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ASML Resolves Global IT Outage Amid Heightened Scrutiny Over China Sales

ByYasmeeta Oon

Nov 11, 2024

ASML Resolves Global IT Outage Amid Heightened Scrutiny Over China Sales

ASML, the Dutch semiconductor equipment maker, has resolved a global IT systems outage that affected operations on Friday. The company confirmed that “all systems are fully recovered,” although the cause of the outage is still under investigation. The incident, initially reported by Dutch newspaper Eindhovens Dagblad, led some employees to work remotely. This follows a previous incident in which ASML prematurely released its third-quarter earnings due to a technical error.

Meanwhile, ASML and other leading semiconductor equipment manufacturers, including U.S.-based KLA, LAM Research, and Applied Materials, as well as Japan’s Tokyo Electron, are facing scrutiny from U.S. lawmakers over their sales to China. Congress members John Moolenaar (R) and Raja Krishnamoorthi (D) sent letters to these companies on Thursday, requesting detailed information about their transactions with Chinese firms. This push for transparency aligns with U.S. concerns that technology sold to China by American, Dutch, and Japanese firms is advancing China’s semiconductor capabilities and potentially contributing to the modernization of its military.

The lawmakers’ requests come amid debates surrounding proposed U.S. export restrictions intended to curb China’s access to advanced chipmaking technology. The Biden administration has faced resistance, even from within its own party, regarding further export controls. Some U.S. industry representatives and Democrats argue that new regulations could negatively impact U.S. firms if similar restrictions are not imposed on companies in Japan and the Netherlands, potentially disadvantaging U.S. businesses in the global market.

ASML, which supplies equipment to major tech players like Samsung Electronics and TSMC, the latter of which manufactures chips for Nvidia, has not yet commented on the lawmakers’ request. Other companies targeted by the letters have also remained silent on the matter.


Featured image courtesy of hkej.com

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Yasmeeta Oon

Just a girl trying to break into the world of journalism, constantly on the hunt for the next big story to share.

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