A report from Reuters claims that scientists in China have created a prototype of a machine that could eventually be used to produce semiconductor chips capable of powering artificial intelligence. Sources told the publication that a team in Shenzhen completed the prototype of an extreme ultraviolet lithography machine earlier this year and it is allegedly now undergoing testing. The EUV machine was reportedly made by former engineers from Dutch semiconductor supplier ASML. Reuters states that China is targeting production of its own EUV chips beginning in 2028, although other experts have projected 2030 as a more likely date. 

EUV is a supremely complicated bit of technology; we have an explainer below that gets into some of the details. It is at the heart of the chips made by companies such as Intel and TSMC, so any company trying to compete would also need access to EUV. Although the Chinese prototype is not yet making chips, it is reportedly able to generate the extreme ultraviolet light needed for chip manufacturing.

If confirmed, this development would put China in control of tech much sooner than analysts had previously expected. To date, EUV has largely been kept out of reach by Western companies and used as a bargaining chip by the US government. Chinese President Xi Jinping has placed a high priority on the country being able to produce its own semiconductors. "The aim is for China to eventually be able to make advanced chips on machines that are entirely China-made," a source told Reuters. "China wants the United States 100 percent kicked out of its supply chains."