Traveling through the sword to engage in military industry.

The economic development of Southeast University has doubled. As the leader and engine of Southeast University's scientific and technological innovation, the Liming Research Institute has grown even more tremendously with the rise of Southeast University.

Dongxin Technology, the core company responsible for chip manufacturing, now has four major factories and more than ten production lines, ranging from 3 micron to 0.13 micron. It produces core chips such as 8080 to 80486, two major categories of CPU chips ARM9 and ARM11, ARM Mali GPU, and memory chips.

Have a firm grip on the upstream of the IT industry.

Although North American IT giants led by Bell and MBI have successfully reverse-engineered the 8080 in the past five years and have also broken through their chip processing capabilities to the 2-micron level, in terms of chip design, their X86 system has only reached the 80286 stage. Without the electronic design software that Ren Zhong had obtained, the design and verification of more than transistors is of immeasurable complexity.

Moreover, since Dongda Dongxin Technology has applied for numerous basic patents on this technical route, including the basic patents including instruction sets, there is no way to circumvent them. Therefore, even MBI's X86 chips can only be sold to the Rogue Eagle military and cannot be realized in the civilian market.

In the civilian market, they launched a new path of their own, the Power chip technology route, which is similar to ARM but with a completely redefined instruction set. After the Power 1 was designed, its highest performance was close to that of 286, although it was indeed a dozen blocks behind the Dongda 486.

However, in terms of low-end applications, such as the $200 home personal computer market, MBI has now found a way forward.

Just seeing that the chip performance of Dongda has broken through the sky, MBI now has to learn from Vision and fully adopt Dongda's CPU, memory and other chip products in commercial personal computers and host computers.

However, due to its advantage of abundant computer talents, MBI, like the main world, was the first to make a name for itself in the mainframe field. They conducted in-depth research on parallel technology, used 486 chips to carry out parallel computing, and designed 8-way to 32-way mainframe systems, providing the System/360 series of mainframes for advanced computing scenarios such as banking, energy, and meteorology!

In the changing direction of technological development, MBI continues to tenaciously push forward its mainframe business. Ren Zhong also finds this situation incredible.

Thanks to the fact that Dongda's chips are an order of magnitude more powerful than those in the main world at the same time, the performance of MBI's System/360 series mainframes also far exceeds the level of PC systems in the main world at the same time. It is very practical for advanced application scenarios such as banking, energy, and meteorology. In particular, the military's large-scale computing needs have allowed MBI to shine in this market and take away most of the military's orders.

Although Vision has Ren Zhong's golden finger pointing the way, it has also invested a lot in parallel computing. It launched the Vision OS/100 mainframe system to compete, and cooperated with Dongda to launch its own Tru64OS system based on the core license of Dongda operating system. However, since Vision does not have a strong influence in the military like MBI, it only sells mainframes to commercial markets such as banks and meteorology. In terms of the overall mainframe market share, Vision lags behind MBI. However, in the personal computer market, Vision is still a well-deserved giant in North America, occupying more than 5% of the market share, further consolidating Vision's position as a trillion-dollar giant in North America. Since Vision took the lead in paying % of the personal computer patent licensing fee to Dongda, Dongda Liming Research Institute has gained huge profits in the development of personal computers.

After five years of development, global annual sales of personal computers have exceeded 5 million units, with a total market value of more than 3000 billion US dollars. Together with the host market, it has exceeded 300 billion US dollars. From the patent licensing part alone, the Dawn Research Institute can now earn more than 400 billion US dollars each year.

This does not include the profits from front-end chip sales. The various types of chips produced by Doxin Technology now account for about a quarter of the personal computer market and host market, which means annual sales of nearly US$100 billion.

This also allowed Dongxin Technology to quickly gain capital recognition with a market value of hundreds of billions of US dollars after it was listed on the two financial markets of Shanghai and Oriental Pearl. A total of 15% of its shares were released to raise 150 billion US dollars, making it the first company in Dongda to break the market value of hundreds of billions of US dollars. Even in the world of Liangjian, it is one of the well-deserved giant companies.

