China Bets Billions on AI and Chips to Break U.S. Tech "Chokehold"

China Bets Billions on AI and Chips to Break U.S. Tech "Chokehold" China is mobilizing hundreds of billions of dollars in state-backed investment to achieve self-sufficiency in advanced semiconductors and artificial intelligence, directly countering U.S. export controls and intensifying the global tech rivalry [51155][95150][59734]. The national push, framed as breaking foreign "chokepoints," is being executed through massive provincial and corporate spending plans targeting next-generation technologies [95150][59734]. Shanghai alone has launched a $10 billion investment plan focused on microchips and AI [43531], while a new national semiconductor fund worth over $47 billion aims to build a domestic supply chain for chipmaking equipment [86995]. Multiple Chinese provinces, including the tech hub of Zhejiang, have announced five-year strategies to achieve breakthroughs in manufacturing AI chips as advanced as 3 nanometers and to become central hubs for AI development [51155][19492][95148]. This provincial competition aligns with President Xi Jinping's directive for "high-level" technological independence, a core goal of the country's economic planning [71486][95148]. The strategy marks a pivotal shift from absorbing foreign technology to creating indigenous innovation in frontier fields [59734]. Private giants are following suit, with companies like Xiaomi announcing heavy multi-year investments into core technologies like semiconductors and AI to ensure growth and support national goals [86064]. China's draft national budget further reveals a $61.7 billion allocation for science and technology, specifically targeting "future industries" like AI, electric vehicles, and satellite internet that are critical to global competition [93804]. Analysts see the concerted effort as a move to secure leadership and reduce reliance on other nations' technology in strategic sectors [95150][86995]. China Targets 3nm AI Chips to Break US "Chokehold" China's New Plan: Beat US Tech Rivals with AI and Fusion Power China's Tech Pivot: From "Catch-Up" to Cutting-Edge China Bets $47 Billion to Break the Chip Barrier Shanghai Bets $10 Billion on Chips and AI in Tech Race Chinese Provinces Prioritize Tech and Self-Reliance in New Economic Plans Xi Inspects Tech Park, Stakes Claim in Global Innovation Race Xiaomi Bets Billions on Chips and AI as Rivals Build Robots China's Tech Giants Race for AI Dominance China's $62 Billion Bet Mirrors Musk's Vision