Following the Bureau of Industry and Security’s (BIS) addition of over 100 Chinese companies to its entity list, China’s four major associations for automobiles, internet, semiconductors, and communications have called upon Chinese businesses to exercise caution when using American chips and to speed up domestic production. The US Department of Commerce’s move aims to limit these companies’ artificial intelligence (AI) and semiconductor technology development.

AWS announced significant cloud developments and custom chip design progress at its major conference in the US this week. The company’s next-generation 3nm chip, Trainium 3, is set to launch in 2025, with industry sources suggesting Taiwan-based ASIC company Alchip will lead its development. Additionally, AWS is reportedly finalizing a long-term ASIC collaboration agreement with Marvell, demonstrating strong market demand. Industry insiders remain optimistic about the ASIC market’s long-term prospects.

The expansion of US trade sanctions against Chinese semiconductor firms has raised concerns among Taiwanese companies regarding their business relationships with Chinese customers and partners, according to industry sources.