How China built its ‘Manhattan Project’ to rival the West in AI chips (www.japantimes.co.jp)

Chinese scientists have unveiled a significant advancement in semiconductor technology: a prototype machine designed to produce cutting-edge AI chips that could rival Western capabilities. This machine, developed in a high-security laboratory in Shenzhen, represents a pivotal achievement as it marks China's response to ongoing efforts by the U.S. to restrict access to advanced semiconductor technology. The prototype, still in testing, is the result of reverse-engineering extreme ultraviolet lithography (EUV) machines, a technology crucial for manufacturing the ultra-thin circuits that drive modern AI, smartphones, and military systems. The significance of this development extends beyond national pride; it highlights a critical shift in the global tech landscape and raises concerns about a burgeoning tech Cold War. EUV machines, which create circuits thinner than a human hair, have historically been monopolized by Western firms, making them essential for creating powerful AI chips. With this prototype, China aims not only to enhance its own technological capabilities but also to establish self-reliance in semiconductor production, potentially altering the balance of power in the AI/ML field and various high-tech sectors.