By coinnews 
00:00 Speaker A
Got some breaking news here, um, and this is based on a report from the Financial Times that President Trump is ordering US chip software designers to stop sales to China. Again, that’s according to the Financial Times. The US Commerce Department telling electronic design automation companies, they include the likes of Cadence and Synopsis and Siemens EDA to stop supplying their technology to China. That’s according to that report. Uh, these companies are, are pretty vital in the semiconductor making process because they do help with the sort of architecture of designing these chips. So synopsis, for example, one of its, we’ve spoken to the CEO on the show many times, Hassan Ghazi. Uh, this is, Nvidia is one of its biggest clients. It works with many of the big chip makers as does its main competitor Cadence. Um, and so we’ve reached out to that company for comment. I should mention, by the way, Synopsis is also out with its earnings after the close of trading today, much like Nvidia, its big client. Um, the shares, by the way, up a little more than, uh, than 3% so far this year, Josh.
02:01 Speaker B
Yeah, I mean, this would be a pretty meaningful effort here by the administration, the Trump administration to try to in some ways, you know, slow down China’s abilities here, tech advances, tech aspirations. Commerce Department official telling FT was reviewing exports of strategic significance to China. In some cases, this official saying Commerce has suspended existing export licenses or imposed additional license requirements while their view is pending.
03:05 Speaker A
And I should mention as well, just, uh, according to Bloomberg data, synopsis gets about 16% of its sales from China. Cadence gets about 12% of its sales from that nation. So, uh, this would be meaningful potentially for these two companies and the stock reaction reflecting that.