The latest indication of issues facing China’s semiconductor business is the accusation of corruption leveled against chip tycoon Zhao Weiguo by the country’s anti-fraud authority.
Former CEO of Tsinghua Unigroup, a manufacturer of computer chips, is Mr. Zhao.
When the government invested billions of dollars in projects that either stalled or failed, prominent actors in the sector were under investigation for wrongdoing last year.
The BBC contacted Mr. Zhao and Tsinghua Unigroup, but neither responded.
The Central Committee for Discipline Inspection claims that Mr. Zhao “took the state-owned enterprise he supervised as his private fiefdom” in a statement.