President Biden issued the first-ever National Security Memorandum on Artificial Intelligence, outlining how the Pentagon, intelligence agencies and various national security groups should use artificial intelligence technology to advance national interests and deter threats, touching on everything from nuclear weapons to the supply chain. “The NSM is designed to galvanize federal government adoption of AI to advance the national security mission, including by ensuring that such adoption reflects democratic values and protects human rights, civil rights, civil liberties and privacy,” the White House announced in a statement. Continue reading The White House Defines Government Objectives Involving AI

Manufacturers that make Arm chips license tech from British developer Arm Holdings, with the option of licensing Arm’s instruction set to build proprietary CPU designs or licensing one of Arm’s Cortex CPU designs. Amid a legal dispute that started two years ago over Qualcomm’s $1.4 billion acquisition of silicon design firm Nuvia, Arm has given its longtime partner Qualcomm a 60-day notice of its license cancellation. If the two companies do not come to an agreement in that time, Qualcomm will have to cease manufacturing Arm chips, which could have a significant impact on the global supply chain, Qualcomm’s revenue, and smartphone makers that use Qualcomm chips. Continue reading Arm Cancels Qualcomm Architecture License in Legal Dispute

The Biden Administration has opened a call for applications for $285 million in funding for a national research institute that will develop semiconductor “digital twins,” software representations of semiconductor hardware that live in the cloud, where teams can collaborate remotely to design, test and analyze the components, allowing engineers to discover and address problems before the manufacturing process begins. The CHIPS Manufacturing USA institute will be the hub for companies and organizations advancing this work, which is meant to decrease domestic reliance on foreign-sourced chips as a matter of national security. Continue reading Government Commits $285 Million for ‘Digital Twin’ Research

Micron Technology has been selected to receive up to $6.14 billion in CHIPS and Science Act funding from the federal government. The Boise, Idaho-based tech firm says it will use the funds to construct four new fabrication plants — two in its hometown and two in New York State. Micron has committed an investment of up to $125 billion across both states over the next two decades as it endeavors to build a leading-edge memory manufacturing ecosystem. President Biden announced the preliminary funding agreement during a trip to the Milton J. Rubenstein Museum of Science & Technology in Syracuse, New York. Continue reading Micron Awarded CHIPS Funds for Fabs in Idaho and New York

Samsung Electronics will receive up to $6.4 billion in funding for semiconductor manufacturing in the U.S. as part of the CHIPS and Science Act. Samsung Semiconductor CEO Kye Hyun Kyung and Commerce Secretary Gina Raimondo celebrated the news this week at the company’s Taylor, Texas plant. The funds are earmarked for Samsung’s expansion in Central Texas to create additional manufacturing capabilities of essential chips for the AI, automotive, IoT, aerospace and other sectors. With the funds, Samsung is “strengthening the local semiconductor ecosystem and positioning the U.S. as a global semiconductor manufacturing destination,” Kyung said. Continue reading Samsung Will Receive Up to $6.4 Billion in CHIPS Act Funding

CTA Vice President of International Trade Ed Brzytwa discussed the sensitive topic of foreign investment transactions with U.S. Department of the Treasury Assistant Secretary for Investment Security Paul Rosen, who runs the Committee on Foreign Investment in the U.S. (CFIUS). Rosen stated that CFIUS was established almost 50 years ago and has been reauthorized by Congress many times. “The mission is to review foreign investments that come into U.S. businesses for national security risks,” he said. “We’re looking to assess who’s getting access to sensitive U.S. assets or getting control of a U.S. company.” Continue reading CES: A Look at the U.S. Security Risks of Foreign Investment

Enterprise software firm SAP is launching its own AI assistant named “Joule,” which will be embedded throughout the company’s cloud portfolio, offering users contextualized insights across SAP apps and third-party sources on both desktop and mobile platforms. The German business solutions giant has an estimated 300 million global enterprise users using its software for applications related to managing human resources, finance, supply chain, procurement and customer experience, as well as the underlying SAP Business Technology Platform. Continue reading SAP Plans to Launch Its New AI Assistant ‘Joule’ in November

Amazon says it achieved its “fastest Prime speeds ever” for deliveries across the 60 largest U.S. metro areas in Q2, when more than half its member orders arrived “the same or next day.” The benchmark announcement precedes this week’s earnings statement and was couched as fulfillment and transportation investments that have paid off. Amazon says it will in two years double the number of same-day delivery sites. So far in 2023 it has “delivered more than 1.8 billion units to U.S. Prime members the same or next day,” almost four times the shipments delivered at that rate during the same period in in 2019. Continue reading Amazon Boosts Efforts to Ship its Prime Deliveries in One Day