It is more dazzling than the giants in traditional industries such as shipbuilding, steel, chemicals, and petroleum.

With this money, on the one hand, the chip production capacity is expanded to 90 million chips per year, and on the other hand, it begins to invest in the research of the new generation of 90nm chip production lines, especially nm lithography machines.

The huge advantage in chip processing technology has not stopped Dongda from slowing down its technological development, because Ren Zhong knows that the limit of this road is still far away.

As the University of Tokyo developed more and more cutting-edge technologies, Ren Zhong suddenly discovered a major problem.

An office in a courtyard house in Yandu.

"Do we need to carry out necessary controls on export products now?" Staff Officer Ye attached great importance to Ren Zhong's latest suggestion. "Brother Ren, please tell me your reasons first."

"We have now surpassed the West in terms of technological innovation, telecommunications, computers and network equipment technology in emerging technology areas. We are far ahead in these areas. At the same time, we have many products in materials and chemicals that have surpassed the current level of the West, such as carbon fiber, certain high-temperature alloys and other special materials. Even some of our computer products have reached the world's top level."

Ren Zhong pointed to the report he had compiled over the past two days and said.

"The performance of these products is far ahead of the previous generation, which has a huge impact on the development and sales of the new generation. Some of them have a very big improvement in the military, especially our telecommunications and computer products, which now have a great performance improvement in radar, aviation and navigation and other military equipment. Carbon fiber and high-temperature alloys also play a big role in aviation."

"I suggest that export restrictions must be imposed on this type of product. Most of these products are now in the hands of Liming-related companies. Although we do not have restrictions at the national level, in actual operations, we are now consciously not providing them to the outside world. But this is not enough. With the development of Dongda's technology, more and more companies will follow the Liming-related development in the future. They will also create more and better products, which will play a great role in military use."

"Therefore, it is necessary for us to formulate standards for export control technologies and products, as well as a list of restricted export technologies and products that is updated annually to safeguard the national interests of the University of Tokyo and ensure that our advanced technologies can remain in the hands of the University of Tokyo for a long time."

Ren Zhong didn’t have much thought about these things before, but after twenty years of development, Southeast University is no longer what it used to be and is now far ahead in many fields.

Then it would be unreasonable to turn a blind eye to these things.

In the main world where he lives, there is a very disgusting "Wassenaar Arrangement" that is firmly curbing the development momentum of the University of East China. The "Wassenaar Arrangement" of this main world contains two control lists: one is a list of dual-use goods and technologies, covering 9 categories such as advanced materials, material processing, electronic devices, computers, telecommunications and information security, sensors and lasers, navigation and avionics instruments, ships and maritime equipment, and propulsion systems; the other is a military products list, covering 22 categories of products and technologies including various weapons and ammunition, equipment and combat platforms.

This agreement directly curbed the 90 and 908 semiconductor projects that Dongda invested heavily in developing in the mid-to-late 909s. It was under the guidance of the Wassenaar Arrangement that many Western countries in the United States and other countries imposed restrictions on semiconductor equipment and technology export controls, causing Dongda's Huajing, Huahong and other companies to encounter restrictions on purchasing equipment in the international market. As a result, they could not buy advanced semiconductor manufacturing equipment and related technologies at the time, and Dongda's semiconductor equipment manufacturing industry was always artificially maintained at a gap of 2-3 generations with the international advanced level, lagging behind the international advanced level by more than 10 years. Through such an arrangement, Dongda has always been at the low end of the semiconductor processing industry, which has greatly hindered the upgrading of Dongda's enterprises in the global semiconductor value chain production. At the same time, Dongda has been subject to discriminatory restrictions with strong malice from the United States and the West in terms of advanced aircraft engines, advanced materials and even advanced computer products.

Now, Southeast University has its own advanced technology system in the world of Sword and Fairy, and Ren Zhong certainly needs to ensure Southeast University's leading edge.

Before there was such an idea, after the chip sales at Dongda were divided into generations, under the influence of Ren Zhong, they began to consciously control the output of the most advanced chips. Compared with the ARM486/ARM9 chips, the 11 chips sold externally were more than two generations behind in performance.

