The Tech Roundup provides an overview of important technology news in China and Asia (para. 1). The briefing begins with a story about Temu, PDD Holdings Inc.’s international brand known for its affordable online marketplace and aggressive advertising strategies. Outside of China, Temu has a strong presence and is known for its campaigns on platforms such as Instagram and the Superbowl (para. 2)However, in China, Temu has recently come under fire due to protests by dealers in Guangzhou, who accuse the company of imposing “after-sales fines” for product defects without providing any evidence to support these claims. (para. 3). Temu’s parent company PDD Holdings Inc., a well-known player in China’s e-commerce sector, only entered the market in 2015. By using group buying and gamification tactics, it managed to become the most valuable e-commerce company, even overtaking Alibaba Group Holding Ltd. last year. (para. 4)Despite its successes, PDD has been criticized for its harsh pricing strategies and questionable penalty systems that allegedly harm merchants and disrupt the industry. For example, data from a group of 100 Temu sellers suggests the company has issued fines totaling 142 million yuan. Other allegations point to a recommendation system that encourages intellectual property infringement. (para. 5).

Meanwhile, Pinduoduo’s founder Colin Huang has re-emerged as China’s richest man, according to the Bloomberg Billionaires Index. His wealth, which had plunged 87% due to the economic fallout from the COVID-19 pandemic and China’s regulatory crackdown on the private sector, has seen a turnaround due to PDD Holdings Inc.’s international growth under the Temu brand. Huang’s wealth is now valued at $48.6 billion, surpassing that of bottling magnate Zhong Shanshan. (para. 7)(para. 8)(para. 9).

In another significant development, US tech giant Intel has launched a new discrete graphics processing unit (GPU) specifically designed for electric vehicles (EVs) in China. Set to be commercially available next year, Intel Arc Graphics for Automotive promises to enhance AI-driven cockpit experiences and personalization features. This GPU complements Intel’s lineup of AI-powered automotive chips (para. 10)(para. 11)(para. 12).

In addition, Semiconductor Manufacturing International Corp. (SMIC) is accelerating its capacity buildout in response to increasing restrictions imposed by a U.S.-led multinational campaign to limit China’s access to advanced technologies. According to SMIC co-CEO Zhao Haijun, the company is moving faster than originally planned due to geopolitical shifts in supply chains. (para. 13)The Chinese government is pushing companies to use domestically developed products to achieve self-sufficiency in strategic areas such as automotive chips. Although Zhao did not name any customers, Huawei Technologies Co. Ltd. is hinted at as a key partner, especially after collaborating with SMIC to produce a 7-nanometer processor for the Mate series last year. (para. 14)(para. 15).

Finally, Malaysia and China are strengthening their cooperation in the semiconductor sector through the first Asia-Pacific Semiconductor Summit and Expo, scheduled for October in Penang, Malaysia. The event is organised by the Malaysia Semiconductor Industry Association and the China Electronic Production Equipment Industry Association. It aims to boost Malaysia’s chip industry and strengthen Beijing’s supply chains. Malaysian exhibitors are expected to make up about 40% of the participants, 30% will be from China and the remaining 30% from other regions. (para. 16)(para. 17)(para. 18)(para. 19).

AI generated, for reference purposes only