CHINA TOPIX

11/24/2024 07:04:20 am

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China's Technology Investments in the US Reach US$6 Billion

Silicon Valley

From China's US $1 billion investments each year for the past 5 years, China's technology investments in the United States surpassed the US $6 billion mark in the first three months of this year alone, a recent study showed.

The study, released by Asia Society and Rhodium Group, a New York-based advisory firm, showed that China's technology investment in America continues to surge, creating a total of 25,000 jobs so far.

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The report covers 15 technology segments that Chinese investors were interested in. These include IT equipment, IT services, software and semiconductors, among others.

California Tops Chinese Interest

Chinese technology investors were also interested in pouring capital in California, followed by North Carolina, Michigan, and New York.

The report, dubbed "High Tech: The Next Wave of Chinese Investment in America", showed that in the first quarter of the year, technology investments made by Chinese companies already reached more than US $6 billion.

The figure is more than the investments made in the last five years combined, in which Chinese investments in US technology only reached US$1 billion a year.

Global Technology Investments Hit US $9.1 Billion

Globally, from 2000 to 20013, Chinese investments in technology reached a total of US $9.1 billion.

Among the deals in the first quarter were Lenovo's acquisition of IBM's x86 server unit and Motorola Mobility, and Wanxiang Group's acquisition of US electric car manufacturer Fisker.

Lenovo bought Motorola from Google for US $2.91 billion and IBM's x86 servers for US $2.3 billion.

China's Wanxiang Group, meanwhile, purchased luxury hybrid-car maker Fisker Automotive Inc. for US $149.2 million. Wanxiang is the largest Chinese automotive components firm by revenues.

The report also projected that China's foreign direct investment overseas will rise from US $500 billion in 2013 to US $2 trillion by 2020.

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