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Significance

The phone’s launch is a surprising comeback for a company that was briefly the largest smartphone manufacturer worldwide, until it was hobbled by US sanctions that blocked its access not only to advanced microchips but also to the tools necessary to design them.

Impacts

The impact of sanctions will only be felt in the longer term; some are only just starting.

China will develop capabilities in certain semiconductor activities but struggle to replicate the entire ecosystem, hampering its progress.

Chinese semiconductors will be good enough for many artificial intelligence and defence applications.

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