China chip giants launch $577M 'patient capital' fund to counter US tech curbs

A consortium of prominent Chinese technology firms, such as memory chip producer ChangXin Memory Technologies (CXMT) and e-commerce leader Alibaba Group Holding, has initiated a private equity fund valued at 3.91 billion yuan (US$577 million) to enhance its "hard tech" industries in light of increasing US tech export restrictions. The Changzhi Hanhai Private Investment Fund, which was established last week in Shanghai's Pudong New Area, seeks to offer "patient capital" for long-term financing essential for deep-tech R&D, which is often overlooked by conventional short-term venture capital, as reported by Chinese media and data from corporate registry platform Qichacha. Among the contributors, Advanced Micro-Fabrication Equipment (Amec), a leading domestic semiconductor equipment manufacturer, holds a 7.7 percent stake.