U.S. governmental incentives on semiconductors are central to Great Power Competition

Microchips, also called semiconductors or integrated circuits, can be thinner than a human hair and smaller than a postage stamp, but their power can be immeasurable. They play a significant role in the advancement of the consumer technologies sector and, most importantly, in the development of more sophisticated branches of technology with potentially significant implications for national security, such as Artificial Intelligence (AI) and quantum computing. Therefore, although domestic and foreign policy might not always be connected, in the case of the U.S. semiconductor industry, domestic decisions are vital both for U.S. national security and for the evolution of great power relations in general, and U.S.-China relations in particular.

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