Arm China CEO goes rogue after being fired

[Kaotik]

Couldn't find dedicated thread for Arm here, so here goes on this specific matter - mods can alter the thread to be general Arm execution thread if they see it fit.

Arm China's ex-CEO Allen Wu has gone rogue after being fired. He has recruited outside security company to keep Arm's people out of Arm China premises. Apparently in China as long as you have the company's official "stamp", you have the company, and he didn't give his up when he was fired. He got canned after creating a new investing firm that according to Arm directly competes with them.

According to Arm he's trying to spread misinformation within Arm China and create atmosphere of fear among the workers. He's also blamed for interfering with communications between Arm and Chinese semiconductor industry. According to Arm China none of this is true and Wu is open for discussions.

Both parties have contacted Chinese government to solve the situation.

https://www.bloomberg.com/news/arti...china-venture-ex-ceo-of-blocking-its-business

 

[MfA]

Haha, delicious.

Think the guy overplayed his hand though, he might have enough corrupt pull locally but once the national communist party gets wind I think he'll get stomped. This would be the end of multinational engagement in China otherwise and I don't think China is ready to go cold war just yet.

 

[tongue_of_colicab]

Haha, delicious.

Think the guy overplayed his hand though, he might have enough corrupt pull locally but once the national communist party gets wind I think he'll get stomped. This would be the end of multinational engagement in China otherwise and I don't think China is ready to go cold war just yet.

Would it? So far blatant copying, patent infringement, privacy and basic human right violations etc. have done absolutely nothing to refrain from companies wanting to do business with China. Since capitalism requires a never increase in profit (for stakeholders) no company is going to leave a market with a billion+ people unless they are forced to.

China knows this which is exactly why they require foreign companies to "partner" with a Chinese (state controlled) company and grab all the IP in the process.

 

[digitalwanderer]

Oooh, this sounds juicy/fun! Gonna watch this thread, thanks!

 

[Kaotik]

I don't have Financial Times subscription, but translating from another forum:

According to Financial Times Wu has been offering chinese companies discounts for chips bought via Arm China, as long as they also invest in his new investment fund. They also report that two members of the Arm China board of directors are involved in the same investment fund.
Reportedly there's also more than 1 company Wu is involved in that conflicts with Arm China's business.

https://www.ft.com/content/dc55d4c9-1065-4db0-98a4-f7f0c1de563b

--
Also, some speculate that this timing fits pretty conveniently with British government deciding to drop Huawei's 5G equipment

 

[MfA]

Would it? So far blatant copying, patent infringement, privacy and basic human right violations etc. have done absolutely nothing to refrain from companies wanting to do business with China.

It's about the devils you know. China was a predictable partner before who traded steady theft of knowhow with low cost production, letting this happen would make it a completely unpredictable shithole.

 

[Kyyla]

Yet it happened.

https://semianalysis.substack.com/p/the-semiconductor-heist-of-the-century

Tim Cook must be sweating now.

 

[Kaotik]

Yet it happened.

https://semianalysis.substack.com/p/the-semiconductor-heist-of-the-century

Tim Cook must be sweating now.

Are we sure that's accurate? I could find little info of such, but one article claimed they just launched a new (sub)brand and Arm China is still the company name.
The site still has Arm China all over it too, including under the supposed new name https://www.armchina.com/

 

[Deleted member 2197]

Yet it happened.
https://semianalysis.substack.com/p/the-semiconductor-heist-of-the-century
Tim Cook must be sweating now.

What a complete mess! Highly doubt China court system will do anything.

Removing Allen Wu has proven to be very difficult. Despite a 7-1 vote by the Arm China board, the company seal was still held by Allen Wu. In China, the seal is a stamp which authorizes the person in possession to bind a company and its representatives with rights and obligations. Retrieving this seal and the business license would be a multiyear drawn-out legal process. Furthermore, it would mean at least some investors besides Arm must be along for the ride. The Chinese court system would need to agree with ousting an executive in favor of one that was hand selected by western influencers.

 

[MfA]

Another reason why NVIDIA should buy ARM. The US can standup for ARM and win, China doesn't like bowing to the US but it will when it comes down to it ... if Japan tried to push the issue it would escalate.

 

[Silent_Buddha]

Another reason why NVIDIA should buy ARM. The US can standup for ARM and win, China doesn't like bowing to the US but it will when it comes down to it ... if Japan tried to push the issue it would escalate.

Considering who is in the White House, right now, I wouldn't be so sure about that. Then again, I'm not sure even that matters with China's posturing and attempting to provoke the US into going to war with them by attempting to get the US to fire the first shot in an altercation so that China can claim that the US are the aggressors.

Talking with my relatives in Japan and Taiwan, after how the US has handled the situation in Afghanistan, they are all now fearful that Taiwan will be under Chinese control in a few years. Basically they no longer trust the US with who we have in charge.

Regards,
SB

 

[Panino Manino]

Basically they no longer trust the US with who we have in charge.

Nonsense, this withdraw was negotiated by the previous guy. I thought the whole world understood well that US had returned to "business as usual", and by business I mean imperialistic military expansion.

 

[Remij]

I say they settle this like men...








...with an Arm wrestle.

 

[MfA]

Considering who is in the White House, right now, I wouldn't be so sure about that. Then again, I'm not sure even that matters with China's posturing and attempting to provoke the US into going to war with them by attempting to get the US to fire the first shot in an altercation so that China can claim that the US are the aggressors.

If the US wanted to fire a shot, they'd get Taiwan to fire an antiship missile. Plausible deniability.

But I'm not talking about applying military force, but economic force. Like the Iran sanctions showed, when it comes right down to it the whole world including China yields to US power when they get serious. Though it hurts their ego, they can take yielding to the US ... no matter how painful the economic damage is, even if it hurts China much more, they'll never yield to Japan.