China says Micron products fail safety test, bans some purchases

The Chinese regulator of Cyberspace reported that products manufactured by US memory chip maker, Micron Technologyhad failed its network security exam and that it would prohibit key infrastructure operators from purchasing the company’s products.

Under China’s broad definition of critical information infrastructure, this could include sectors ranging from transportation to finance.

“The review has revealed that Micron’s products pose serious network security risks, posing significant security risks to China’s critical information infrastructure supply chain and affecting the country’s national security.”said the China Cyberspace Administration (CAC).

Micron said it had received notice from the CAC of the conclusion of its review of the company’s products sold in China, adding that “We hope to continue participating in the talks with the Chinese authorities”.

The CAC did not provide details of the risks it had identified or the Micron products that would be affected.

China announced its review of Micron’s products at the end of March. The company said then that it was cooperating and that its business operations in China were normal.

The governments of USA and China are in a dispute over chip technology. Washington has imposed a series of controls on the export of chip-making technology to China and has taken steps to prevent Yangtze Memory Technologiesa rival to Micron, purchase certain US components.

Micron gets about 10% of its revenue from China, but it’s unclear whether the decision affects the company’s sales to non-Chinese customers in the country.

Most of Micron’s products entering China are purchased by non-Chinese companies for use in products made there, according to analysts.

China In September 2021, it imposed a series of regulations aimed at protecting critical information infrastructures, which require their operators to comply with stricter requirements in areas such as data security.

Beijing has broadly defined the industries it considers “critics”such as public communication and transport, but it has not specified exactly what type of companies or business scope it will apply to.

Fountain: Reuters