Beijing Launches $1.2 Billion Semiconductor Fund Amid Global Chip Shortage: Zhongguancun Development Group at the Helm

Technology Battle: Beijing establishes a US$1.2 billion fund for semiconductors as China increases spending on chips

The new chip fund was established in Beijing under the umbrella of the state-owned Zhongguancun Development Group, adding to a number of chip investment funds throughout China.

The Beijing Integrated Circuit Industry Investment Fund was launched on Tuesday by the Zhongguancun Development Group, a government-owned entity. The fund, which is registered with a capital of 8.5 billion yuan (US$1.2 billion), was confirmed by data acquired from the Chinese business directory, Qichacha.

The Zhongguancun company was initiated by the Beijing administration in 2010, and it will be operated by a subsidiary known as Beijing Zhongguancun Capital Fund Management, as per information from Qichacha.

Six minutes and one

A worldwide shortage of semiconductors is occurring and here's why it's significant.

The establishment of a fresh fund in Beijing is the latest in a series of endeavors by local Chinese authorities, designed to strengthen the nation's semiconductor industry. The most prominent of these is the China Integrated Circuit Industry Investment Fund, a nationwide project often referred to as the "Big Fund".