Is the collective pressure on the White House to relax sanctions a conscience finding among the three major semiconductor companies in the United States? Intentionally sinister?

A very unusual news broke out the other day, but it seems that everyone is not paying much attention. But I think this matter is significant!It is reasonable to say that the three US semiconductor giants are the forces that most want to bring down China's Semiconductor industry, but these three semiconductor giants have collectively pressed the White House to relax the sanctions ban

A very unusual news broke out the other day, but it seems that everyone is not paying much attention. But I think this matter is significant!It is reasonable to say that the three US semiconductor giants are the forces that most want to bring down China's Semiconductor industry, but these three semiconductor giants have collectively pressed the White House to relax the sanctions ban.

As the saying goes, if something goes wrong, there will always be demons. Now let's take a look at why these three semiconductor giants in the United States have to "intercede" for China? What are their intentions exactly?

Let's take a look at the latest financial reports of these three semiconductor giants (see attached picture). Qualcomm's revenue is 9.275 billion US dollars, a year-on-year decrease of 16%, and its profit is 1.7 billion US dollars, a significant decrease of 41% year-on-year; Nvidia's revenue was $7.192 billion, down 13% year on year; Intel's revenue was $11.7 billion, a significant decrease of 36% year-on-year, and a huge loss of $2.7 billion.

Qualcomm's latest revenue and profit

Intel's latest revenue and profit

Latest revenue and profit of Nvidia

From this we can see that only Nvidia among the three giants has benefited from the recent wave of large-scale deployment of AI computing power. Although its revenue has declined, its profits have increased. Both Qualcomm and Intel have shown a significant year-on-year decline in revenue and profits. It is obvious that the widespread decline in the business of American chip giants is rooted in the US technology sanctions against China, which have seriously affected their semiconductor business in China.

In fact, the United States and China have strong complementarity in the field of technology. Semiconductor companies in the United States provide China with a large number of chips, which are integrated into various terminal products and ultimately sold worldwide. For example, the sale of mobile phone chips can only be achieved through the sale of mobile phones; Other chips include power chips, CPUs, GPUs, and more, all of which can only be sold as final products. As a world factory, China's production capacity in fields such as smartphones, computers, tablets, home appliances, and now electric vehicles exceeds half of the world's total production capacity. It can be said that without China, the various chips of these semiconductor giants in the United States cannot be sold at all.

Therefore, China is actually the only market for the "monetization" of the US chip industry.Without China, the previous research investment of American chip giants cannot be realized and recycled, thus unable to maintain sustained investment in subsequent research and ultimately unable to maintain the dominant position of the United States in the semiconductor field.

However, due to China's mastery of the manufacturing and sales of terminal products, when the United States does not provide us with some semiconductor products, domestic substitute enterprises can quickly grow and replace American semiconductor products. Eventually, the Semiconductor industry of the United States may be completely eliminated in the industrial chain of China.

In fact, this is the fundamental reason why the three major semiconductor giants in the United States are collectively pressuring the White House to relax their sanctions on Chinese semiconductors. Why is relaxing sanctions actually a favorable policy for these three major semiconductor giants?

The reason is simple. At present, American semiconductor companies are far superior to Chinese related companies in terms of technology level and research and development capabilities. However, when these American semiconductor companies' products can enter the Chinese market without any obstacles, their products are crucial for Chinese companies' products,It's equivalent to a dimensionality reduction strikeTherefore, it is difficult for Chinese semiconductor enterprises to obtain market space and Lebensraum. Ultimately, the semiconductor giants in the United States can continue to maintain their monopoly and dominant position.

Fortunately, the politicians in the White House are stupid and short-sighted. Although these elites in Silicon Valley are still smart, at present, the United States is subject to the general atmosphere of "Political correctness", and these big men in Silicon Valley may also be difficult to change the current US policy towards China.

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