US Shouldn’t Underestimate China: Substrate’s Proud

Micron Technology reported a positive earnings outlook, which has contributed to a surge in tech stocks, particularly in the artificial intelligence sector. This optimism was highlighted by Bloomberg's Caroline Hyde, who noted the increasing interest in AI as a driving force behind market movements.

Patrick McGoldrick, managing partner at JPMorgan Private Capital, discussed the increasing overlap between public and private markets, particularly in the tech sector, where companies are remaining private longer and achieving unprecedented valuations. This trend was highlighted during his appearance on Bloomberg Tech with Caroline Hyde.

Janet Mui, head of market analysis at RBC Brewin Dolphin, highlighted that investors are increasingly focusing on the leverage of technology companies as they approach 2026, emphasizing the ongoing premium investors are willing to pay for leaders in artificial intelligence (AI).

Honda has announced a pause in production at its facilities in Japan and China due to an ongoing auto chip shortage, which has been affecting the automotive industry globally. This decision reflects the challenges faced by manufacturers in securing essential components needed for vehicle production.

China has developed a significant initiative to enhance its capabilities in artificial intelligence (AI) chips, likened to a 'Manhattan Project' aimed at rivaling Western technology. This effort is underscored by recent approvals from the Trump administration allowing Nvidia to sell its advanced H200 AI chips to approved customers in China, marking a pivotal shift in U.S. export policy.

China has reportedly developed a prototype extreme ultraviolet (EUV) lithography machine, constructed by former employees of ASML, a leading Dutch semiconductor equipment manufacturer. This development signifies a notable advancement in China's capabilities in semiconductor technology, particularly in producing advanced chips essential for various applications.

A congressional report indicates that China is leveraging partnerships with U.S. researchers to gain access to sensitive nuclear technology, which could enhance its military capabilities and impact national security. This exploitation raises concerns about the implications of U.S. funding in research that may inadvertently benefit adversarial nations.

At a recent summit in Silicon Valley, California startups showcased robots designed to fold laundry and perform other mundane tasks, reflecting the growing competition in artificial intelligence (AI) development, particularly against countries like China.