The merger between chipmaker Hygon and server manufacturer Sugon could lead to the creation of extraordinary machines.
Chipmaker Hygon and server manufacturer Sugon announced on Monday that they will join forces by exchanging shares. What’s so special about this?
Who’s who?
In 2016, Hygon received its first generation of Zen CPU designs and the x86-64 architecture it used under license from AMD. The two companies were to jointly develop a server-grade System-on-Chip (SoC) for the Chinese market.
Hygon further used that license to produce server CPUs. Sugon was Hygon’s largest shareholder and is known as a manufacturer of servers and supercomputers. A Hygon supercomputer once ranked 38th on the Top 500 list of the world’s most powerful computers.
Powerful Combination
With the merger of these two companies, China gains a very important player: an integrated server and CPU manufacturer capable of building powerful and perhaps even extraordinary supercomputers.
The US would have preferred not to see the merger between Sugon and Hygon, writes The Register. Both Hygon and Sugon are on the so-called Entity List of the Bureau of Industry and Security, which severely restricts collaboration with US companies. This list includes names of companies whose activities are in conflict with national security and foreign policy.