Venture capitalists are betting on a part of China’s chip industry safe from U.S. bans
Pictured here is a chip manufacturing plant in Suqian city, East China's Jiangsu Province, April 1, 2022. Future Publishing | Future Publishing | Getty Images BEIJING — China is so far behind the U.S. in semiconductor technology that some investors are betting on startups to fill that gap. The U.S. this month imposed new restrictions to maintain a lead over China in advanced chip technology. While the rules immediately cut into U.S. and Chinese business revenue, they only affect firms selling the most advanced semiconductor technology , analysts pointed out. The bulk of Chinese demand is for chips with far simpler tech, they said, and Chinese companies are still small players right now. That gap leaves a large market opportunity far more insulated from U.S. restrictions — and one that Chinese startups can tap, some venture capitalists said. Interest from investment funds Vertex Ventures China is one firm that's raised money from overseas investors to buy into the idea. The fi...