CAS to launch subsidiary to boost CPU R & D and sales
Shanghai. July 22. INTERFAX-CHINA - The Chinese Academy of Sciences (CAS) will establish a subsidiary in Tianjin Municipality that will focus on the research and development and sales of central processing units based on the homegrown technology "Loongson," which is also known as Godson, domestic media reported on July 22.
Total investment in the subsidiary is expected to exceed RMB 1 billion ($146.28 million).
"The investment will likely be made by the CAS in cooperation with either the Tianjin municipal government, or government-sponsored investment companies," Wang Yanhui, an independent industry observer, predicted on July 22.
Wang told Interfax that although the CAS has strong government support, it will be challenging for the academy to sell and market its technology as well as generate profits because the CAS is an academic institution, and lacks commercial expertise.
Lou Qinjian, Vice Minister of China's Ministry of Industry and Information Technology (MIIT), said that MIIT will provide support towards the development of a mature Loongson technology industry chain, starting from the chip to a complete computer.