Microsoft, AWS and Google are trying to drastically reduce China’s role in their supply chains

As geopolitical tensions between the US and China intensify, tech giants Microsoft, Amazon and Google are stepping up efforts to move their product manufacturing and data centers out of China, the Nikkei said. ReportCiting supply chain sources.

In particular, Microsoft wants up to 80% of the components needed to make its Surface notebooks and tablets, as well as its data centers, to be made outside of China by 2026, the report said. The scope of the changes is “quite broad” and includes components and assemblies for the company’s future notebook and server products, Nikkei told a supply chain source.

The company is asking its existing partners to prepare production capacity outside the country from next year, and it is also pushing to shift some production of its Xbox gaming console to other parts of Asia.

Amazon Web Services, meanwhile, is considering buying fewer printed circuit boards for its AI data center from its longtime supplier SYE and has conducted an evaluation of what it needs to do. And Google is pushing its suppliers to increase server production in Thailand, where it has already secured multiple partners for parts, components and assembly, the report said.

However, shifting production outside the country so quickly would prove difficult, given the vast range of materials involved and the technological and manufacturing expertise of their Chinese partners, Nikkei noted.

The news follows a wave of retaliatory measures from both China and the United States, which have imposed sanctions in turn increase in duty on each other, Tighten export controls Important components and resources, and What technology is limited can be sold.

Microsoft, Google and Amazon did not immediately return requests for comment.