China-based DRAM Maker Fujian Jinhua Closing Shop in March Following US Trade Ban in October

[Raevenlord]

Remember that story we brought you regarding the United States government, via its Department of Commerce, banning all exports from national companies to China-based Fujian Jinhua Integrated Circuits Ltd? Well, fast-forward three months, and the Financial Times is reporting, citing two sources close to the matter, that the ban has been too much for the company to take, limiting its ability to import needed parts and tools for its DRAM production. This is tough news for a company that was investing towards finishing construction of a $5.7 billion factory in China's Fujian Province.

If the Financial Times is true, this is one potential player in the DRAM market that goes out the proverbial window. The original reasons given by the Department of Commerce for the export ban referred to the company being supported by "likely U.S.-origin technology", reportedly of Micron origin. Well, now it seems as if it isn't being supported at all.



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[FordGT90Concept]

Happy that the ban put an end to their criminal endeavors; sad that the DRAM cartel remains unopposed.

 

[dorsetknob]

pleeze mr Can i join your illegal cartel
NO No you stole
we don't want Crims in our illegal cartel

 

[FordGT90Concept]

"No honor among thieves."

 

[eidairaman1]

"No honor among thieves."

No honor among criminals/gangs/terrorists.

 

[Deleted member 158293]

Prices going back up?

 

[Sasqui]

Prices going back up?

Or perhaps not down as much as it may have.

Though not a fan of the scorched earth type trade war that's going on, we do seem to be heading off technology theft. To bad that didn't happen 20 years ago.

 

[Deleted member 158293]

Or perhaps not down as much as it may have.

Though not a fan of the scorched earth type trade war that's going on, we do seem to be heading off technology theft. To bad that didn't happen 20 years ago.

Yeah... If it's true, no time like the present to start I guess. With everything going on right now, it'll be interesting soon on a macro economic level..

 

[BadFrog]

Man I understand the hatred toward the dram companies with price gouching but you gotta look back on history and see what the banking industry has done to us not once but over and over again. I understand this is a tech focused forum but raising pricing on something you want is not as bad as someone playing with your life savings and saying oops. We made a mistake. We’re sorry we lost all your money. Savings and loan crisis of the 80-90s and in recently memory in 2008. Just saying but I am also upset with the price fixing

 

[TheoneandonlyMrK]

Or perhaps not down as much as it may have.

Though not a fan of the scorched earth type trade war that's going on, we do seem to be heading off technology theft. To bad that didn't happen 20 years ago.

I wouldn't worry their already cutting production to keep prices up.

 

[FordGT90Concept]

Prices going back up?

Not likely because they came down due to the gaze of regulators falling on them again. No doubt DDR5 is going to be expensive and they're going to milk that cash cow as long as they can.

Fujian never got far enough along to ever be a competitor against the DRAM cartel.

 

[DeathtoGnomes]

No love lost, in fact a smile is on my face over this. $5.7B lost over a new contruct is a shame (not really someone will buy it), but hell, Piracy lawyers file that much in lawsuits every month over theft of IP all over the world. China doesnt give a shit about anyones patents or IP rights, they will still steal IP from every other country. No surprirse its normal business practice there, they still steal from each other there.

 

[Assimilator]

While I agree that the evidence against Fujian Jinhua appears overwhelming, this also appears to be an instance of guilt decided without a trial. Regardless of how much you love Trump and/or hate China, you should be concerned about the potential ramifications of such a decision.

 

[DeathtoGnomes]

While I agree that the evidence against Fujian Jinhua appears overwhelming, this also appears to be an instance of guilt decided without a trial. Regardless of how much you love Trump and/or hate China, you should be concerned about the potential ramifications of such a decision.

I disagree, the ban was not targeted at any specific company in China, no reason for a trial. The business practices of these China companies stealing IP from the USA affected my economy here more than yours there. So its no surprise you disagree this ban. You dont live here to see the benefits of "those ramifications".

 

[Assimilator]

I disagree, the ban was not targeted at any specific company in China, no reason for a trial.

Bro do you even basic literacy?

The United States government, via the Department of Commerce, has banned all exports from national companies to China-based Fujian Jinhua Integrated Circuits Ltd.

The business practices of these China companies stealing IP from the USA affected my economy here more than yours there. So its no surprise you disagree this ban.

