(Dmytro “Henry” Aleksandrov, Headline USA) An investigation from the House Select Committee on the Chinese Communist Party (CCP) revealed that five American venture capital firms invested at least $3 billion in Chinese technology companies that are making products used in human rights abuses and aiding the Chinese military and government.
The House Committee reported that GGV Capital, GSR Ventures, Qualcomm Ventures, Sequoia Capital and Walden International financially supported the development of semiconductors that are being put to use by China’s military for research on equipment and weapons.
“Artificial intelligence and semiconductor technologies are necessary components of the CCP’s Orwellian surveillance state and human rights abuses,” the report said.
The report also follows the Daily Caller’s October 2023 findings that reveal how several U.S. venture-capital firms were participating investors in CCP-backed start-up contests that supported China’s Thousand Talents plan, which aims to poach technology and researchers abroad, according to the news source.
“10/17/23 – @DailyCaller reported on IDG, GSR, GGV, Walden Int’l. & Sequoia Capital‘s role in Thousand Talents Plan contests, love seeing it covered in @committeeonccp‘s new report: “THE CCP’S INVESTORS: How American Venture Capital Fuels the PRC Military and Human Rights Abuses,” Philip Lenczycki wrote.
10/17/23 – @DailyCaller reported on IDG, GSR, GGV, Walden Int'l. & Sequoia Capital's role in Thousand Talents Plan contests, love seeing it covered in @committeeonccp's new report:
"THE CCP'S INVESTORS: How American Venture Capital Fuels the PRC Military and Human Rights Abuses" pic.twitter.com/1W4wkLNpd6— Philip Lenczycki 蔡岳 (@LenczyckiPhilip) February 8, 2024
It was revealed in the report that more than $1.9 billion went to AI companies that provide resources supporting the CPP’s human rights abuses, such as surveillance technology, and support the Chinese military.
In addition to that, more than $1 billion was invested by the firms into more than 150 semiconductor companies, with around $180 million in chip companies that support the Chinese military.
There are billions more in investment not captured in the report from U.S. firms that have gone to support the Chinese military, “digital authoritarianism” and efforts to bolster China’s technological standing, the report’s findings suggested.
The report added that the firms were apprehensive about cooperating with the investigation due to CCP pressure. One of the firms even told the investigators that company personnel based in China were “scared to death” about providing key information. It was also noted that the CCP is allegedly “actively pressuring” firms to not cooperate with the investigation, according to the information that was provided by another firm to the Committee.
