Dutch Government Seizes Chipmaker Nexperia Over China Fears
The Dutch government has seized control of Nexperia, a Dutch chipmaker, citing concerns over technology transfer to its Chinese parent company, Wingtech. Wingtech has responded by hiring lawyers and seeking Chinese government support, with its chairman removed from Nexperia's leadership.
The Dutch government's move grants it oversight and the power to reverse or block management decisions deemed harmful to Dutch and European technological security. Wingtech's control over Nexperia is temporarily restricted, and an independent non-Chinese person will be appointed to Nexperia's board with a deciding vote.
Capitalmind CEO Deepek Shenoy advises India to build more of its own technology, citing potential long-term restrictions on acquiring better technology. He uses the Dutch government's takeover of Nexperia as an example of such restrictions.
The Dutch government's intervention in Nexperia highlights growing concerns over technology transfer to China. Wingtech's response indicates it will challenge the decision, potentially setting a precedent for future cases involving foreign ownership of sensitive technology.
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