Patel notes SMIC announced 7 million phones this year, calling it very high volume production.
“SMIC just came out yesterday and said they're gonna ship 7,000,000 of these phones this year. Right? That is not low volume. That is very high volume, 7,000,000 phones.”
Patel argues export restrictions clearly failed because China manufactured advanced Huawei chip demonstrating broader capabilities.
“The export restrictions have clearly failed because China is still able to manufacture. And what's surprising about the chip that Huawei did is, you know, it's a phone chip.”
Patel says Huawei trained significant models on Ascend chips before 2020 Trump ban took full effect.
“The the full ban. And so they were only able to make a small volume of these chips, but they had trained significant models on these chips that they made then.”
Patel reveals Huawei acquired nearly 3 million chips from TSMC through shell companies resulting in billion-dollar TSMC fine.
“But they were able to acquire 3,000,000 chips, 2,900,000 chips from TSMC through these other entities. Right?”
Patel says Huawei brought seven nanometer AI chips to market first in 2020 with minimal gap to NVIDIA.
“In 2020, they released an Ascend chip and submit it to impartial public benchmarks, and they were the first to bring seven nanometer AI chips to market.”
Patel reports Huawei acquired 2.9 million chips worth $500 million from TSMC through shell companies before getting caught.
“they were able to acquire 3,000,000 chips, 2,900,000 chips from TSMC through these other entities. Right?”