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Amd thatic on us blacklist, no more zen cores for china

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Today the United States added five additional Chinese companies to the list of banned entities, which will join companies like Huawei that do not have access to American technology. In 2016 AMD teamed up with the Chinese to form Tianjin Haiguang Advanced Technology Investment Co. Ltd. (THATIC) in a deal that saw its first generation of Zen cores licensed for chip development.

AMD THATIC on the US blacklist

Chinese companies have tried to catch up on both logic design and manufacturing, and AMD's joint venture, abbreviated as "THATIC, " helped in the logic department. China was already restricted to government-related companies buying Xeons from Intel, so THATIC was one way that much-needed x86 chips could enter the country.

AMD owns a 51% stake in Haiguang Microelectronics Co. (HMC) which helps facilitate the manufacturing of 14nm Zen-based products. The end result is an EPYC clone named Hygon Dhyana, which was actually only recently seen at CES, three years after the original joint venture was formed.

What we have learned today is that there are few details, but we can assume some things. We are told that THATIC as a whole is being placed on the same banned list as Huawei. The United States Department of Commerce cited a crucial element of the project, its partnership with Sugon, which designs and sells supercomputing systems to many Chinese customers, including those affiliated with or owned by government and military agencies.

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The United States government said the concern is that the technology may help the Chinese perform simulations of nuclear bombs, among other military applications.

AMD shares ended the day down more than three percent to $ 29.10, erasing earnings from last week.

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