China has launched an investigation into US chip maker Qualcomm on suspicion of violating antitrust regulations. The investigation concerns Qualcomm's proposed acquisition of Israeli communication technology firm Autotalks. The company announced the completion of this acquisition in June.
Qualcomm, known worldwide for its “Snapdragon” chips, stated in its 2024 financial report that 46% of its revenue came from sales in China and Hong Kong. The company had stated that reliance on this market posed a risk due to U.S.-China trade tensions.
China had previously launched a similar antitrust investigation into Nvidia, stating that the company violated terms during the acquisition of Israeli firm Mellanox in 2019. The investigation into Nvidia is still ongoing.
In 2023, an investigation was launched into memory chip manufacturer Micron on grounds that it threatened China's cyber security, and the company was banned from selling to critical infrastructure projects.
These developments are seen as part of the “chip war” that gained momentum after the US enacted the CHIPS and Science Act in 2022. While Washington limits China’s access to advanced chip technologies, Beijing is increasing its regulatory pressure on US firms.
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