China's chip sector needs innovation, not just state money, to dull impact of US curbs

China's chip sector needs innovation, not just state money, to dull impact of US curbs

FILE PHOTO: A woman walks past a display at Semicon China, a trade fair for semiconductor technology, in Shanghai, China, March 17, 2021. REUTERS/Aly Song

China plans to splurge to help its chip sector overcome U.S. export curbs, but money can only do so much unless Chinese firms can break from a cycle that hinders innovation and traps them at the low end of the value chain, industry players said.

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