Please, show me where I said I disagree with the ban. I'll wait.

You dont live here to see the benefits of "those ramifications".

Everyone who buys DRAM gets to experience the "benefits" of the price-fixing that Micron was convicted of in the 2000s, and has again been accused of in 2018.

 

[HammerOn1024]

"Well, now it seems as if it isn't being supported at all."

Or the Chinese government decided to throw a company under the bus in the hopes that the tech news industry would throw up a "we're shocked!" cry and howl.... like you are doing.... sniff, sniff, boo hoo.

The Chinese government has had a systematic approach to pillaging, via espionage, any technology they wanted since the '70s. If that means a company, that they own, gets trashed every once in a while is an acceptable risk. So two companies belly up in 40 years of stealing? I'll take those odds any time!

 

[R-T-B]

like you are doing.... sniff, sniff, boo hoo.

That's not how this article reads at all.

 

[NC37]

While I agree that the evidence against Fujian Jinhua appears overwhelming, this also appears to be an instance of guilt decided without a trial. Regardless of how much you love Trump and/or hate China, you should be concerned about the potential ramifications of such a decision.

And where would you hold the trial? If they hold it in China, Fujian would have won by default. The Chinese gov would have immediately sided with them regardless of the evidence. If they held it in the US, China would have made a big scene about it and claimed it's another case of the US picking on a Chinese company.

There is no winning against a country that sponsors piracy.

 

[Assimilator]

And where would you hold the trial? If they hold it in China, Fujian would have won by default. The Chinese gov would have immediately sided with them regardless of the evidence. If they held it in the US, China would have made a big scene about it and claimed it's another case of the US picking on a Chinese company.

There is no winning against a country that sponsors piracy.

Another person ignoring the forest for the trees.

The USA has just demonstrated that it is willing and able to destroy a foreign company that is attempting to compete with a US company in the same industry - based solely on allegations by the local company and the USA. If the USA really has evidence to prove Fujian Jinhua's wrongdoing, a simple show trial would have proved to the world that they were justified in doing what they did, and everyone would have agreed with them.

But there has been no trial and there has been no release of facts. If I was being cynical, I could hypothesise that this is because the facts don't support the punishment, and that the USA is actually using protectionist measures to unfairly favour a local company over a foreign one, while covering it up by claiming wrongdoing by the foreign company. And if that is the case, what is to stop them from doing the same to other companies in future?

 

[FordGT90Concept]

The USA has just demonstrated that it is willing and able to destroy a foreign company that is attempting to compete with a US company in the same industry - based solely on allegations by the local company and the USA.

SK Hynix and Samsung are South Korean.

Micron was a victim of IP theft...
https://seekingalpha.com/article/4061085-micron-technology-may-victim-ip-theft-investors-worry
https://www.nytimes.com/2018/06/22/technology/china-micron-chips-theft.html
https://www.idahostatesman.com/news/business/article188702409.html

Charged with theft in November...not long enough yet for a verdict...
https://www.bloomberg.com/news/arti...ina-state-owned-co-stole-micron-trade-secrets

One could argue the Trump administration was preemptive in the ban but it was a now or never situation. If Fujian was able to acquire all of the equipment they needed to create DRAM, there would be no stopping them. If the trial exonerates Fujian of all charges, then the ban would cease.


Intel previously sued Micron due to IP theft:
http://www.govtech.com/security/Intel-Responds-to-Attempted-Theft-of-1B-Project-by-Employee.html

Reason why Uncle Sam got involved this time is because this is an international affair as opposed to domestic.

 

[DeathtoGnomes]

Bro do you even basic literacy?

yep my bad it was targeted. I can be forgetful sometimes but it still doesnt warrant a trial.

Please, show me where I said I disagree with the ban. I'll wait.



Everyone who buys DRAM gets to experience the "benefits" of the price-fixing that Micron was convicted of in the 2000s, and has again been accused of in 2018.

Micron didnt steal IP here.

btw, keep waiting.

 

[Markosz]

Thanks, Trump!

 

[R-T-B]

yep my bad it was targeted. I can be forgetful sometimes but it still doesnt warrant a trial.

It was.

https://www.bloomberg.com/news/arti...ina-state-owned-co-stole-micron-trade-secrets

We just jumped to the verdict first.