this post was submitted on 31 Jul 2026
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ASML shares plunge following reports of Chinese breakthrough in chip manufacturing. China has begun producing advanced chip manufacturing equipment, the very same that made ASML a major player (www.volkskrant.nl)
submitted 1 day ago* (last edited 1 day ago) by inari@piefed.zip to c/technology@lemmy.world
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[โ€“] prenatal_confusion@feddit.org 1 points 1 day ago (1 children)

Huh? I thought that the current generation of fabs were embargoed via sanctions by the us. At least for "bad" actors.

When the us intelligence community announced that China had gotten hold of a recent machine asml vehemently denied that they ever sold one directly or that they could be moved without asml noticing. Not to speak of the know how needed to get it back up and running. I brlive them In these points.

This translation goes kinda against that. Anybody know how the situation above played out?

[โ€“] ChairmanMeow@programming.dev 2 points 22 hours ago

The fabs in use for the latest chips are typically 1 to 2 generations behind, because it's expensive and takes a long time to get a new fab in place (these are extremely sensitive machines). Even if China could produce the exact fabs most in use today (which is already a little unlikely), ASML themselves are 2 gens ahead.

This will likely reduce prices on older gen chips though, and those were no slumps either.