Logical countermeasure
This article is typical of the modern business article that mixes generic business planning -- whether its worth deploying capital to increase memory production capability -- and national strategic concerns. Nobody questions the enormous sums we (US) spend on weapons research and procurement, it all goes under the umbrella 'national security', so I'm pretty sure that the same kind of thinking applies in China. By elevating semiconductor supply chains to be national security related -- essentially weaponizing what was an outstanding example of global cooperation -- we have distorted supply chains to where the normal rules of business no longer apply. We've revoked the build/buy tradeoff rules, substituting for them a rather tenuous battle of capital investment, one I fear we might ultimately lose. The reason for this is obvious -- we in the US are trading on a legacy position as original suppliers of technology to cover for a rather anemic infrastructure and human capital position.whereas our 'adversary' in China has access to essentially unlimited capital and resources. We are dragging our 'allies' into this although this isn't warfare, its business, and at some point our 'allies' will find that its more advantageous to ignore us than obey us because we don't have anything fundamental to offer, just threats if they don't toe the line.
I've watched this situation brew up for decades and its not getting any better. We've been fooling ourselves about it because of our relatively narrow focus on mobile technology and web based services. Much of this (IMHO) are time and resource wasting toys, a froth of apparent development built largely around imported devices (yes, we might have a stranglehold on the most advanced chips but we only need them because of the froth -- inefficiency -- that this focus generates). This is only the latest incarnation of a process I've witnessed over decades that gradually turned us from a technological powerhouse into very much a follower, continually withdrawing capital to cover for inherent shortcomings in our investment, relying on 'there's always more fish in the sea' -- until there isn't any more.