Dell Computers to Phase Out Chinese-Produced Chips

Computer and technology giant Dell, an American multinational corporation, is planning to halt the use of Chinese-produced computer chips by 2024, according to the National File.

According to Nikkei Asia, a subsidiary of the world’s largest financial newspaper, Dell has asked its suppliers to “meaningfully lower” the use of Chinese chips in the company’s products, also requesting that they reduce “made in China components” of products overall.

Nikkei also says that Hewlett Packard, or HP, another leading computer company, has plans to make similar decisions regarding components made in China.

One executive at a chip supplier that works with both Dell and HP called Dell’s recent move “kind of radical.”

“Previously, we knew Dell kind of had plans to diversify from China, but this time it is kind of radical. They don’t even want their chips to be made in China, citing concerns over the US government’s policy… It’s not just an evaluation, it’s not crying wolf. It’s a real and ongoing plan, and this trend looks irreversible,” the executive told Nikkei Asia.

Breitbart also notes that tensions between the American government and China, especially surrounding the microchip sector, have provided “fresh motivation for companies to shift their supply chains,” also noting rumors that Apple plans to produce MacBook computers in Vietnam before 2024.

Currently, American tech manufacturing is still extremely reliant on communist China, and government policies are sparking an “aggressive” shift according to a Nikkei Asia source.

The National File reports:

“One source told Nikkei Asia that suppliers could lose business with Dell if they refuse to lower the amount of China-made chips they use. “The goal is quite aggressive. The determined shift involves not only those chips that are currently made by Chinese chipmakers but also at the facilities in China of non-Chinese suppliers. If suppliers don’t have responding measures, they could eventually lose orders from Dell.

National File previously reported on the FBI investigating Chinese cellphone company Huawei for creating technology capable of disrupting the Department of Defense’s communications involving nuclear weapons:

The Huawei equipment would be able to capture DoD communications, including conversations initiated by the US Strategic Command, the government group that overlooks US nuclear weapons.

“This gets into some of the most sensitive things we do…It would impact our ability for essentially command and control with the nuclear triad,” a former FBI official told CNN of the discovery on Monday.”