This is your Beijing Bytes: US-China Tech War Updates podcast.
Hey there, I'm Ting, and welcome to Beijing Bytes, your go-to source for the latest on the US-China tech war. Let's dive right in.
Over the past two weeks, we've seen some major developments in the US-China technology competition. First off, cybersecurity incidents have been making headlines. The Chinese Communist Party (CCP) has been linked to a state-sponsored cyberattack on the US Treasury Department, which is believed to be part of Beijing's efforts to gather sensitive intelligence and prepare for potential conflict[1]. This attack is just the tip of the iceberg, with Taiwan facing an unprecedented surge in cyber incidents, averaging 2.4 million attacks daily in 2024, double the number from 2023.
But it's not just about hacking; new tech restrictions are also in play. The Biden Administration has issued new export controls on advanced computing chips and certain AI model weights to prevent China, Russia, and other adversaries from accessing advanced AI technology[5]. These restrictions focus on sensitive technologies like AI, semiconductors, and quantum computing, and require detailed due diligence from US investors[2].
Policy changes are also on the horizon. The incoming Trump Administration aims to reduce the government's role in cybersecurity but increase its offensive actions, marking a shift from the Biden team's focus on regulation and intelligence-sharing[4]. This change in approach could have significant implications for how the US responds to future cyberattacks.
Industry impacts are already being felt. The new restrictions on advanced chips and AI models will significantly impact US investors and Chinese firms, especially in affected sectors like semiconductors and AI[2][5]. This could reshape US-China economic relations and have broader implications for global supply chains.
Strategically, these developments highlight the escalating tech war between the US and China. The CCP's use of hybrid tactics, including cyberattacks and disinformation, aims to undermine US strategic competitors and prepare for potential conflict over Taiwan[1]. The US, in turn, is tightening its grip on advanced technologies to prevent them from falling into Chinese hands.
Experts like David Sedney, former deputy assistant secretary of defense, warn that things are likely to get worse before they get better[4]. With the US and China locked in a high-stakes tech race, the future of global cybersecurity and economic dominance hangs in the balance.
That's all for now. Stay tuned for more updates from Beijing Bytes. I'm Ting, and I'll catch you on the flip side.
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