Trump Thwarts Chip Deal over National Security Concerns
Citing national security and China-related concerns, US President Donald Trump has blocked a chip-related acquisition deal. In an order issued by the White House on Friday, Trump prohibited US-based photonics firm Hypho Corporation from acquiring the assets of New Jersey–based space and defense technology company MCore, Reuters reported.
In the order, Trump said Hypho is controlled by an individual who is a citizen of the People’s Republic of China. He expressed concern that through the acquisition of MCore’s business in 2024, the company could take actions that might undermine US national security. However, the order did not disclose the name of the individual involved or specify detailed concerns.
Under Trump’s directive, Hypho has been ordered to divest all related assets and interests in MCore within 180 days. The US Treasury Department said the Committee on Foreign Investment in the United States (CFIUS) had identified national security risks during its investigation.
Earlier, MCore had stated that Hypho acquired its chips business and indium phosphide wafer manufacturing operations for approximately $2.92 million.
DBTech/BMT/OR
