Chinese Top Chipmaker Retaliates By Firing US Employees In Core Tech, Former CEO's Position Remain Undecided
- Chinese chipmaker Yangtze Memory Technologies Corp ousted American employees in core tech positions following the U.S. embargo on China.
- Several U.S. citizens and green card holders in China had already left the memory chip producer, the Financial Times reported.
- Some Americans reportedly were key to YMTC's Nand memory chip production breakthroughs.
- Also Read: Taiwan Semiconductor Bears The Brunt Of US China Tensions, Slashes 2022 Budget By 10%
- Leading U.S. chip equipment suppliers Lam Research Corp (NASDAQ: LRCX), Applied Materials, Inc (NASDAQ: AMAT), and KLA Corp (NASDAQ: KLAC) have suspended sales and services to semiconductor manufacturers in China.
- Netherlands-based ASML Holding N.V. (NASDAQ: ASML) urged its U.S. staff to stop serving all Chinese customers while it assessed the sanctions.
- YMTC's longstanding CEO Simon Yang, a U.S. passport holder, stepped down ahead of the sanctions reportedly triggered by Washington's increasing pressure on the company.
- Yang transitioned from the Chief role in late September to Deputy Chair. His current role in the company remained undecided.
- YMTC was on the verge of settling a spot for its semiconductors in Apple Inc's (NASDAQ: AAPL) iPhone this summer until the sanctions kicked in.
- YMTC reportedly negotiated the exit of several Americans unwilling to give up their U.S. passports.
- Chinese semiconductor companies focused on not only 'US-free' manufacturing lines but also de-Americanise the teams," as they already struggled to find experienced staff.
- Corporate records in China show Americans dot the top ranks of leading Chinese semiconductor manufacturers and suppliers.
- Photo by mohamed hassan via Pxhere
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