IBM and Adobe are expanding their partnership to help enterprise clients accelerate their content supply chains using artificial intelligence including Adobe Sensei GenAI, released in March, and Adobe Firefly, now in beta, as well as Adobe’s generative AI models. IBM says it will create a portfolio of Adobe-specific consulting services. Leveraging Adobe’s AI solutions and IBM Consulting services, the companies aim to “help clients build an integrated content supply chain ecosystem that drives collaboration, optimizes creativity, increases speed, automates tasks and enhances stakeholders’ visibility across design and creative projects.” Continue reading IBM and Adobe Advance AI Content Workflow for Enterprise

Japan decided last week to join the U.S. and Netherlands in limiting exports of chipmaking gear to China. As early as July, suppliers of 23 types of chip technology will need a government sign-off to export to countries including China, which has been struggling to build a domestic chip industry. Japanese companies impacted by the restrictions include Tokyo Electron, Lasertec, Nikon Corp. and Screen Holdings, according to the Japanese trade ministry. The central goal of the clampdown is to make it harder for Chinese firms to produce advanced chips for artificial intelligence. Continue reading Japan, U.S., Netherlands Seek to Limit China’s Chip Industry

Apple’s three-year streak of record-setting sales and profit came to an end with the company’s fiscal first quarter for 2023. The three-month period ending December 31, 2022 produced revenue of $117.2 billion, down 5 percent year-over-year. Apple said the results capped an earnings season “in which the world’s biggest technology companies mostly struggled to shake off a postpandemic hangover.” It was the Cupertino-based company’s first quarterly revenue decline in almost four years, attributable largely to supply chain disruptions in China causing a holiday sales season shortage of the high-end iPhone 14 Pro and 14 Pro Max. Continue reading Apple Hardware Sales Decline, Services Remain Bright Spot

Memory chip prices have plummeted this past year, with continued declines expected through Q2. The painful supply chain shortages of 2020 have been replaced, in many instances, by inventory gluts, with some chipmakers talking about scaling back expansion plans. The average price for memory chips used in consumer electronics — from TV sets to smartphones and personal computers — are expected to dip by double-digits in Q1, analysts say. In 2022, prices declined by 20 percent starting in Q2. TrendForce predicts inflation and high interest rates will continue to suppress corporate and consumer spending on electronic devices, including data servers. Continue reading Manufacturers Are Impacted by Sagging Memory Chip Prices

The NPD Group’s Paul Gagnon and Ben Arnold presented “7 Ways the CE Consumer Has Changed” in the last few years. U.S. consumer attitudes and behaviors changed from early-pandemic lockdown to the slow reopening, and then the fear of inflation and recession. In general, consumers are buying more for individuals than for shared home experiences, they have equipped themselves for remote work which may suppress future sales until they are ready to upgrade, and they buy when bargains appear even if they plan to actually open them for a holiday or special occasion. Continue reading CES: The NPD Group Analyzes Changes in Consumer Trends

The protests and riots in response to China’s restrictive COVID-19 policies have resulted in Apple accelerating plans to relocate a chunk of production in that country, according to news reports claiming that “turmoil” in a Zhengzhou area called iPhone City helped prompt the change. At peak output, the zone produced roughly 85 percent of the iPhone Pro lineup, according to The Wall Street Journal, which says the factory “was convulsed in late November by violent protests.” China has long been the primary manufacturing location for Apple products. Vietnam and India are reportedly high on Apple’s list of alternate sites. Continue reading Apple Fast-Tracks Plan to Move Some Production from China

Cyber Monday racked up $11.3 billion in online sales, according to Adobe Analytics, which reports a 5.8 percent increase over 2021’s spending of $10.7 billion (which was down slightly from 2020’s $10.8 billion). The 2022 result was a record for Cyber Monday and also for the year-to-date. Thanksgiving sales totaled $5.29 billion, while Black Friday hit $9.12 billion — both outperforming earlier forecasts. All in, “Cyber Week,” including the days off and workdays during which people continued to shop, is estimated to have tallied $35.27 billion in online sales, a 4 percent increase year-over-year. Continue reading Major Discounts Propel Cyber Monday to New Sales Record