Micron Technology, one of the US's largest memory chip makers, is under fire from China as part of a growing tech Cold War between the two superpowers.
The Cyberspace Administration of China (CAC) has launched a cybersecurity probe into Micron, citing concerns over potential security risks in the company's products sold in the country. This move comes as Beijing seeks to tighten its grip on foreign companies operating in the region and enforce its own agenda for technology development.
The probe is part of a broader effort by Chinese authorities to restrict the flow of sensitive technology to US allies in Asia and Europe, which has been met with resistance from Washington and its partners. Japan, for example, has announced plans to restrict exports of advanced chip manufacturing equipment to countries including China.
As tensions escalate, shares in Micron have taken a hit, falling by 4.4% on Wall Street last week following the news, their biggest drop in over three months. The company's revenue from China accounts for more than 10%.
Micron had warned of such risks earlier this year, stating that Chinese authorities may restrict its participation in the market or prevent it from competing effectively with local companies.
China has been vocal in its criticism of restrictions on tech exports, saying last month that it "firmly opposes" such measures. However, Beijing is increasingly exerting pressure on foreign companies to bring them into line with its agenda, as it seeks to boost growth and job creation through wooing global investments.
The probe into Micron raises concerns about the potential for broader trade tensions between China and the US, which have been simmering in recent years. As the tech industry becomes increasingly interconnected, the risks of a full-blown trade war are growing by the day.
The Cyberspace Administration of China (CAC) has launched a cybersecurity probe into Micron, citing concerns over potential security risks in the company's products sold in the country. This move comes as Beijing seeks to tighten its grip on foreign companies operating in the region and enforce its own agenda for technology development.
The probe is part of a broader effort by Chinese authorities to restrict the flow of sensitive technology to US allies in Asia and Europe, which has been met with resistance from Washington and its partners. Japan, for example, has announced plans to restrict exports of advanced chip manufacturing equipment to countries including China.
As tensions escalate, shares in Micron have taken a hit, falling by 4.4% on Wall Street last week following the news, their biggest drop in over three months. The company's revenue from China accounts for more than 10%.
Micron had warned of such risks earlier this year, stating that Chinese authorities may restrict its participation in the market or prevent it from competing effectively with local companies.
China has been vocal in its criticism of restrictions on tech exports, saying last month that it "firmly opposes" such measures. However, Beijing is increasingly exerting pressure on foreign companies to bring them into line with its agenda, as it seeks to boost growth and job creation through wooing global investments.
The probe into Micron raises concerns about the potential for broader trade tensions between China and the US, which have been simmering in recent years. As the tech industry becomes increasingly interconnected, the risks of a full-blown trade war are growing by the day.
micron's biggest drop in over three months? that's not surprising given their products do make up more than 10% of their revenue from china... wonder how much chinese authorities are paying them to keep quiet about this... meanwhile, japan's trying to restrict chip exports to countries with ties to the US - now we're seeing a full-blown tech cold war brewing 
. Like, I'm not surprised or anything, but still... it's just another example of how this whole US-China "tech rivalry" is getting outta hand 
. I mean, can't they just get along? 
It's not like the US is trying to hold China back or anything (insert eye roll). Anyway, I guess this probe is just another way for China to flex its muscles and show off its "strong" tech regulations 
. Meanwhile, Micron's stock is taking a hit... poor guys 
. Just peachy. Can't wait to see how this all plays out in the end 
Micron's got some serious heat comin their way from China and it's reflectin on their stock prices 
I feel bad for the employees who work there, they're just tryin to do their job and make a livin' but now they're caught in the middle of this tech cold war 
It's like, what's next? Are we gonna see more companies gettin hit with probes like this? 
china's move on micron is like a shot across the bow for the whole global tech scene... i'm worried about what other countries will do next 
not to mention the innocent companies caught in the middle 
anyone who's followed the tech industry knows how quickly things can spiral out of control 
we need to find a way to navigate these tensions without hurting the growth and jobs that depend on it 
. I don't get why China can't just play nice with other countries. It's like they're trying to create their own tech bubble and exclude everyone else 
. Japan is already restricting exports to China, so this could be the start of a trade war... that would be super bad for everyone involved 
they're gettin slammed from China over security concerns but honestly who hasn't had those before? 
china's always good at playin hard to get... 
. it's like, china can't just dictate how others operate or what products they sell, right? 
. And honestly, it's a bit rich coming from Beijing, who's been cracking down on foreign companies left and right 
. This whole situation is a mess and I'm worried about the impact on the global chip supply chain 
. so yeah, bring it on, i say 
.
. On one hand, it's worrying that US companies might be forced out of a huge market with so much revenue on the line 
️. The thing is, we're already seeing a lot of tech companies playing both sides and trying to navigate this complex landscape 
.
They want to control what tech flows into their country, which is fair, considering all the sensitive info being developed there.
but at the same time i feel bad for micron cuz they did warn about this possibility earlier this year 
and it's not like they're doing anything wrong 
.
. If US allies like Japan start restricting chip exports too, that's gonna send shockwaves throughout the industry 
They're not trying to be all bad about it, right? 
It's like, if they want foreign companies to come in and play by their rules, that's fine... but can't they just make those rules a bit more clear? 
Like, I get why Micron is worried, but surely there's a way to resolve this without all the drama 
. And what about the impact on American jobs and all that?