After a chip from Taiwan Semiconductor Manufacturing Company was found in a Huawei processor, the US Commerce Department has ordered the company to stop shipping advanced chips to Chinese customers, according to a report in Reuters.
Huawei faces significant trade restrictions from the US, so the pause in shipments should allow the government to determine whether other companies are diverting chips to Huawei.
TSMC has reportedly informed affected customers that it will halt shipments starting Monday. The advanced chips targeted are often used for artificial intelligence applications – an area where the US has already restricted chip exports from companies like Nvidia.
In a statement to Reuters and other publications, TSMC said it was “committed to complying with all applicable rules and regulations, including applicable export controls.”
