China tech veterans to launch ‘domestic replacement’ fund amid US sanctions

Chinese tech veterans, including former executives at Huawei and SMIC, are planning to launch a “domestic replacement” fund by the end of the year to help create China’s next tech giant and support Chinese companies sanctioned by Washington.
Venture capital firm China Europe Capital aims to raise 5 billion yuan ($731.46 million) for the fund which will invest in start-ups specialising in technologies including semiconductor, 5G and artificial intelligence, said Zhang Jun, the firm’s chairman and a former vice president at telecom equipment maker Huawei.
The fund launch comes amid a government-backed investment boom in China’s technology sector as Beijing competes with Washington in an increasingly acrimonious “tech war”.