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I don't think it's a mistake. It's more that they don't have a choice. There are very few (maybe even only one?) foundries in the world with advanced processes.

I don't think it's a mistake. It's more that they don't have a choice. There are very few (maybe even only one?) foundries in the world with advanced processes. Building a foundry is not trivial. For how long has Intel stuck with 14nm now? The Dutch ASML lithography machine is one of the most advanced machines in the world, and it's pretty much the only one of its kind. China has been investing heavily in domestic foundries for years now, but it takes time.

samfisher83 6y ago
This is reason US needs to ensure that a US company can make the latest and greatest technology. You never know what geopolitical issue might cut your supply off.
xster 6y ago
I think it's just greed and poor risk management. Up until recently, china couldn't even manufacture ball point pens (which I think only 2 companies in the world produced). There's no money to be made at the bottom of the inverted tech pyramid. They rather put their energy in buying ball point pens and using those pens to write stuff that will in the short term make them more money on to of a foundation of sand. Similarly all of the investment from giants like Alibaba etc went into developing e-commerce on top of a tech foundation of sand