China Invests $5.4 Billion in 2-Year-Old Memory Chipmaker

00:00

00:00/00:00

Listen to this article 1x

Beijing has been intent on making breakthroughs in its semiconductor industry even as the U.S. tries to limit its access to cutting-edge chip technologies. Photo: Bloomberg

(Bloomberg) — Semiconductor startup Changxin Xinqiao Memory Technologies Inc. has raised 39 billion yuan ($5.4 billion) from government-backed investors, a sign Beijing is doubling down on its efforts to achieve technological self-sufficiency and counter U.S. sanctions.

In its latest funding round, Hefei-based Changxin Xinqiao secured 14.6 billion yuan from the state-backed China Integrated Circuit Industry Investment Fund Phase II in late October and funding from two other investors affiliated with the local government, according to Chinese corporate data provider Tianyancha.