Intel, AMD fall on report China blocks U.S. chips in state computers

Intel (INTC.O), and Advanced Micro Devices (AMD.O) fell more than 2% on Monday after a report that China would limit the use of their chips and servers in government computers, potentially threatening billions of dollars in sales for the U.S. companies.

The Financial Times reported over the weekend, China has introduced guidelines to phase out U.S. chips from the companies and also wants to sideline Microsoft’s (MSFT.O), Windows and foreign-made database software in favor of domestic options.

Source: www.reuters.com