Micron Chip Maker Under Fire: China Launches Cybersecurity Probe Amid Escalating Tech Tensions
In a move that has sent shockwaves through the global tech industry, China has launched a cybersecurity probe into Micron Technology, one of America's largest memory chip makers. The Cyberspace Administration of China (CAC) announced on Friday that it would be reviewing products sold by Micron in the country, citing concerns over potential cybersecurity risks.
The probe is part of a broader crackdown on US companies operating in China, as Beijing seeks to assert its dominance in the global tech market. The move comes amid escalating tensions between Washington and Beijing over issues such as trade, security, and human rights.
Micron's stock plummeted 4.4% on Wall Street following the news, the largest single-day drop in more than three months, with shares closing another 1.2% lower on Monday. The company warned earlier this year that it was facing risks associated with its operations in China, including potential restrictions on access to the market or increased regulatory scrutiny.
China has strongly criticized previous restrictions on tech exports imposed by the US and Europe, labeling them as "unreasonable" and "discriminatory". Beijing is seeking to woo foreign investments as it grapples with mounting economic challenges, but has also exerted growing pressure on foreign companies to bring their operations into line with its agenda.
In recent months, Chinese authorities have cracked down on several US companies operating in China, including the closure of the Beijing office of a US corporate intelligence firm and the suspension of Deloitte's operations for three months over allegations of auditing irregularities. The probe into Micron is seen as part of this broader effort to assert China's authority over its territory.
Micron has said it is cooperating fully with the CAC and stands by the security of its products, but the move has raised concerns about the potential impact on its operations in China. The company derives more than 10% of its revenue from the country and any restrictions or disruptions could have significant implications for its business.
As tensions between Washington and Beijing continue to escalate, it remains to be seen how this latest development will play out. One thing is certain, however: Micron's probe by China marks a turning point in the ongoing struggle for dominance in the global tech industry.
In a move that has sent shockwaves through the global tech industry, China has launched a cybersecurity probe into Micron Technology, one of America's largest memory chip makers. The Cyberspace Administration of China (CAC) announced on Friday that it would be reviewing products sold by Micron in the country, citing concerns over potential cybersecurity risks.
The probe is part of a broader crackdown on US companies operating in China, as Beijing seeks to assert its dominance in the global tech market. The move comes amid escalating tensions between Washington and Beijing over issues such as trade, security, and human rights.
Micron's stock plummeted 4.4% on Wall Street following the news, the largest single-day drop in more than three months, with shares closing another 1.2% lower on Monday. The company warned earlier this year that it was facing risks associated with its operations in China, including potential restrictions on access to the market or increased regulatory scrutiny.
China has strongly criticized previous restrictions on tech exports imposed by the US and Europe, labeling them as "unreasonable" and "discriminatory". Beijing is seeking to woo foreign investments as it grapples with mounting economic challenges, but has also exerted growing pressure on foreign companies to bring their operations into line with its agenda.
In recent months, Chinese authorities have cracked down on several US companies operating in China, including the closure of the Beijing office of a US corporate intelligence firm and the suspension of Deloitte's operations for three months over allegations of auditing irregularities. The probe into Micron is seen as part of this broader effort to assert China's authority over its territory.
Micron has said it is cooperating fully with the CAC and stands by the security of its products, but the move has raised concerns about the potential impact on its operations in China. The company derives more than 10% of its revenue from the country and any restrictions or disruptions could have significant implications for its business.
As tensions between Washington and Beijing continue to escalate, it remains to be seen how this latest development will play out. One thing is certain, however: Micron's probe by China marks a turning point in the ongoing struggle for dominance in the global tech industry.
so china's finally trying to take down micron huh? like i knew it was only a matter of time before they took aim at us 
they're just trying to assert their authority over our tech industries, but honestly who hasn't seen this coming from a mile away? 
it's not like we haven't been playing hardball with them too. anyway, micron's stock is tanking big time now, i guess that's what happens when you mess with the dragon 
hopefully they can get their operations sorted out in china before things get any worse 
I'm not surprised by this move from China, tbh 
. But what really gets my goat is how the US always tries to play the victim and claim that they're being unfairly targeted 
.
. I mean, Micron was warned earlier this year that they could face risks associated with their operations there... shouldn't they have taken those warnings more seriously? 
. One thing's for sure, though: the global tech industry is never gonna be the same again 
.
? micron is one of our biggest chip makers and now they're under scrutiny over cybersecurity risks... it's like, we get it, china wants to protect its own interests, but this feels like a total overreach 
.
it's like, can't we just talk about this stuff? 
it's like something out of a movie 
where do you think this is gonna lead? 
Their stock is plummeting and now they're worried about getting restricted access to the Chinese market or even facing increased regulatory scrutiny. That's just not fair, considering they're already doing business with China and are willing to work within their rules.
) and one-upmanship.
. They're not exactly known for being transparent about their intentions or respecting foreign businesses' rights 
. I'm starting to think that Micron should be preparing for a long and costly fight against these Chinese regulatory hurdles 
.
. It seems like Beijing is sending a clear message: "You're either with us or you're not." And if Micron doesn't play ball, they'll face the consequences 
.
... Can't they just focus on fixing their own economy instead of trying to take down US companies? It's like they think we're just gonna roll over and let them do whatever they want 
The whole thing is just so frustrating 
That's crazy! And with their revenue coming from China being over 10%, this could be a major blow 
. But, like, what about the customers? Who's gonna get affected by this? 
.
. I'm all for some friendly competition in the tech space, but when does it get too heated 
That's crazy! Micron's been warning about these risks too, like, what a coincidence? 
Anyways, gotta keep an eye on this one, feels like it's gonna be a wild ride