- The process of fundraising may take almost two months
China has recently announced a plan to invest about $40 billion for its semiconductor sector. According to a news portal, this is the third biggest funds of China. The amount of funds exceeds the figures of the previous two funds with a similar purpose.
China’s target of 300 billion yuan ($41 billion) outdoes similar funds in 2014 and 2019, which according to government reports, raised 138.7 billion yuan and 200 billion yuan, respectively.
China’s President Xi Jinping emphasised the need of self-sufficiency in semiconductors. This need became pressure when Washington imposed a series of export control measures over the last couple of years, citing fears that Beijing could use advanced chips to boost its military capabilities.
Sources also revealed that the process of fundraising may take almost two months and third fund clearance is also not confirmed.
SINO-IC Capital has been under investigation and suspected of misappropriation of funds and corruption. This company was managing previous two funds. China had earned a lot of investment before, despite that it couldn’t perform well in the last few years.
