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>It falls short of providing Huawei (and the state behind it) with incentives to be more transparent with their technology, and at best creates a necessity for them to become wholly independent in their process. I guess the US is betting they can’t pull this off...

Bingo. It seems like this is more a bet that they can't become wholly independent without the tooling itself, or can't become independent for a long while. I doubt it has much to do with "setting up incentives for transparency". I think the "will China become transparent about its actions" question is pretty much settled at this point.



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