Welcome to Seeking Alpha's Wall Street Breakfast, where we cover the top news for investors every morning.

Thanks for joining us on this Wednesday, October 8th. I'm Julie Morgan.

Washington is targeting China's chip supply. Flight delays are piling up, and Anthropic sets its sights on India.

U.S. lawmakers are pushing for expanded restrictions on the sale of chipmaking equipment to China

after a bipartisan investigation found that Chinese semiconductor firms spent billions of dollars on advanced machinery in the past year.

Inconsistencies in rules issued by the U.S.,

Japan, and the Netherlands have led to non-U.S. chip equipment manufacturers selling to some

Chinese firms that American companies could not. According to a report published on Tuesday,

by the U.S. House of Representatives Select Committee on China,

$38 billion in products and services were purchased from five top semiconductor

manufacturing equipment suppliers without breaking the law, a 66% increase from 2022,

when many of the tool export restrictions were introduced. The report further found

that these purchases represented nearly 39% of the total combined sales of major chip equipment

makers applied materials, Lamb Research, KLA, ASML, and Tokyo Electron. The report said that these are the sales that gave China's semiconductor fabs, including

Huawei's network and SMIC, the production capacity and technological sophistication that they now

possess.

The report went on to say that this investigation, however, did not seek address or focus on any

potential illegal activity, including any assessment of toolmakers' compliance or noncompliance

with export control laws. The findings emerge as China puts pressure on local tech companies to boost

the country's domestic semiconductor industry

and intensify efforts in the AI race against the U.S.

Air traffic controller shortages have led to flight delays and cancellations at airports

...