The deal involved AMD sharing x86 CPU technology with Sugon, which netted AMD around $293m in licencing fees and royalties. Selling a majority stake in its Chinese and Malaysian factories to an investment fund supported by the Chinese government bagged the company another $371m.
Sources talking to the paper alleged that AMD made a "complex structure" between two joint ventures by which to bypass American rules. The sources claim that the Commerce and Defence departments both were concerned that the deal was a threat to national security, given Sugon Information Industry is backed by the Chinese government.
In its response, AMD claims the opposite, insisting it did "everything correctly and transparently," and that it "diligently and proactively" informed all relevant government agencies, receiving "no objections whatsoever" in the process. "AMD takes strong exception to characterisations in the story that it did not act properly or transparently in creating the joint ventures," AMD's Harry Wolin wrote.
However, the mood music has certainly changed since 2016 when the actions took place. Chinese supercomputer makers - Sugon included - are subject to a ban on exports, meaning AMD can't do any more business with the company.
"We recognise that there are increased sensitivities and concerns today around national security and technology," Wolin continued. "In compliance with the amended U.S "Entities List," AMD has restricted the sale and purchase of products and taken steps to ensure that no technology transfers occur to listed entities.
"As a company, AMD strictly complies with all U.S. laws, and cares deeply about the national security interests of the United States.
"The company will continue to work with the U.S. Government and others to ensure strong protections of intellectual property and best practices in corporate citizenship and transparency." µ
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