China claims global chip leadership thanks to new legal definition of 'integrated circuits'

China has redefined its legal classification of semiconductors, attributing the change to a statement from Guo He, a professor at Renmin University of China's School of Intellectual Property. The new definition includes photonic and quantum chip technologies, which are rapidly evolving fields. This shift from "semiconductor integrated circuit" to "integrated circuit" reflects China's updated approach to intellectual property legislation.

Although the change may appear minor on the surface, it signifies China's proactive stance in the global intellectual property system. The World Intellectual Property Organization's Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIP), the current international standard, also classifies integrated circuits as semiconductors.

However, TRIP also safeguards chip layouts, a crucial aspect of chip design and a significant investment for manufacturers. China's revised regulation aims to strengthen legal protection for chip layouts, extending this safeguard to chips incorporating optical or quantum elements. This move is intended to bolster China's own layout protection laws and extend them to cutting-edge chip technologies.

The primary objective of this new regulation is to enhance China's intellectual property protections, helping to resolve patent disputes and clarify the origins of chip designs. By doing so, the regulation holds substantial practical significance for the development of a robust intellectual property framework and the advancement of China's semiconductor industry, which is crucial for the nation's competitive edge on the global stage.

Numerous Chinese firms, such as Alibaba, Huawei, Cambricon, and Loongson, have already developed chips that rival products from US-based competitors. Strengthening these chipmakers against potential domestic or foreign infringement is a strategic priority for China.