chinese companies not permitted to sell into the US market. Apple is so wealthy and powerful anymore that I doubt they care too much about what any government says they want them to do. They'll beat 'em back with money, lawyers, political friends, and lobbying and do what Apple corporate wants to do for the most part.

The world has changed — you’re living in the 90s.

blastdoor

tmay said:

avon b7 said:

blastdoor said:

Excellent. Apple has the power to transform a laggard into a leader (see TSMC), so a decision like this by apple really matters. This is a great example of how more aggressive US policy can counter Xi’s anti-democracy crusade.

US policy won't change that angle. 

It's important to remember that Trump's number one reason for starting a trade war with China was the trade defecit. It wanted to increase sales to China.

The other angle to what was going on was the rise of China as a technological competitor (and with all the cards to eventually trump the US).

Standard moves by standard rules weren't working so Trump began using executive orders to make things happen.

Apple is well aware of that possibility and probably chose to put any plans it had on hold  so as to avoid problems down the line.

Once the China has eliminated US technology from the problem supply lines I expect Apple will try again. 

Others disagree,

https://noahpinion.substack.com/p/xi-jinping-forever

In fact, I think there are multiple signs that Xi has actually weakened the capabilities of the Chinese juggernaut. So far, China’s power and general effectiveness are so great that these signs seem to have gone largely unnoticed, but I think they’re there. The three big ones are: Slowing growth, an international backlash against China, and missteps related to the Covid pandemic.

It’s time to consider the possibility that for all his self-aggrandizement, Xi Jinping is just not that competent of a leader.

Excellent link, very compelling arguments. Thanks!

blastdoor

avon b7 said:

tmay said:

avon b7 said:

blastdoor said:

Excellent. Apple has the power to transform a laggard into a leader (see TSMC), so a decision like this by apple really matters. This is a great example of how more aggressive US policy can counter Xi’s anti-democracy crusade.

US policy won't change that angle. 

It's important to remember that Trump's number one reason for starting a trade war with China was the trade defecit. It wanted to increase sales to China.

The other angle to what was going on was the rise of China as a technological competitor (and with all the cards to eventually trump the US).

Standard moves by standard rules weren't working so Trump began using executive orders to make things happen.

Apple is well aware of that possibility and probably chose to put any plans it had on hold  so as to avoid problems down the line.

Once the China has eliminated US technology from the problem supply lines I expect Apple will try again. 

Others disagree,

https://noahpinion.substack.com/p/xi-jinping-forever

In fact, I think there are multiple signs that Xi has actually weakened the capabilities of the Chinese juggernaut. So far, China’s power and general effectiveness are so great that these signs seem to have gone largely unnoticed, but I think they’re there. The three big ones are: Slowing growth, an international backlash against China, and missteps related to the Covid pandemic.

It’s time to consider the possibility that for all his self-aggrandizement, Xi Jinping is just not that competent of a leader.

Lots of people will disagree but it can't change the core facts (which most people actually agree on). 

China is on an accelerated path of technological advancement. That is feared within the US and that is why we are seeing these extreme actions aimed at - slowing down - that progress. 

Progress that cannot be stopped. 

Apple wants to take advantage of part of that progress through the latest industrial revolution (digital) where China is sitting at the forefront (industrial 5G, advanced logistics, advanced manufacturing and distribution, decarbonisation etc). Digital is now everywhere but China has progressed further than anyone else.

Of course, it makes sense for a heavily Chinese dependent Apple to make fall back plans but China is key to Apple at every conceivable level. 

You’re living in 2010

avon b7

blastdoor said:

avon b7 said:

tmay said:

avon b7 said:

blastdoor said:

Excellent. Apple has the power to transform a laggard into a leader (see TSMC), so a decision like this by apple really matters. This is a great example of how more aggressive US policy can counter Xi’s anti-democracy crusade.

US policy won't change that angle. 

It's important to remember that Trump's number one reason for starting a trade war with China was the trade defecit. It wanted to increase sales to China.

The other angle to what was going on was the rise of China as a technological competitor (and with all the cards to eventually trump the US).

Standard moves by standard rules weren't working so Trump began using executive orders to make things happen.

Apple is well aware of that possibility and probably chose to put any plans it had on hold  so as to avoid problems down the line.

Once the China has eliminated US technology from the problem supply lines I expect Apple will try again. 

Others disagree,

https://noahpinion.substack.com/p/xi-jinping-forever

In fact, I think there are multiple signs that Xi has actually weakened the capabilities of the Chinese juggernaut. So far, China’s power and general effectiveness are so great that these signs seem to have gone largely unnoticed, but I think they’re there. The three big ones are: Slowing growth, an international backlash against China, and missteps related to the Covid pandemic.

It’s time to consider the possibility that for all his self-aggrandizement, Xi Jinping is just not that competent of a leader.

Lots of people will disagree but it can't change the core facts (which most people actually agree on). 

China is on an accelerated path of technological advancement. That is feared within the US and that is why we are seeing these extreme actions aimed at - slowing down - that progress. 

Progress that cannot be stopped. 

Apple wants to take advantage of part of that progress through the latest industrial revolution (digital) where China is sitting at the forefront (industrial 5G, advanced logistics, advanced manufacturing and distribution, decarbonisation etc). Digital is now everywhere but China has progressed further than anyone else.

Of course, it makes sense for a heavily Chinese dependent Apple to make fall back plans but China is key to Apple at every conceivable level. 

You’re living in 2010

Hardly. We are on the cusp of some real technological advancements and Chinese companies are involved. 

Some problems have been decades waiting for resolution. Getting over Shannon's law has been done (Huawei has brought the technical solution to market). Moving beyond von Neumann architecture has finally been achieved (Huawei again). Silicon based architectures are probably going to be replaced relatively soon (China is putting a lot of effort into that). Take a look at patent applications and approvals. China is right up there with the best of the best.

5G roll out and technical implementation plus services to run on them in industry. China again is way out in front. 

AI, Quantum computing,... 

It would not be crazy to think it isn't about China 'catching up' but China 'leapfrogging' most nations. 

That is most definitely not 2010.