However, such behavior is currently limited to individual actions, and there are no binding standards or regulations at the national level.

If there were no visionary people like Ren Zhong to supervise, there would be no restrictions at all.

"Brother Ren, you are right. We are ahead in some things, but if we do not impose restrictions, these technologies may spread and weaken our future competitiveness and competitive advantage. I think it is very meaningful to formulate export control standards and export control product lists, and they need to be implemented as soon as possible." After listening to Ren Zhong's explanation, Staff Officer Ye quickly understood the deeper meaning behind Ren Zhong's explanation.

That is to ensure that our advanced technology can be monopolized!
This is a great thing.

The technological development prospects of Dongda are very good now.

Now all emerging technology fields are advancing by leaps and bounds, and many fields have broken through to the era of a new generation of products, which are completely overwhelming compared with the old products of this era.

Such technology should certainly remain in the hands of the University of Tokyo for a long time.

Patents only protect part of the product. The real core of the product cannot be protected entirely by patents. A lot of it needs to be kept confidential.

For example, the chip processing equipment, the most advanced 0.13-micron lithography machine of Dongda University is the most advanced and top-secret product in Dongda University’s technology line.

The birth of such incredible chip processing equipment has not even been announced yet.

ARM9/ARM11 chips are now restricted to the civilian market and are now fully busy meeting the needs of the military. Various avionics, ship electronics, radars, and large-scale command systems require a large number of cutting-edge chips, which cannot be met by the existing production capacity in the short term.

The main chips sold now are the three generations of chips: 286/386 and 486. In terms of price, the 8086 chip is still just over $100, the 286 is priced at around $400, and the 386 chip has reached the $1000 level. The highest-end chip sold, the 486 chip, now costs more than $1 each. This is not only because it has the strongest performance, but also because of its small production. The production entering the market is indeed limited.

This is also why after Donxin Technology raised funds, it invested more than half of its capital into the large-scale capacity expansion of the 0.13-micron production line. After all, a single production line now needs to take into account the production of four types of chips, 386/486 and ARM. For the sales side, the production capacity that can be invested in civilian use is too small. Only more than 386 high-end chip products above chips are produced each month, which is a drop in the bucket for the current high-end market.

Therefore, the current export restrictions are more due to production capacity constraints.

After reading the first list proposed by Ren Zhong, Staff Officer Ye was a little surprised that chips were the first to be mentioned, because this is the most profitable product of Dongxin Technology!

"This chip is restricted to civilian use. Is there any way we can restrict it?" Staff Officer Ye asked Ren Zhong while looking at the chip control measures.

"Yes, we can require that the places where high-end chips and high-end computers are used be informed to us, and at the same time, they must accept irregular inspections by relevant departments of our Dongda University at any time, otherwise we will not approve the sale."

The plan proposed by Ren Zhong is a fatal blow to the high-end computer service products of local companies in the Western United States such as MBI.

After all, the main customer for their high-end products is the military market!
"It seems that our foreign affairs department now has one more thing to do." Staff Officer Ye said with a smile, "However, it may be difficult to implement our restricted-use sales under the current operating model. In this regard, if we are selling large products, it is relatively convenient to track the flow. If we want to count the flow of overseas sales of chips, it may not be very practical."

Staff Officer Ye is in the economic field and has some knowledge of the microeconomic field. He knows that with current technical means, there is no way to control the sales flow of chips. Once these chips leave the country, no one will know where they end up.

After all, once cargo ships are on the high seas, theoretically they can sail freely to any country without anyone intercepting or questioning them.

At least that's what international conventions say about the freedom of navigation for merchant ships.

Forcibly violating these international consensuses will have a huge impact on a country's reputation.

"Another problem is that if we suddenly put forward such a standard or regulation, it will probably cause a certain reaction in the international community, and even cause a backlash from many countries, affecting our export work. Brother Ren, have you considered this possibility?" Staff Officer Ye restrained his smile and began to ask about the drawbacks of this matter. (End of this chapter)